Ictu says inflationary practices must be curbed

The Government must curb "official inflationary practices and policies", to ensure people received the full value of pay increases…

The Government must curb "official inflationary practices and policies", to ensure people received the full value of pay increases agreed under Towards 2016, the Irish Congress of Trade Unions (Ictu) said today today.

The forthcoming budget also needed to "invest in people at all stages of their lifecycle and invest in the protection of workers rights," Ictu general secretary David Begg said.

Unveiling the Congress 2007 pre-Budget Submission, Mr Begg said the Government needed to focus on "curbing inflationary practices that could eat away at agreed pay increases". He said recent gas and electricity price hikes "were wrong and the regulatory regime in that sector is now driving inflation in pursuit of a flawed competition."

"In terms of spreading our prosperity, we also need to start investing in people at all stages of their lifecycle: that means affordable and appropriate childcare; a properly-resourced education system; enabling people to upskill while at work; ending privatisation by stealth in the health service as it feeds inequality; ensuring the pensions crisis is addressed; investing heavily in public transport to improve peoples' quality of life," he added.

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Mr Begg also said that the new employment rights model agreed under Towards 2016 must be fully-resourced: "This is not an optional extra - this is central to where we as a society see ourselves. Are we to opt for the bargain basement model where human dignity become a luxury, or do we aspire to be a society which upholds and enforces the highest standards?"

Key recomendations from the ICTU are:

  • Increasing employee Tax Credit by at least €350;
  • Increase personal Tax Credit by €60.60
  • Single person's standard-rate band should be increased by at least €5,000 pa.
  • Raise age Tax Credit to €30 for a single person and €700 for married people.

The ICTU also calls for sufficient funding to meet the commitments in Towards 2016 in respect of employment rights compliance as well as funding for education and upskilling, health and care facilities and pensions.