Vol. 525 No. 1
108 Mr. Callely asked the Minister for Finance the incentives to sustain our economic performance with regard to the issue of wage increases; if he will address the question of catch up and inflation that is frequently referred to by commentators; and if he will make a statement on the matter. [23677/00]
Sustaining economic and social progress is a key objective of the Government. This requires that we maintain economic stability and the economy's international competitiveness. Prices and wages developments are crucial in this respect. Excessive wages growth could undermine competitiveness and future economic prospects.
The partnership approach to wage determination since 1987 has been a cornerstone of our economic success. The latest agreement continues this approach and the Government is confident that by working together with our social partners we can sustain our economic performance so that our living standards fully catch-up with those of the most advanced European economies. A balance must be achieved between improving living standards and sustaining competitiveness.
