Unite loses confidence in pay talks

The leader of one of the country’s largest trade unions, Unite, has said it has lost all confidence in the current social partnership talks.

Speaking at the launch of his union’s proposals for a €21 billion economic stimulus plan, Jimmy Kelly forecast that all unions would walk away from the process shortly as he did not think that the Government would be able to deliver what they were seeking.

He said if the government delivered on pay and pension protections it would be “well and good” however he said “we will not be taking part in never-ending talks that are going nowhere”.

Union leaders are meeting Government officials this morning in the latest talks aimed at securing a national economic recovery agreement.

The talks today centre on Government proposals for a new initiative to create and protect jobs, pension protection measures for private sector workers and assistance for people with mortgage difficulties.

In its economic policy document launched today Unite is seeking large-scale Government investment in infrastructure and local enterprise aimed at creating and saving over 100,000 jobs.

“The key to Ireland emerging from the recession is to tackle unemployment. This is the single stand out cause of reduced tax revenue and increased social welfare expenditure,” Mr Kelly said.

Unite proposed funding the new stimulus package through increased Government borrowing, new taxes in some areas and the creation of new economic recovery bonds.