The next phase of social partnership

Now that the long-running dispute at Irish Ferries has ended in a reasonable compromise, it is important that the social partners…

Now that the long-running dispute at Irish Ferries has ended in a reasonable compromise, it is important that the social partners should seize the moment to explore the prospects for a new national wage agreement.

Before that can happen, Siptu must hold a special conference. And the Irish Congress of Trade Unions (Ictu) will require authorisation from its executive council to enter talks. These are largely procedural matters and should not stop negotiations proceeding in the New Year.

Already, informal contact has been made between the Government and Ictu on the need for measures to protect employment standards and to inhibit the displacement of Irish workers. A document from the National Implementation Body, which formed the basis for settlement in the Irish Ferries dispute, committed all parties, including the employers' body, Ibec, to such a course of action. But the details remain to be negotiated.

The National Economic and Social Council (NESC) has suggested in its latest strategy document that while the goals of social partnership are still valid, they should be redefined in order to provide a more sophisticated replacement for "Sustaining Progress". Recognising the growing wealth of the State and the high level of immigration, it has proposed that future economic success should be measured in terms of GNP per head of population, instead of through numbers at work.

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Moving up the value-added chain is central to this view, which implicitly recognises that unskilled jobs will be lost to low-cost destinations. The NESC advocates the creation of high-value jobs and says improvements in living standards should take precedence in Government planning. The report is particularly strong on the need for greater productivity within the public service. And it favours Government investment in health and other social areas, rather than the creation of two-tier systems.

Minister for Enterprise and Employment Micheál Martin is anxious that talks on a new social partnership agreement should begin as soon as possible. He has offered creative discussions on the enforcement of labour law and the establishment of new mechanisms that will reflect a changed economy. The Government, he has insisted, will not undermine the progress that has been made in achieving higher living standards.

The social partnership model has served us well. An opportunity now exists to refashion some of its components in order to reflect the economic success it has brought and to develop a society that is more confident and egalitarian. Events of last week, which saw an estimated 100,000 people protest against the displacement of Irish workers and a perceived threat to living standards, provided a backdrop for the coming negotiations. Those highly-emotional protests strengthened the hand of the trade union movement at a critical time. In going forward, however, the social partners will have to negotiate an agreement that underpins competitiveness while providing opportunities for future growth.