'No' vote on Lisbon will cost jobs, says Cowen

A NO VOTE in next month’s Lisbon Treaty referendum would cost jobs, Taoiseach Brian Cowen has warned.

A NO VOTE in next month’s Lisbon Treaty referendum would cost jobs, Taoiseach Brian Cowen has warned.

Addressing the Oireachtas Joint Committee on European Affairs, Mr Cowen outlined the reasons why he believed ratifying the treaty was fundamental to the State’s economic recovery.

He stressed the issue this time round was not only the content of the treaty but the context in which the referendum was taking place.

“I am unequivocal in my view that a No vote in October would cost us jobs. In the business world, sentiment matters. You only have to look at how the international money markets work.

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“Right now, Ireland is paying more than we would wish for borrowings, in part because of negative sentiment towards us. . .There is little doubt that reaffirming our commitment to Europe, and to working closely and constructively with our EU partners, would also help to restore confidence externally in our ability to manage our way forward.”

Mr Cowen said all the main business groupings and the Irish heads of several multi-national firms were “crystal clear” in their view that reluctance to endorse the treaty, together with the resulting perception that “we are somewhat a-la-carte in terms of our commitment to Europe”, would make it more difficult to attract and secure inward investment.

“Those who argue otherwise would do well to listen to the employers’ representative groups, to the exporters of Ireland, to the farmers’ representative groups and to the employers themselves.

“Those who have experience of pursuing and securing inward investment, developing and exploiting export markets, or growing and expanding businesses, are united in their view that rejecting Lisbon will cost jobs.”

Mr Cowen said “unequivocal membership and commitment to the EU” was crucial for a small, open economy like Ireland.

“When the IDA competes with another region, whether from Europe or beyond, any possible undermining of our EU membership will be fully exploited, and the chances of the investment and jobs ending up in Ireland will shrink.”

It was “highly significant”, the Taoiseach continued, that the Irish Congress of Trade Unions, and the country’s largest trade union, Siptu, were both supporting a Yes vote in the October 2nd referendum. “They see that a Yes vote is a vote for jobs and employment rights, and so do I.”

He warned the outcome of next month’s referendum would be interpreted as a signal of Ireland’s future intentions regarding its place within the EU. “Whether we are seen as wanting to remain an influential player at the heart of Europe or suggesting that we are moving to the periphery based on suspicion or mistrust of Europe’s direction and intent . . . As of now, the other member states have given a comprehensive response to our concerns.

“They would, justifiably, be at a loss to know how exactly they might be expected to respond to a second rejection of Lisbon.” It is difficult to imagine “the same spirit of understanding and co-operation” a second time.