Caoimhghín Ó Caoláin
Question:30 Caoimhghín Ó Caoláin asked the Taoiseach if he will report on his role in the conclusion of the agreement to succeed Sustaining Progress; and if he will make a statement on the matter. [19282/04]
View answerWednesday, 7 July 2004
Questions (36, 37)
Pat Rabbitte
Question:31 Mr. Rabbitte asked the Taoiseach the main features of the new national pay agreement recently concluded with the main social partners; and if he will make a statement on the matter. [19544/04]
View answerWritten answers
I propose to take Questions Nos. 30 and 31 together.
Agreement was reached on the terms of the core pay element of the review on Friday, 18 June, while the text recording agreement on a number of workplace related issues was finalised early in the following week. The agreement provides for a general round of pay increases in the private sector, totalling 5.5%, over 18 months with an additional half per cent increase for workers earning less than €9 per hour or €351 per week. The same increases will apply to the public service commencing on 1 June 2005. There is also a commitment to review the national minimum wage and provision for an increase in the weekly ceiling for the calculation of redundancy payments of nearly €100 to €600 with effect from 1 January 2005. At all times during the negotiation process, I remained in contact with my officials and was available, as required, for discussions with the social partners.
Among the workplace related elements covered in the agreement are: an increase in maternity benefit from its current level of 70% of earnings to 80%, over the lifetime of the agreement; co-operation between the parties to the agreement, to address concerns relating to pensions provision, in particular, the need to increase the take-up of pensions across the economy; a recognition of the importance of a balanced approach to public procurement, based on clear and consistent guidelines; the principles governing our approach to policy in relation to public enterprise; the further development of partnership and learning in the workplace; recognition of the objectives of the Lisbon strategy; a continuing focus on inflation and excessive prices; ongoing consultation on the development of workplace legislation and codes; the appointment of four additional labour inspectors; and policies on the training and employment of people with disabilities.
This agreement represents a fair deal for all concerned and I am hopeful that it will be ratified by the parties' respective memberships. If it is ratified, the agreement will serve to underpin our model of social cohesion, facilitate economic growth and maintain the industrial relations stability of recent years.
In reaching this agreement on pay and related matters, both the employer bodies and the trade unions had to overcome the difficulty of reconciling the needs of their members with the needs of our society and an uncertain economy. Such a task is only possible through a willingness on all sides to compromise in search of an agreement.
I believe that the parties have demonstrated this willingness and struck the right balance with regard to our national prosperity. I would like to take this opportunity to express my appreciation of the positive contributions made by those on all sides who worked tirelessly to bring this agreement about. I would also like to take this opportunity to emphasise, with my colleagues, the Government's continued commitment to pursuing our nation's well-being and prosperity, through the process of social dialogue and I look forward to this ongoing dialogue on items of mutual interest.
This completed review of pay and related matters in part two of Sustaining Progress complements the mid-term assessment of the ten special initiatives contained in part one, which is due to be addressed at the next quarterly plenary meeting with the social partners on 13 July 2004. As has been the case in previous years, it is my intention to attend that meeting along with the Tánaiste and the Minister for Finance.
Formal meetings such as these complement the meetings which I hold with representatives of the social partners on a regular basis. I will continue to meet with the social partners regularly, and as required, over the remainder of the lifetime of Sustaining Progress.
Question No. 32 resubmitted.