Minister for Enterprise Richard Bruton has denied any rift exists in the Government over his proposals to cut Sunday and overtime rates for 200,000 workers.
Speaking in Dublin this morning, Mr Bruton said the Government is “entirely united" and “committed to radical reform in this area”.
Mr Bruton’s comments came after a large number of Labour Party TDs expressed strong criticism of the proposals, which could affect tens of thousands workers in hotels, restaurants, retailing and other sectors. Many Labour TDs portrayed Mr Bruton’s initiative as a solo run that had neither been fully discussed nor approved by Cabinet.
However, Mr Bruton insisted today the matter had in fact been discussed “for some time” at Cabinet level and he pointed out that there was a commitment in the programme for government for reform. “We have decided that the best way forward is to have consultation with the stakeholders," he said.
When asked if he was surprised at the Labour reaction to his proposals, Mr Bruton acknowledged that reform in any area is difficult. “Of course there are going to be different viewpoints. There are different viewpoints from the social partners. But the Government is committed to have radical reform in this area.”
Taoiseach Enda Kenny said yesterday that Mr Bruton was pursuing a “personal agenda”. The Minister acknowledged today that he had a “huge personal commitment in this area” but insisted he had the full support of Mr Kenny.
Mr Kenny said earlier this morning that no decision had been taken yet on reforming working conditions.
“This is a matter for the Cabinet to decide,” Mr Kenny told reporters at Dublin airport. “Obviously the Government has already made a decision to restore the minimum wage. The Cabinet is about to make a decision and is aware there has to be reform and we are going to make that decision in due course.”
He said Mr Bruton had been mandated to speak to the various stakeholders with a view to establishing the best way to implement changes.
Earlier, Labour backbench TD Joanna Tuffy said it was important Mr Kenny had pointed out that the proposals were part of Mr Bruton’s “personal agenda”.
Ms Tuffy said she disagreed with Mr Bruton’s proposals. She cited a report published this week by Labour Court chairman Kevin Duffy and Dr Frank Walsh of UCD that argued that pay cuts would not lead to jobs growth and that the existing systems of wage-setting should be reformed but not abolished.
"He would take out the agreements in relation to Sunday pay out of the joint labour committees," Ms Tuffy said on RTÉ's Morning Ireland. "That's not recommended by the Duffy-Walsh report and in fact the report very much says the joint labour committees provide an important forum for negotiating issues between workers and their employers."
Asked if she would vote against the proposals in a Dáil vote, Ms Tuffy said she did not believe it would come to that. She said Mr Bruton was just one member of the Government and that Labour was “very comfortable” with what was outlined in Duffy-Walsh report.
“I don’t agree with Richard Bruton’s views but I’m very confident the views I’m representing are the Labour Party views and the views of the Labour Party TDs and Ministers.”
She said the matters would have to be negotiated at Cabinet and that she was confident Labour would have an input and protect low paid workers.
Minister for Public Expenditure and Reform Brendan Howlin signalled yesterday that there is no Cabinet agreement yet. Speaking in the Dáil he said that Mr Bruton’s initiatives were his own proposals and as yet there were “no predetermined outcomes to discussions on the issue”.