‘Irish people must accept 10-12% fall in standard of living’ says Cowan

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Mass rally in Dublin during the December 2005 general strike in support of the Irish Ferries workers’ occupation to defend their jobs
Mass rally in Dublin during the December 2005 general strike in support of the Irish Ferries workers’ occupation to defend their jobs

SIPTU General President Jack O’Connor has slammed Taoiseach Brian Cowen’s ‘woolly speech’ to the Dublin Chamber of Commerce AGM on Thursday night, in which Cowen said that Irish people will have to accept a 10% to 12% fall in their living standards over the coming years.

Addressing the business leaders, Cowen said all sectors had to work together and ‘believe in our capacity to confront the challenges that lie ahead’

In an unscripted and often passionate speech to the lavish AGM dinner, Cowen said he knew that many people were finding it difficult ‘to stay in the game’, and Ireland had gone from a position of unknown prosperity to suddenly ‘the survival stakes’.

But he appealed for self-belief, saying that if people decided to wallow in a sea of doubt, they should not be surprised if we remain in turbulent waters.

‘We will not succumb to defeatism,’ he said.

Cowen appealed to people to show solidarity in the face of the current economic crisis.

He called on all sectors to work together, saying his priority over the next few years would be jobs, jobs, jobs.

‘We must be prepared to take a drop in our standard of living over the next couple of years, but that in the context of the growth in wealth over the past decade, we are in a better position to face it than previous generations.’

The Taoiseach said: ‘I think what we’re seeing now, in the context of the fact that 36,000 people lost their jobs last month, is a need for that solidarity that we’re seeing in the workplace.’

‘That is a solidarity that must permeate everything that we do,’ he said.

He received a standing ovation from the hundreds of guests attending the Dublin Chamber of Commerce function.

Commenting on the Taoiseach’s speech, SIPTU General President Jack O’Connor said on Friday: ‘We noted his desire to maintain the social partnership process, which is okay as far as it goes.

‘However, despite all the woolly words about “working together”, the fact of the matter is that the only people he has inflicted pain upon in last Tuesday’s announcement are those who have to work for others for a living, while not a cent is required of the wealthy.

‘It will require a great deal more than woolly words to maintain social cohesion during the difficult times that lie ahead as a result of the Government’s gross mismanagement of the economy over the last twelve years.’

Also on Friday SIPTU Branch Organiser for Electricity Supply Board (ESB) workers, Greg Ennis, condemned the ‘recent negative ministerial comments made on the legitimate payment of the 3.5 per cent pay increase to ESB employees’ as ‘hypocritical in the extreme’.

He added that it is at odds with the pay provisions afforded under the current Social Partnership Agreement.

‘On how many more occasions will this government demonstrate its capacity to attack the working class in this country?

‘Surely government ministers should be directing their focus and attention to addressing the current catastrophic situation caused by the greedy, but powerful minority, rather than berating those who have already put their shoulder to the wheel to make the ESB the profitable company that it is, and one of which the taxpayer is also a clear beneficiary.

‘Cheap shots taken by government ministers at workers fool nobody and only further serve to depict why we are in this crisis.

‘It is not the first time these ministers have taken their eye off the ball.

‘Where was the ministerial concern and targeted aggression when financial institutions were affording mortgages of 120 per cent to members of the public, who had no choice but to take on such debts due to the inflated price of land and houses by disgustingly rich speculators and developers?

‘The government did not see fit in recent talks with the trade union movement to agree a range of measures which would impact on all sectors of society equally with a view to resolving our current economic difficulties, but rather it chose to target workers.

‘This attack on ESB workers is the latest manifestation of a clear Government strategy, following on from the recent attack on our colleagues in the public service and is despicable in the extreme.’

On Wednesday, thousands of students took to the streets of Dublin to demonstrate their anger at Minister for Education and Science Batt O’ Keeffe’s proposals to reintroduce third level tuition fees.

Despite unfavourable weather conditions, fifteen thousand students from all across the country braved the cold to stage a huge protest to voice their strong opposition to O’Keeffe’s proposed plans regarding third level fees.

‘Students have made their voices heard – and their message is clear – they are not going to let themselves be an easy target in these Government cutbacks,’ said the Union of Ireland Students on Thursday.

It added: ‘The success of yesterday’s march clearly demonstrated how students from all across the country will stand united in their opposition to the re-introduction of fees.’

Former Taoiseach Bertie Ahern had to cancel a lecture at NUI Galway on Tuesday night after a protest by students resulted in scuffles with gardaí.

The protest had been organised by the student society, FEE, which opposes the reintroduction of third-level fees.

Ahern was blocked from entering the college grounds and was booed and jostled by a group of about 20 protestors.

Ahern was there to accept a presentation from the college’s Literary and Debating Society.

Gardaí in Galway confirmed that one man was arrested following the protest but was later released.