Talks on national pay deal continue

Talks on a new national pay deal were continuing last night, but with little sign that an agreement was in sight.

Talks on a new national pay deal were continuing last night, but with little sign that an agreement was in sight.

Employers, unions and the Government are hoping to agree pay rates to cover the remaining 18 months of the Sustaining Progress partnership programme.

However, yesterday's talks at Government Buildings were continuing to focus on a range of other issues of concern to the unions.

Agreement has already been reached in principle to raise the €507 per week ceiling on redundancy payments. Government officials were last night preparing proposals on that and on a range of other issues in the hope of finding common ground between the parties.

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Employers had been anxious to narrow the focus of the talks on the central issue of pay.

At the outset, however, the Irish Congress of Trade Unions insisted that progress would be sought on a number of other matters. It sought "radical reform" of and an increase in resources for the labour inspectorate of the Department of Enterprise, Trade and Employment which monitors the implementation of minimum pay rates.

Congress also sought measures to address the "crisis" in defined benefit pensions schemes, and the "weak impact" to date of PRSAs. It is also seeking an agreement with employers on workers' rights to information and consultation about matters affecting their workplace.

A Government commitment to broaden tax bands so fewer pay more than the standard rate is also being sought by the unions, with the support of employers.

Some union leaders believe agreement on these issues could be vital when it comes to "selling" any deal to members.

"There is a concern that if you just went out there with a proposal on pay and it was shot down, that you would need to have something else to fall back on," said a source at the talks.

Agreement on issues such as pensions and the labour inspectorate would also provide an improved atmosphere today when the parties address the difficult issue of pay.

There is concern that if a deal cannot be arrived at by tomorrow, the talks may have to be postponed until the autumn.

The Taoiseach, whose involvement will probably be required at the conclusion of a deal, leaves on Thursday for an EU summit in Brussels, to be followed by further foreign engagements.

If a deal is not reached by then, union leaders believe it would not be practical to continue the talks process in the holiday season given that any agreement would have to be voted on by members.

A 7 per cent increase, in three phases, was agreed for the first 18 months of Sustaining Progress. There was no indication last night as to what the new figure is likely to be, but given that inflation is at just over 1 per cent, unions are unlikely to secure a repeat of the previous deal.