The leader of the country's biggest union today accused the Economic and Social Research Institute of trying to protect the rich from the burden of budget cuts.
As the ESRI called for child benefit to be cut by a fifth, Siptu’s Jack O’Connor warned any savings would hurt middle and lower income families the worst.
Mr O’Connor said the institute was “at least opposing the obscenity of cutting welfare rates” but called for a tax on those who can pay.
“The institute is nevertheless continuing its dutiful role as a cheerleader for the Government policy of imposing the entire burden of fiscal adjustment on working people and the less well-off," he said. “The wealthy are insulated from any requirement to contribute at all.”
The ESRI advised against calls in the McCarthy report for all welfare payments to be cut by 5 per cent to save money. But in its quarterly economic bulletin experts warned the Government must make €4 billion in savings, with the focus on public spending.
Mr O’Connor rejected the ESRI recommendation. “Cutting child benefit will impact most severely on middle and lower income families," he said. "This should be tackled by a progressive tax on those who can afford to contribute.”
PA