SIPTU warned against rejection of pact

There has never been a better time to negotiate a new national agreement, the SIPTU president, Mr Jimmy Somers, has told the …

There has never been a better time to negotiate a new national agreement, the SIPTU president, Mr Jimmy Somers, has told the union's biennial conference in Killarney. Government and employers were reeling from the revelations of tax scandals and corruption.

He warned the 400 delegates against al lowing their anger over Ansbacher to lead them into rejecting social partnership. "If you have your opponent on the ropes, you don't get out of the ring," he said.

"What was promised in 1997 on pay and tax was more than delivered, with the result that instead of the programme's own target of 14 per cent, workers take home pay increased by 17 per cent to 19 per cent". There "was no precedent for that, either here or anywhere in Europe, in any previous agreement". Some people campaigning against national agreements "believe that the campaign, or struggle, is actually more important than any achievements, especially if those achievements are based on some kind of negotiated settlement". But, he added, "I believe that the majority of our members are pragmatic enough to want a tangible result at the end of a campaign rather than simply a moral victory or a noble defeat."

Mr Somers also warned the Government that the way in which it handled "the monumental scams" perpetrated by "an extremely privileged elite" would "have a substantial bearing on whether the partnership pro cess will continue in this country".

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He was "not sabre rattling. I have no need to rattle sabres: the public mood is so strong you can touch it and taste it," he said. "The public demands a tangible sign that their confidence in the tax code has not just been a confidence trick." He said "a special lump payment, tax-free of course, payable to all compliant taxpayers and to welfare recipients, might go some way to restoring confidence in the system".

Mr Somers praised the Tanaiste, Ms Harney, for her role in uncovering the Ansbacher accounts.

"While I rarely get the opportunity to congratulate the leader of the Progressive Democrats for the stands she takes, I believe it would be churlish not to credit her with ensuring that the investigation was pursued with due diligence."

But exposing the scandal was only the first step. The real test for the Government would be how it handled the problem.

"If there is even a hint that the perpetrators are going to get away with it, quite literally scot- or tax-free, then I cannot imagine how our members will be able to maintain even the minimum level of trust which would be necessary to sustain social partnership beyond the lifetime of the current agreement."