Ahern advises country to 'batten down the hatches'

FORMER TAOISEACH Bertie Ahern has strongly defended his record in office and rejected criticisms that his administrations had…

FORMER TAOISEACH Bertie Ahern has strongly defended his record in office and rejected criticisms that his administrations had “blown the boom”.

Speaking at an industrial relations conference in UCD yesterday, organised by the specialist publication Industrial Relations News, Mr Ahern also expressed support for the social partnership process which, he said, had been one of the foundation stones of the country’s economic progress over recent years.

The former taoiseach also forecast that it could be Easter of next year before any light appeared at the end of the tunnel in relation to the current economic situation. He said the country should “batten down the hatches for the next 12 months”.

He said it was in nobody’s interest to return to an era of strikes and industrial relations unrest.

READ MORE

In a 40-minute address to industrial relations and human resources specialists, Mr Ahern said that while social partnership was not a magic wand to solve every problem, it had an excellent track record as a way of delivering real progress and minimising conflict in this country.

“If anybody tries to persuade me that it is a bad thing for governments to talk and reach agreements with employers, trade unions, community activists and farmers, they are talking to the wrong person.

“Quite frankly, I have no time for the alternative argument. I do not have any time for the proponents of anti-social partnership. They have been proved wrong,” he said

Mr Ahern said the country faced serious economic difficulties and general economic conditions were currently tighter than they had been for a long, long time.

However, he said that economic meltdown had been averted in the past, partly through the use of social partnership.

He said that when official State papers for the late 1980s were released under the 30-year rule they would show how close the country came to involvement with the International Monetary Fund (IMF).

Later in his address, the former taoiseach said that in 1987 the IMF was “on the brink” of coming into the country. Mr Ahern said that before social partnership had taken root there were some commentators in Ireland who had advocated Thatcherite solutions to the country’s economic woes.

He said, thankfully, the idea that there was no such thing as society did not find too many takers.

Mr Ahern said that he failed to understand the logic of some commentators who were now criticising the period of the economic boom, which he said represented an unprecedented period of economic advancement in the country’s history.

“Those who say we blew the boom forget that in my time as Taoiseach we actually recorded budget surpluses in 10 of 11 budgets.”

He said that his administrations had also used resources to invest heavily in the welfare of people. He said that 80 per cent of the current spending in the 10 years had been allocated to health, education and social support.

“Our approach was the right one, and we balanced increases in spending with the need to reduce the national debt.

“During my tenure as taoiseach national debt was halved and this country paid out €1 billion less in interest payments.”

Martin Wall

Martin Wall

Martin Wall is the former Washington Correspondent of The Irish Times. He was previously industry correspondent