LABOUR LEADER Eamon Gilmore compared current unemployment rates to the 1980s.
Unemployment was now 200,000, he said. "When it was 200,000 some 20 years ago, people marched in the streets about it. People are losing their jobs. The problem must be addressed by new initiatives."
Mr Gilmore suggested that building workers losing their jobs in residential construction could build schools.He said that public expenditure cuts should be made in the area of waste rather than essential services.
Taoiseach Bertie Ahern said that when the full 2007 figures were produced, they would see that the economy was strong, if contracting in the last quarter. "We know the GDP rate for last year and that the economy grew by 5.4 per cent, far higher than people expected."
He added: "Employment continues to grow, there are very low national debt levels and we have a very flexible economy. That is not just my view but the view of most economic commentators.
"Our medium-term prospects are favourable. The lowest economic figure for growth for this year, from the economic houses, is not in the negative: it is 2.2 per cent and rising to 3.5 per cent next year and still growing in a difficult period." Mr Ahern said that last week's exchequer returns indicated a very good performance in income tax, which was up 5 per cent on the same period last year.
