Pork processing compensation scheme

Madam, - The Government has agreed to a €180 million compensation package of taxpayers' money to support the pork processing…

Madam, - The Government has agreed to a €180 million compensation package of taxpayers' money to support the pork processing industry, following the contamination crisis. The EU has committed a further €15 million to meet the cost of storing pork should the market not recover quickly. With all this compensation it would be easy to believe that nobody will suffer financially from the debacle. That is not the case.

Workers are not going to be paid for being laid off last week. Most of those represented by Siptu missed four days, returning to work only on Friday. Our members have a basic rate of €10 an hour. Workers not in unions are paid only the minimum wage. It would probably cost no more than €600,000 to compensate employees, but it would be compensation much appreciated by them and their families in the run-up to Christmas.

Unfortunately the employers say compensation for workers did not feature in the deal made with the Government. It appears that the taxpayers' money will support the owners of the processing factories, but not the people who work there.

Certainly the industry should be compensated for the losses arising from the manner in which the Department of Agriculture dealt with the contamination crisis. But compensation should be paid to all who suffered.

READ MORE

We have yet to be told how the compensation figure of €180 million was arrived at, or how a bona fide scheme can be ring-fenced to exclude some of those most affected.

The industry is estimated to be worth between €650 million and €800 million a year. The contamination goes back to September 1st, 2008 and less than 10 per cent of pork processed in the country was affected. This means that no more that 3.33 per cent of the pork processed annually was contaminated. Much of this product had already been eaten and value of the meat recalled cannot have been more than €10 million.

How was the figure of €180 million reached? Does this figure allow for future losses? Why were the lost earnings of workers not included? Was the consumer considered when the scheme was negotiated, or will the €15 million in EU funds be used to store meat in an effort to inflate the value of pork, and manipulate the market?

In short, are the people benefiting from the compensation the ones who need it most, or does the deal protect powerful vested interests, including possibly those responsible for allowing the problem to arise in the first place? Surely it is unjust that people earning €10 an hour, or less, should have to forgo a week's wages before Christmas through no fault of their own, while others will pocket millions? - Yours, etc,

GERRY McCORMACK,

National Industrial Secretary,

Siptu,

Liberty Hall,

Dublin 1.