‘Big improvement’ needed in public service pay proposals, say unions

Senior Coalition figures, including Minister for Public Expenditure, signal willingness to make new offer

A Government offer of a combined 5% increase over two years, on top of the 2% in an existing pay deal, has been rejected by unions as 'not credible'. File photograph: Getty Images
A Government offer of a combined 5% increase over two years, on top of the 2% in an existing pay deal, has been rejected by unions as 'not credible'. File photograph: Getty Images

There will have to be a “significant improvement” in pay proposals put on the table by the Government if it wants to avoid industrial action ballots going ahead as planned next month, according to the Irish Congress of Trade Unions (Ictu).

While Ictu said it would “engage positively” in talks on public service pay which start in the Workplace Relations Commission (WRC) on Monday, it warned that earlier proposals put forward by the Government had “not reflected the reality of the cost of living crisis”.

Unions representing most of Ireland’s public sector workers are preparing industrial action ballots as part of a co-ordinated campaign aimed at putting pressure on the Government to increase pay amid the cost-of-living crisis.

Talks between the two sides first got under way in June before breaking down after a Government offer of a combined 5 per cent pay increase over two years on top of the 2 per cent in an existing pay deal was rejected by unions as “not credible”.

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In recent weeks, senior Coalition figures, including Minister for Public Expenditure Michael McGrath, have signalled a willingness to make a new offer.

On Friday evening union negotiators committed to engaging positively in the fresh round of talks.

Cost-of-living crisis

Kevin Callinan, who leads the union negotiating team as chairman of the Ictu Public Services Committee, said that when the negotiations were suspended in mid-June, the Government’s position had not reflected the reality of the cost-of-living crisis.

“The Government side has taken over two months to reflect on its position,” he noted.

“Increased and sustained inflation during that period has not made it easier to reach an outcome that unions can credibly put to ballots of workers struggling with soaring increases in the cost of fuel, food, housing, childcare, and many other essentials, which were underpinned by today’s announcement of 35-39 per cent additional hikes in home heating bills this winter,” he continued.

However, he said the unions were “ready to be flexible in next week’s discussions” and he noted Mr McGrath’s indication that the Government will make an improved offer on Monday.

“We look forward to finding out if it will be enough to move towards an outcome that we can credibly put to workers in ballots,” he said.

Officers of the Ictu Public Services Committee will represent unions that collectively represent more than 90 per cent of civil and public servants in the talks.

Conor Pope

Conor Pope

Conor Pope is Consumer Affairs Correspondent, Pricewatch Editor