• Meet the first time TDs Page 8 – Interview with new Tasc director Page 18 – TUF Membership Service Page 32

Vol.10 No.3 March 2011 ISSN 0791-458X IRELAND Victory at the Davenport P3 NEEDS A Battling Mortgage Slavery P10 ‘NEWCongress team DEAL’ to meet Report on HSE Skills with EU unions By FRANK CONNOLLY Fund THE Irish Congress of Trade Unions is to meet contracted by 1% last year. Marshall Aid programme. They are insisting on with key trade union leaders across the Commenting on the figures, SIPTU and piling misery on misery in the hope of appeas- P16/17 European Union this week as part of an initia- Congress president, Jack O’Connor said they ing those at the top of the major European tive designed to secure a new financial deal for confirmed the trade union view that austerity banks which are now exposed to the debts of Ireland. measures and cutbacks were a recipe for fur- the peripheral countries as a result of their It comes as pressure grows from the most ther recession forcing working people into reckless lending during the boom years,” Jack powerful Eurozone countries on the deeper poverty, unemployment and job inse- O’Connor said. Government to make further concessions on curity. “The right of centre leaders of Germany and the Irish corporate tax rate and to intensify “We have argued that economic stimulus France, in particular, have concocted a ‘com- already failed austerity measures. and a strategy for growth are the only way out petitiveness pact’ as a condition of underwrit- The delegation, led by Congress president, of the crisis caused by the recklessness of ing loans to enable countries like Greece, Jack O’Connor, and general secretary, David bankers, government mis-management and Ireland, Portugal and Spain to limp on from Begg, will meet with the Confederation of the failure of regulation. day to day. German Trade Unions – Deutscher “These latest figures show that our analysis “This grandiose title is a euphemism for a Gewerkschaftsbund (DGB) – in Berlin on on the recessionary effects of austerity was recipe which effectively imposes the conse- Wednesday (30th March). correct. The proof of the pudding is in the eat- quences of the profligacy of those at the top of The DGB represents more than seven mil- ing,“ said Jack O‘Connor. the European banking system on citizens gen- lion German workers. Meetings are also sched- In the meetings with European trade union- erally and working people in particular. uled with Dutch and Scandinavian trade ists, he said he and David Begg would be push- “It is patently unfair. Worse still, it is unionists. ing for a Marshall Aid-type programme to lift inevitably doomed to failure” he said. The visit follows the latest crisis to hit the stressed economies out of recession rather Calling for more imaginative and innovative What became Eurozone with the collapse of the Portuguese than adopt a reparations approach similar to policies from EU leaders he said that the idea government over its attempt to enforce a series that used after World War 1. of a ‘debt for equity’ swap with deeply stressed of Irish Citizen of austerity measures. “The dominant conservative outlook in banks should be considered as an alternative It also comes as the Cental Statistics Office Europe remains insistent on a reparations to failed austerity-driven policies. Army? P26 released new data showing the Irish economy approach when what is required is a kind of Continued P2 2 Liberty MARCH 2011 NEWS

In this month’s ‘Ireland First’ group in privatisation push Challenge for Amanda Ziemele appearsin SIPTU video

News P2-7 SIPTU short Your new TDs P8-9 the Republic is premiered

A GROUP of powerful people is seeking to THE SIPTU premiere of a new short film – reshape the state with a plan it claims puts highlighting the plight of low paid workers “Ireland First”, write Padraig Yeates and Scott over threats to Employment Regulation Millar. Orders, the cut in the minimum wage and In recent weeks a so-called ‘Blueprint for budget tax increases – was screened at a meet- Ireland’s Recovery’ has been drip-fed to the ing of the Contract Cleaners Forum in Liberty media. The plan has also impacted on the Hall, Dublin on Saturday (26th March). A collaboration between Congress and The economy P11-15 agendas of the centre right parties, with Fianna SIPTU’s Strategic Organising Department, the Fáil admitting discussions with members of film will be distributed widely on YouTube, HSE skills report P16-17 the group “informed” its election manifesto. Facebook and other sites. TASC interview P18 The ‘blueprint’ is a menu for mass privatisa- It features two of SIPTU’s new workplace tion and cuts to public services with “Ireland leaders in the cleaning industry, Amanda Liberty View P19 First” seeking to sell off our airports, ports and Ziemele and Barbara Mola, as well as long electricity grid. standing security industry activist and NEC Health P20 Among the members of the “Ireland First” member Christy Waters. group is leading businessman, Dennis O’Brien. Moriarity Tribunal report shone a light on The showing is timely for the contract Fair Hotels P21 The Moriarty Tribunal found that former links between politicians and big business cleaners at Beaumont Hospital as they step up Fine Gael minister Michael Lowry “secured the Goldman Sachs has been heavily criticised their campaign to protect terms and conditions winning” of a 1995 competition for the state’s for its involvement in the current global sover- and reverse cuts to working hours. second mobile phone licence for O’Brien’s Esat eign debt crisis. Among the scandals with A few days before the Forum met, group. The tribunal also found O’Brien made Beaumont Hospital workers balloted for indus- two payments to Lowry in 1996 and 1999 that which the company has been associated are trial action against employer, the Resource totalled over £500,000 (€635,000). the Greek government’s credit swap opera- Group. With a 92% turnout, and a margin of Susan O’Brien responded that Judge Moriarty had tions that helped Greece mask the size of its 88% in favour of taking action, the newly- O’Keeffe P22 issued a report that was “factually wrong and national debt. organised workplace committee started talks deliberately misleading.” He claimed that the Another figure associated with the group is with management last week, secure in the rest of the judiciary were now protecting their knowledge that they had the backing of their party donor Michael O’Flynn. The Cork-based Diary of a Southside TD P23 colleague, “[He’s] one of their own. They’ve got colleagues. property developer featured last year in a RTE Global Solidarity P25 it wrong and now he has to be protected.” The Malta-based tax exile has accrued mas- documentary that filmed him attending race Tradition P26 sive financial resources and holds a prominent meetings by privatehelicopter while his firms SIPTU to get position within the Irish media. are largely controlled by NAMA. “O’Brien has quietly amassed a very signifi- Fronting the “Ireland First” group are its info on Rehab cant position in the Irish media due to his con- joint chairpersons, business man Philip Lynch THE Labour Court has granted SIPTU the right trolling interests in Independent News and to inspect the accounts of the Rehab Group Media group and a number of radio stations,” and Rehab group chief executive Angela Kerins. Kerins has acted as chairperson of the after an attempt by the company to impose pay said Gavan Titley, a lecturer on media at cuts without agreement on staff. Maynooth University. National Disabilities Authority and Equality SIPTU’s national committee approved the The “Ireland First” group also includes fin- Authority. She was chairwoman of the latter appointment of the Mazars auditors to carry ancier Dermot Desmond, who also gave evi- International News P27 when its former chief executive, Niall Crowley, out the examination which is now under way. dence to the Moriarty tribunal and who made resigned in December 2008. Sector Organiser Louise O'Reilly said: “The €127 million from his involvement in the Esat Among this well-heeled group’s plans are a Rehab Group claimed that they had no choice Ideas Institute P28 deal. Desmond is non-resident and does not €5.5 billion worth of cuts to social welfare, but to impose pay cuts. However, they never pay tax in Ireland. A former confidante of gave a full financial pictureto their own staff Know your rights P29 while it claims another €2.1 billion can be Charles Haughey, he is estimated to be worth to underpin this decision. Obituaries P30 €2 billion. saved by a further crackdown on welfare fraud. “It is regrettable we had to engage in indus- Another “Ireland First” member is interna- Its ‘ideas’ on job creation are ill-defined trial action to get this information. We are con- Sport P31 tional banker and Fine Gael grandee, Peter beyond a project to legalise global online gam- fident the report will be comprehensive and Sutherland who is also a former Attorney bling which it claims would generate 5,000 we will be in a position to engage with the firm General. A former chairman of AIB and BP, jobs. “Ireland First” also calls for the appoint- once we have a full financial picture”. Liberty is dedicated to providing a Sutherland is non-executive chairman of SIPTU members at Rehab voted in favour of platform for progressive news and views. ment of “business people” to the cabinet to investment bank Goldman Sachs industrial action when the company attempt- If you have a stories International. “advise” on economic decisions. or comments please contact: ed to impose the pay cuts in 2010. [email protected] Congress team press Irish case

Liberty is published by the From P1 “Suffocating the struggling happening in Ireland than that provided by aware that the IMF/EU bailout deal has failed Services, Industrial, Professional economies of the peripheral countries will the mainstream media. It is critically impor- and that if we persist with these failed poli- & Technical Union, LIberty Hall, Dublin 1 serve only to delay the inevitability of tant that we in the trade union movement in cies, this country is heading for a disorgan- SIPTU General President, Jack O’Connor Vice President, Patricia King default with all its unpredictable conse- Ireland work with our comrades at EU level ised default. General Secretary, Joe O’Flynn quences for people across Europe. to convince civil society in Germany and “It is a stark message, but one that has to Production: SIPTU Communications Department, “The idea of a ‘debt for equity’ swap other European countries of the futility of be delivered because I do not think it has Liberty Hall, Dublin 1 mechanism involving the European austerity both for us, and ultimately for been heard across the EU. This is a crisis for Tel: 01 8588217 Financial Stabilisation Fund contains a great them, and the necessity of embracing more Ireland and for the EU. Email: [email protected] deal of merit. imaginative and innovative solutions. “It has implications that reach far beyond SIPTU Head of Communications, Frank Connolly “It would render our banks solvent again “Essentially, we will be arguing the case our shores and Congress is determined to get Journalist: Scott Millar Design: Sonia Slevin (SIPTU) providing credit lines to facilitate economic for a new deal for Ireland.” that message across. & Joe Mitchell (Brazier Media) recovery. David Begg said trade union leaders across “Because of the decision to guarantee the Publications Assistant, Deirdre Price “Ultimately, the debt swapped for equity Europe need to grasp the true nature of the banks, our debt is so large that Ireland’s 1.8 Administrative Assistant, Karen Hackett would assume real, tangible value,” he Irish economic, financial and banking crisis. million workers will never be able to pay it Produced, designed, edited and argued. “They need to understand the true nature back. printed by trade union labour Printed and distributed by Jack O’Connor said the discussions with of the crisis in Ireland and, from that, what it And it is not a debt they ran up in the first The Irish Times, City West, Dublin. European trade union leaders would help to will take to resolve it. place. It demands a fair resolution,” David portray a more balanced picture of what is “Crucially, they need to be made fully Begg added. Liberty 3 NEWS MARCH 2011 Membership surge after Davenport Five victory

By SCOTT MILLAR THE Union is experiencing a surge in hotel workers seeking to join in the wake of the ‘Davenport Five’ victory against attempts to cut the minimum wage. Join now! On 7th March the Labour Court found in JOLITA Valusiene had worked at the favour of the five housekeepers at the Davenport Hotel for five years Davenport Hotel, owned by busi- before she was forced to take strike nessman Noel O’Callaghan, who action to defend her contracted went on strike when their wage rate. employer attempted to slash their wages. She said: “I joined SIPTU two years SIPTU Sector Organiser Pat Ward ago for help when my hours were said; “A number of hotel workers being cut at work and they helped have contacted us about joining the me then. I would advise people to union because they have seen what definitely join the union, it is like strong, courageous and brave people an old saying that one soldier in the can do when they stand together. field is not a soldier they must be part They now see the benefits in protec- of something bigger. tion, leverage and support of being part of a union.” “The union provides services which The attempt by O’Callaghan to unfairly are not easily available if you are on cut his workers’ wages began on 1st your own, such as information on your February – the day a reduction in the min- rights under the law. You never know imum wage from €8.65 to €7.65 was enacted when you’re going to need the support into law. of your union.” This was despite a claim by then Minister for Finance, Brian Lenihan, when presenting the minimum wage cut to the Dáil that those According to Pat Ward, the women are once presently employed on the €8.65 rate would more enjoying their work at the Davenport not be subject to any reduction. where they are being treated fairly. O’Callaghan, who has been a financial Solidarity: Jolita, far right, with, from left, Grazyna Ziemer, Regina Balciuniene and Raisa “This not only impacted on the five people donor to both Fianna Fáil and Fine Gael over Jonaitiene. pictured outside the Davenport Hotel during the dispute Picture: Photocall in the Davenport Hotel but it has wider implica- the years, called his mainly foreign national tions for the 300,000 low paid workers the workers into a meeting where they were pre- pay roll,” Pat Ward. The five were Jolita O’Callaghan to agree to go for binding arbitra- Valusiene, Raisa Jonaitiene, Ingrida Balciuniene tion at the Labour Court length and breadth of the country. sented with new contracts reducing their and Regina Balciuniene, all from Lithuania, At a Labour Court hearing on Friday, 4th “I have no doubt that other employers of hourly wage to €7.80. along with Grazyna Ziemer from Poland. March, company representatives claimed inabil- O’Callaghan’s ilk were watching this closely to “They were not allowed to take these con- Two of the women were SIPTU members and ity to pay the €8.65 rate but refused to provide see how the union and the Labour Court would tracts away to be looked at and they were not contacted the union, the other three quickly any evidence to back up their claim. deal with it. made available in their own lanuages. He effec- joined up. The union balloted the two in bene- In a recomendation, issued on 7th March, “We sent out a strong message by engaging tively told themif they didn’t take the pay cut fit members and served strike notice on the the Labour Court found “the employer’s actions in industrial action that even when people feel they would be taken off the work roster. Davenport. were not fair and reasonable in all the circum- vulnerable and are small in numbers, we will “He even claimed at one stage the cut was The women were joined by other trade stances of this case. stand beside them and support them in every necessary in order to ‘support the unionists as they picketed the hotel for 12 days. The women were reinstated on their existing way that is necessary,” Pat Ward added. Government’. Five people said they weren’t Support was pledged by politicians, including contracted pay rate of €8.65 and were compen- The new Government has committed to prepared to take the pay cut and they were Fine Gael leader Enda Kenny and Labour’s sated all monies they had lost for being taken reinstating a minimum wage rate of €8.65 with- taken off the roster and subsequently off the Eamon Gilmore. The pressure forced off the roster. in weeks. Bosses’ group cries More Irishidentify foul over review as working class

AS the Review of the Joint Labour Ibec has launched an offensive which clearly THE economic downturn has resulted in you lived, education, membership of a trade Committee (JLC), Registered Employment seeks to prejudice the outcome of the Review more people identifying themselves as work- union etc – have all weakened as influences. Agreements and Employment Regulation in pursuit of the employers group’s vicious ing class according to new research. Other influences on perceived social class Orders nears completion, employers’ body wage-cutting agenda. A survey of 1,000 Irish adults by Amárach that have been important more recently have Ibec has accused the new Government of Ibec wants the independent Review to Research in 2005 found that more felt they been income levels, home ownership and prejudicing its outcome. abolish the JLC/ERO system, retain the new belonged to the middle class (43%) than to consumerism.” It claimed the Programme for reduced minimum wage at €7.65, and dis- the working class (35%). “But these latter influences have all been Government argues for a reform to the JLC mantle the REAs which help to maintain rea- A repetition of the survey in 2011 now reversed to a degree by the recession. Which system through which union and employer sonable wage levels for hundreds of thou- finds that more people feel working class is probably one reason our research shows an representatives set Employment Regulation sands of low-paid workers. than middle class, 41% compared to 40%. increase in the proportion of people self-iden- Orders rather than its abolition, which Ibec Its attack on those earning thelowest Research found that under 25s and over tifying as working class,” O’Neill added. favours. wages in the country coincides with the High 45s were more likely to feel middle class O’Neill said he believed people’s changing In particular, it criticised the Programme Court challenge to the EROs taken by the while those aged between 25 and 45 were views were impacting on marketing. for Government for “preserving one of the Fast Service Food Alliance, a group which more likely to identify as working class. “One virtue associated with the traditional most objectionable aspects of the JLC sys- represents companies such as Burger King Only 1% indentified themselves as upper idea of working class is that of solidarity, tem; the retention of the casting vote by the and Abrakadabra. class. Amárach Research Chairperson Gerard especially in the face of adversity. We are chairman of a JLC.” The McDonald’s chain of fast food outlets O’Neill said he believed the changing eco- already seeing a growing number of commer- Angry at the manner in which the Labour is no longer a listed member of the Alliance nomic realities had played a role in more peo- cial clients adapting to the new zeitgeist Party inserted important protections for but is believed to be actively supporting the ple identifying as working class. “Traditional emerging around solidarity, resilience and workers in the Programme for Government, court challenge. sources of class identity – occupation, where community. Less bling and more belonging.” 4 Liberty MARCH 2011 NEWS

Reports from the Industrial Front by Scott Millar

SIPTU welcomes Amgen buyout of Pfizer facility

SIPTU has welcomed the news that Amgen, the “We wish Amgen well in its future endeavours world’s largest biotechnology company, is to and we hope it grows and prospers. It has buy the Pfizer manufacturing plant in Dun inherited a highly skilled and motivated work- Laoghaire. force,” she added. “We look forward to establishing a good About 240 people will transfer to Amgen working relationship with Amgen and we with about 40 staff staying with Pfizer. SIPTU would hope to build on the positive industrial has 200 members at the Dun Laoghaire plant. relations landscape that already exists at the Amgen is to produce Pfizer products in Dun plant,” said SIPTU Organiser, Michelle Quinn. Laoghaire for an interim period. The purchase is expected to be completed this summer. Summer sell-off: Pfizer’s Dun Laoghaire plant

Workers close to victory in fight to organise

AFTER over a year of struggle the Labour Court has confirmed collective bargaining rights for workers at GE Healthcare in Cork. SIPTU Sector Organiser Alan O’Leary said; “Over the past number of months our mem- bers were put under tremendous pressure by Fire-fighters their employer. “The company at general meetings demonised SIPTU and embarked on anti- union initiatives such as a workplace ballot against the union and a worker petition.” reinstated SIPTU took the workers’ case to the Labour Relations Commission where the company TWELVE part-time Leitrim fire-fighters March leading to a threat from the union to The issue of whether results in refresher refused to engage in negotiations. have returned to work following the inter- ballot their full-time colleagues on possible training courses could lead to fire-fighters The case proceeded to the Labour Court vention of SIPTU after they were dismissed industrial action. having to be re-trained will now be dis- where SIPTU was able to show that the Cork in a dispute withcounty council officials With the county’s fire-fighters threaten- cussed at national level between unions plant management’s refusal to engage with the over training courses. ing strike action, the dispute went to the and local government representatives. union was not in line with the stated policy of They had expressed concerns about Labour Relations Commission where it was Assistant Branch Organiser Anthony its parent company, multi-national General changes in format to a breathing apparatus resolved after a day-long meeting on 15th McCormack said; “This should be a nation- Electric. refresher training course. March. al issue where what is happening with The Labour Court issued a recommendation This could have resulted in the fire- The agreement that was brokered saw these training courses is uniformly dealt that the company recognise the union’s right fighters losing their right to work and pay. the immediate reinstatement of the fire- withacross county council areas.” to collective bargaining on behalf of its mem- The 12 workers were dismissed in early fighters and no loss of retainer payments. bers. Picture: Photocall “It is ironic that at the Labour Court GE management were represented by an outside consultant. “Obviously, it is OK for the company to afford itself the right of representation while it refuses to allow workers the right to be profes- Partnership deal brokered at Kirchhoff sionally represented by their trade union,” O’Leary said. SIPTU workers have agreed a new partnership levels of social protection to all employees and McDermott said; “This has been a long process “Our challenge now is to have the Labour deal with automotive supplier Kirchhoff also ensures the company can provide the but we are pleased our employees have sup- Court’s recommendation honoured by the Ireland. framework for long-term employment in ported the agreement and have shown great Company. The Joint Company Union Agreement Letterkenny. commitment to the future success of our “This will not be easy but we are committed builds on an existing strong culture of co-oper- The negotiating process started two years plant.” to ensuring that the basic right of union repre- ation between the company and staff within ago and involved management, Ibec, Boyd The company supplies products to motoring sentation is secured in this major multi- the Letterkenny plant that started production Consulting, SIPTU shop stewards and officials. manufacturers, including General Motors and national,” he added. 30 years ago. The new agreement offers high Kirchhoff Ireland managing director Sean Volkswagen Audi Group. Liberty 5 NEWS MARCH 2011 Don’t sign that Workers must not contract be ‘last in queue’

HSE attempts to cut the pay of agency staff THE new government must prioritise legali- pany in Little Island, Cork, just before and Labour TD Kathleen Lynch, recently in the health sector will now be considered sation that protects workers’ rights if a compa- Christmas 2008. appointed a junior minister. by the Labour Relations Commission. ny goes into liquidation, according to SIPTU The closure broke an earlier management The union has also organised a petition, promise to conclude a redundancy deal with The move follows a decision by unions to Sector Organiser Alan O’Leary. signed by thousands, demanding SWISSCO request that the body charged with oversee- He said: “It is unacceptable that workers can the union. honour its promise to implement a Labour ing the implementation of the Croke Park be left on the scrap heap by their employer O’Leary said; “Our members did not receive agreement consider attempts by agency com- without any sanction. a payslip, a reference or holidays owed. Court Recommendation that states each work- panies to present workers with contracts at “We urgently need legislation to prevent a “Their employer did not even pay them for er is still owed two weeks’ pay for each year of reduced than agreed rates. situation where workers are effectively last in the week’s wages they had already worked – service. Following a meeting of the Croke Park the queue to get their entitlements following we had to negotiate payment of this with the SWISSCO is owned by a Singapore Company Agreement National Implementation Body liquidation.” liquidator.” SATS which is owned by the Singapore For the last two years, O’Leary has been bat- Following the closure, SIPTU through the on 23rd March the group decided to callin Government. The company received €8 mil- the assistance of the LRC. tling to secure fair redundancy terms for 154 IDEAS Institute provided members with train- workers made redundant by formerly Cork- ing courses and began a campaign to secure a lion in IDA grant aid between 2004 and 2006. The Body also reiterated “pervious advice The previous government indicated that legal on the importance of management comply- based company SWISSCO. fair redundancy for them. action would be taken to retrieve a portion of ing with its obligations on consultation as The ready meal manufacturer, which had Among those who have pledged to support been in operation since 1974, liquated its com- the campaign are numerous local councillors these funds. set out in the (Croke Park) Agreement.” The dispute arises from a decision by the HSE in mid-March to push for a reduction in pay rates with agency companies. Contracts at the reduced rates were issued by some agency companies who requested staff mem- €10k payout forunfairdismissal bers sign them despite the issue being in dis- pute. A SECURITY guard has been awarded over to a new work location from Limerick Regional Local SIPTU Branch Organiser, Ger SIPTU’s acting health division organiser, €10,000 at the Employment Appeals Tribunal Hospital. Kennedy, said he was satisfied with the tri- Paul Bell, has advised members not to sign after it found he was unfairly dismissed. According to a company manager, this was bunal’s decision. these contracts. SIPTU member, Noel Cantwell, took the because he was getting too tied up with trade But he added; “The Employment Appeals In a letter to health sector workers he case against Keg Securities arising from his dis- union business which was interfering with his Tribunal works but the problem is the delay in stated “all efforts” were being made by missal in March 2008. It was determined that work. accessing it. “SIPTU, working with sister trade unions in Cantwell’s employer had acted incorrectly in The tribunal found that correct procedures “The process needs to be streamlined or the Health Service to challenge and reverse relieving him of his duties without giving him were not followed and Cantwell had been more resources devoted to it. You are currently the decision of the HSE to engage Agency an opportunity to respond to, or appeal, a unfairly dismissed for which he was awarded waiting 78 weeks to get a hearing and up to six staff providers, which apply lower rates of warning issued to him. €9,500. He was also awarded two weeks’ pay, months to get a decision. For me justice pay to nurses, health care assistants, radiog- Earlier that year, Cantwell had been moved equalling €950, in lieu of notice. delayed is justice denied.” raphers, radiation therapists, phlebotomists, and clerical and support grades.” Nursing sector organiser, Louise O’Reilly, said she was “hopeful” the LRC’s consulta- tion process would result in an end to the HSE’s attempts to cut pay rates. Unions begin talks with RTÉ She added that “agreeing to work for less- er rates before the resolution of the dispute would significantly undermine any possibil- THE RTÉ Trade Union Group and the national agreement in relation to pay cuts and suspen- Management and the RTE TUG have agreed to ity of success on the part of SIPTU and other broadcaster’s management have begun talks on sion of increments for 2011. the extension of a cost reduction agreement “It has also presented proposals for an early refer the non-payment of health unions to secure appropriate pay which expired last December. retirement/voluntary redundancy package increments as a matter rates for agency workers.” The 2009 agreement had been agreed by affecting up to 80 posts. of dispute to the concilia- unions and management to deal with a €67 “The RTE budget deficit when the initial tion process of the million deficit in RTÉ’s budget caused by a col- agreement was reached was standing at more RTE Industrial Relations SIPTU Membership lapse in advertising revenue. than €65 million. That deficit is now forecast- Tribunal. The agreement provided for pay cuts of up ed at €30 million for 2011. RTE management has also committed to making Information & Support to 12.5% as well as the suspension of pay incre- “We are working in a partnership manner significant savings from Pat Ward ments and other entitlements. with management in order to bring about fur- Centre (MISC) those employed by the com- SIPTU Sector Organiser Pat Ward, who is ther alleviation of this deficit in a way that is pany on high earning self- 1890 747 881 leading the talks on behalf of the union, said: fair and affordable to our members,” Pat Ward employed contracts. “The company has sought an extension of the added.

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SIPTU has its expressed concern over fears of constructive”, he added: “We have reinforced So far engagements have taken place and further cuts to community services in the message to these political leaders that cuts dates set for meetings with roughly half of the Northern Ireland in a series of meetings with in community sector funding will prove to be councils. District Councils and Stormont MLA’s a false economy with the resultant long term Thus far all engagements have proven to be The union claims one in 10 jobs have financial and social costs far outweighing any positive and constructive, he said. already been lost in the community sector short-term savings. Martin O’Rourke added: “In addition, over the last two years. “We have received cross-party support for SIPTU has continued its successful engage- SIPTU Lead Organiser, Martin O’Rourke, our message.” ments with community sector workers across said; “We have met with MLAs from the UUP, SIPTU has also written to the 26 District the economy to advise them of our strategy the SDLP and Sinn Fein with further meetings Councils in Northern Ireland requesting the and to ask them to join our campaign to planned with the Green Party and opportunity to engage with them on the issue protect their jobs and the vital services they Independents.” and asking them to pass motions of support provide,” Describing these meetings as “positive and for community sector workers.

Workers taking part in a protest jointly called by the Restaurant and Catering Think Workers Forum, established by SIPTU, and the Migrant Rights Centre Ireland (MRCI), outside Supermac’s O’Connell Street Dublin on the Wednesday (16th March). Migrant workers were joined by Union, trade unionists and members of the public at the protest highlighting attempts by Buy restaurant owners to reduce wages. Union. Fast food grouplaunches court challenge on JLCs

Protect By PADRAIG YEATES

THE Quick Service Food Alliance (QSFA) has 2008. entire system. launched a constitutional challenge to the His only previous visit had been by an Dr Michelle O’Sullivan, an industrial rela- Joint Labour Committee (JLC) system that has industrial inspector in 2001 who left him some tions expert at the University of Limerick, said Irish negotiated rates for workers in low wage sec- material on his obligations as an employer but the JLC set minimum standards for workers in tors such as catering, hotels, contract cleaning never mentioned JLCs. sectors with low levels of unionisation. and the security industry for the past 65 years. Grace added that many QSFA members face The lowest paid of all sectors was catering, The Alliance has 220 members. It is fronted prosecution because they failed to comply with where union density of 7% was the lowest in by small traders but is backed by some of the JLCs and would be liable for retrospection to the working population. Jobs. largest chains in the country such as workers paid below the legal rates. Their JLCs were desirable because they protected Abrakebabra, Supermac, Burger King and Senior Counsel, Brian Murray, said the JLC sys- vulnerable workers, set minimum standards, Subway. tem was unconstitutional and discriminatory facilitated dialogue between unions and These employers want to eliminate JLCs so because it did not cover all fast food outlets – employers and helped avert industrial dis- that they won’t have to engage in collective only those that provided facilities to eat on the putes. bargaining and pay more than the reduced premises. Mr Justice Feeney said he would deliver his National Minimum Wage of €7.65 an hour. He also questioned the legal basis of the JLC judgment after the Easter break. This will also At present, workers in fast food outlets cov- system, and the role of the Labour Court in be after the completion of the review into JLCs ered by the JLC can earn over €9.08 an hour at actively promoting harmonious industrial rela- and Registered Employment Agreements by the top of the scale (which is barely 40c above tions and collective bargaining in low wage sec- the Labour Court Chairman Kevin Duffy and the “old” minimum wage which the tors of the economy. UCD labour market economist Frank Walsh. Government parties have committed to Mark Connaughton SC, for the State, ques- The review was ordered by the Fianna Fáil- restore). tioned why the Alliance was launching a con- Green Party government in its dying days. Giving evidence on behalf of the QSFA in stitutional challenge rather than engaging with The stakes for more than 200 employers fac- the High Court before Mr Justice Kevin Feeney the Labour Court and the JLCs in having its ing prosecution and claims for unpaid wages last week, its Cork-based chairman, John Grace, concerns addressed. are high. said he only became aware of his obligations Alternatively, the Alliance could seek a judi- Those for 300,000 low paid largely non- under the JLC agreements after a visit from the cial review if it felt members were treated unionised workers are even higher. National Employment Rights Authority in May unfairly rather than try to bring down the Gaeltacht rally behind workers LOCAL communities in the Connemara Rosmuc and Inverin locals have been promi- maintain jobs as well as the services provided Gaeltacht have rallied to support Meitheal nent in supporting pickets at the company by our members in the Gaeltacht communities, Forbatha na Gaeltachta Teo (MFG Teo) workers offices in Inverin. They have also raised spirits MFG Teo has eight offices across the country, is whose jobs have been threatened by cutbacks. with musical entertainment and by supplying based in Connemara and provides vital social Ten union members went on strike at MFG refreshments. services to the most vulnerable communities Teo on 16th March as part of a campaign to SIPTU Organiser, Diane Jackson, said: “The in the Gaeltacht area. save the jobs of four colleagues who were union has submitted a proposal to MFG, which The dispute has been referred to the Labour issued with redundancy notices. includes cost-cutting measures, but which will Relations Commission. Liberty 7 NEWS MARCH 2011 On the election If you buy and Programme Irish food, confectionery, for Government drinks and other products By JACK O’CONNOR you help to: The outcome of the general election has led to Timeframe Extended office. The threatened re-introduction of third a great deal of celebratory triumphalism, par- level fees has been staved off. While a new • Support thousands ticularly from right wing media and commen- Regretfully, the measures envisaged do not go funding system for third level institutions is tators, over the success of Fine Gael. far enough. However, there is very little room to envisaged the Programme explicitly declares of Irish jobs from However, the most significant shift in vot- manoeuvre within the strait jacket of the EU/IMF that it will not impact access for students. ing patterns in a country where 80% of voters ‘bailout’ agreement entered into by the Fianna food processing to have historically supported centre right parties Fáil-Green Party administration. The new Electoral Interests Government has agreed to extend the timeframe product packaging is the fact that the vote for parties and individ- It goes without saying that the electoral inter- uals of the broad left more than doubled on for reaching the targeted adjustment of a deficit of to transporting and not more than 3% of GDP by one year to 2015. ests of the Labour Party would be far better this occasion from 20%to 40%. served by staying out of government because it warehousing to the This is the most significant shift in voting While this is an improvement it is not enough. It has also decided to comply with the measures would be able to avoid responsibility for any patterns in the history of the State. unpopular measures. shop counter. Many on the left argued against the Labour imposed in the last budget and those envisaged for next year in the Four Year National Plan. But Labour was not elected for that – its Party going into Government and argued that it candidates were elected to assert the interests should instead have taken up the role as leader This will retard growth and prolong hard- ship. However, the strategy appears to be of working people and those who depend on • Contribute billions of the Opposition. This view is born of a confi- public services and all of those who are com- dence that this could soon result in a left or designed to ensure continued support from in income tax, the European Central Bank etc. in the interim. mitted to a decent civil society. centre left government. They played the cards they were dealt to the corporation taxes Any unbiased analysis of the balance of This approach is regrettable but there are no risk free alternatives in the short term, either. best effect in this regard. forces would have to assess the alternative out- The election did not alter the fact that the and VAT into the come - that Fine Gael would govern for a short The positive side is the decision to review the entire matter in the context of Budget 2013 in State is effectively insolvent thanks to the Irish Exchequer whileas a minority government with the sup- recklessness of those at the top of the banking port of like-minded Independents and Fianna the hope of creating space to manoeuvre with- every year. in that timeframe. While sticking with the system and their fellow travellers among the Fáil. It would then call a snap election seeking a developer class who were allowed free rein by mandate to govern and win an overall majority. headline figures envisaged for 2012 the Programme commits to no further increases in the previous Government. income tax or cuts in social welfare which is Unquestionably, and regardless as to what • Ensure that bigger Compromise good. The introduction of a charge for wasting complexion of government we have, immense companies sustain water is signalled. difficulties remain. However, it would have Apart from the debate about whether Labour been far, far worse if the centre right had hundreds of smaller should have gone into government or not we Low Pay obtained an overall majority. have no doubt that the Programme for firms in the local A two year moratorium on home repossessions Government which has been negotiated repre- economy that supply sents the best deal possible in the current cir- in also included in the Programme for cumstances. The Programme represents a com- Government. ‘However, it would have technologies and promise between the very different outlooks It plans to restore, soon, the minimum of the two largest parties following the elec- wage to its previous level and to preserve the been far, far worse if the maintenance tion. It is not the policy agenda which the Irish critically important Joint Labour Committee centre right had obtained services. trade union movement would favour in an infrastructure which affords protection to tens ideal world. However, it is considerably better of thousands of low paid, vulnerable workers an overall majority.’ and which is currently the subject of High Court action by fast food companies. • Help maintain Moreover, it commits to reform the law on employment employee’s right to engage in collective bar- ‘The Programme Meanwhile, all of us in the trade union opportunities across gaining, so as to ensure compliance by the movement must engage constructively with represents a compromise State with recent judgements of the European the new Government but we must also the country in Court of Human Rights. between the very organise to campaign and lobby and must be urban and rural Public Sector prepared to use every means at our disposal to different outlooks of the defend and advance the interests of our mem- communities Further radical change is intended for the pub- bers and of working people and those who two largest parties lic sector reducing the total numbers employed depend on public services across this island. by between 18,000 and 21,000 by 2014 and by following the election.’ another 4000 by the end of 2015. However, all this is conditional on there being no compulso- ry redundancies and subject to the protection of frontline services. The large scale sell off of Think Union, than the austere recipe which would have been State assets envisaged by Fine Gael has been imposed if the result predicted in the opinion averted. However, the plan still anticipates polls just a week before Election Day had come raising up to €2 billion in this way to finance Buy Union. about. the States investment programme for the cre- It differs radically from the policy approach ation of jobs. All this will present major chal- Protect Irish of the previous government which was pre- lenges for union members. occupied with austerity to the exclusion of The plan to develop a universal single tier investment and job creation. In fact, the docu- health service which guarantees access to med- Jobs. ment emphasises the primacy of a jobs strategy ical care based on need, not income, is very and the investment initiatives to underpin it. welcome. It envisages the removal of fees for GP care within the Governments term of 8 Liberty MARCH 2011 NEWS Fighting for Change The recent Dáil election has been heralded by some as a “democratic revolution”. What will really change is yet to be seen but out of the 166 deputies there are certainly many new and younger faces. Scott Millar talks to four of the 31st Dáil’s first time TDs.

Colm Keaveney Sandra McLellan Party: Labour Party: Sinn Feín Constituency: GalwayEast Constituency: Cork East “I BECAME involved in radical, student politics in the “I came into politics though my work Unlike some who would represent the early to mid-1990s when within USI we embarked on a representing people as a SIPTU shop current economic crisis as a sudden unfore- campaign for free tuition fees. steward for 16 years at the Artesyn plant in seen shock McLellan says the slow destruc- “We took direct action to highlight the issues surround- Youghal. I was made unemployed when the tion of Irish industry has been a more ing access to education and student poverty. From there I plant closed down in 2003. It seemed like a drawn out process with her own home joined the Labour Party and began working with the natural progression for me to continue my Galway No. 2 branch of SIPTU,” Colm Keaveney told work representing ordinary working people Liberty. through politics. Sinn Fein’s concern with Keaveney first ran for elec- social issues led me to join the party that ‘I think a lot of politicans tion in 1997 and was elected to Galway County Council in year.” 2004. Throughout this time McLellan was elected in 2004 to Youghal still don’t fully under- he was employed as an organ- ‘The issue of uncil, later becoming Youghal’s Town Co stand the impact the iser with SIPTU and believes first ever Sinn Fein mayor, and in 2009 she trade unions must play a cru- protecting pay is was elected to Cork County Council. economic crisis is having cial role in the coming years. critical to revitalising With her experience on the frontline of on people.’ “We need to protect pay trade union work McLellan maintains a and conditions while at the the domestic economy. strong interest in employment issues. same time move with the “Trade unions must be strong at this time if town of Youghal, a once thriving manufac- reform agenda laid out in It is important workers workers’ rights are to be defended. I’m par- turing town, going from seven factories to agreements such as the Croke have money in their ticularly concerned at the attacks on none over the last decade. Park deal. Registered Employment Agreements; “The last one closed last September. “The issue of protecting pockets to keep high employers are just expecting employees to There is a need for a fundamental change in pay is critical to revitalising take cuts often for no reason apart from direction that places the emphasis on job the domestic economy. It is street Ireland open.’ improving their profits. It is crucial that the creation and moving the burden from those important workers have unions fight to defend workers living stan- who can’t afford it to those who can.” money in their pockets to dards and key to this is defending REAs.” McLellan says a restrucurting of the tax keep high street Ireland Canvassing in the lead up to the election base must be a priority. “In the Dáil, I will open. she found unemployment and cuts in highlight the need to remove the USC. “The deflationary tactics of the last government have incomes of those who can’t afford it to be Those who can afford to pay should pay and not worked. We need to find a new economic model that, the main concerns. “The biggest issue was the introduction of a 48% tax band on those where possible, keeps money in people’s pockets so they can plan to spend without fear of further pay cuts.” jobs; unemployment is destroying the lives earning over €100,000 would bring in the Canvassing in the largely rural constituency of Galway of another generation. Then for those still same amount of revenue with much less East, Keaveney found one issue paramount to voters – the in employment the Universal Social Charge hardship caused.” effects of emigration. (USC) is a massive and unfair burden that is “You can’t help but be affected when you see entire fam- pushing families into poverty.” ilies, or entire generations of families having to leave; “Cuts to social welfare have had a devas- There is a need for a when you see parents struggling to put food into their chil- tating effect. At one home I visited a man fundamental change in dren’s lunch boxes, when you’re canvassing in freezing who had literally no food in the fridge and conditions and families are having their electricity cut off.” said he only had the money to meet his bills direction that places Keaveney believes the country needs a new politics that for the next few days. In another, there was the emphasis on job will not only bring economic change but also “be in a posi- a leaking pipe in the house but they did not tion to hand over a country to the next generation that is have the money to have it repaired. Then creation and moving somewhat more civilised than the direction in which we there are those who have lost their jobs and were going.” can’t meet mortgage repayments. I think a the burden from those He adds: “We must retain dignity in our society where lot of politicans still don’t fully understand who can’t afford it to people have the opportunity to work and rear a family in the impact the economic crisis is having on this country. That’s the job of work we have to do.” people.” those who can.” Liberty 9 NEWS MARCH 2011

“I BECAME interested in thinking about politics in terms of a mechanism for social change while studying at University College Galway. This led me to join the Labour Party and become involved in student politics. “Following this, I studied for a Masters in Labour Social Work in University College Cork. My dissertation focused on social work as a tool of social change but I felt it wasn’t. “Politics was where social change could Appoints be implemented, where the levers of power are situated.” After completing her studies, Conway worked as a Child Protection Officer with First the HSE, and then in policy development with Barnardos before turning her focus more fully to politics. She was elected a Dungarvan town councillor in 2009. Woman Ciara Conway Canvassing the Waterford constituency Party: Labour during the recent election, Conway found the issue of jobs and, in particular, the lack Constituency: Waterford of employment opportunities for new grad- Attorney uates and those recently qualified in trades repeatedly highlighted. “I had mothers in tears at doors time and time again saying there was just nothing here for their children who were being General forced to emigrate. “These people feel very aggrieved about how hard they worked to give ‘These people feel very their children opportunities which THE new Attorney General is the first woman specialising in land registry and property own- aggrieved about how are just not there.” to hold the office in the history of the State. ership. With her background in child Maire Whelan SC, a long-time Labour Party As a member of the Property Registration hard theyworked to give protection, it is unsurprising that, activist, was appointed to the position of legal Authority’s working groups, she has cam- along with seeking greater invest- adviser to the Government on the recommen- paigned to make land registry more open and their children opportuni- ment for the Waterford area, dation of party leader, Eamon Gilmore. transparent. Conway is putting children’s rights A native of Kinvara, Co Galway, Maire Maire Whelan also successfully lobbied to ties which are just not top of her priorities for the new Whelan was called to the bar in 1985 and to the have the Hague Convention on Child there.’ Dáil. “Ireland has the second highest inner bar in March 2005. Abduction introduced into Irish law. level of child poverty in Europe and She previously studied politics and law in She has a diploma in International that is something on which I will be NUIG and King’s College in London where she Relations and Trans-National Corporations hoping to focus government attention and completed a masters degree in European Law from Vienna University. combating both through Dáil committees and Human Rights. The new A.G. is the eldest of seven children and the parliamentary Labour Party.” She is a former chairperson of the Free and was the first of her family to attend sec- Legal Advice Centres (FLAC) and has practised ondary school and university. She lives in both criminal law and more recently civil law Dublin with her husband their son.

“I ALWAYS considered myself as a kid to be a socialist and had a great fervour for jus- TRINITY NOTES by Jack McGinley tice and fair play. “I always found the best way to deal with injustice was to become involved in politics because, as James Connolly said, every social issue becomes a political issue. Trio re-elected at “That was in my mind when I became involved with Sinn Fein the Workers Party in 1979,” Halligan said. university’s AGM Halligan was first elected as a Workers Party councillor in 1999, then again as an ABOUT 100 SIPTU members recently attended the Biosciences building in Westland Row was independent councillor in 2009 following the Trinity Section AGM in the university’s which he became mayor of Waterford. also discussed. Arts Building at which outgoing officers Paul He said; “I’m a great believer in the trade A sign of the times were the complaints Shields, (Chair) Fred Cowzer (Vice Chair) and union movement, although I have at times from members of the housekeeping staff that Kyran Travers (Secretary) were re-elected. felt that some negotiations with particular new contracts were being reduced from 20 Among the issues discussed were the on- governments have stifled the trade unions. hours to 17.5 hours. going controversies surrounding semesterisa- “Having said that, trade unions are an John Halligan tion and the deduction of wages of 17 library A report was also given about talks at the absolute necessity in confronting govern- staff for “working to contract”. university board concerning other consequen- ments that care little for workers’ rights Party: Independent The issue of direct labour and the possible tial budget cuts arising out of the continued such as the last government and I would say Constituency: Waterford attempt by TCD to outsource jobs in relation to under-funding of third level institutions. the same of Fine Gael if they were in gov- ernment on their own.” When campaigning in the election, Halligan found the “huge issues” that most affected people were “unemploy- Provost contest hots up ment and the severity of the cutbacks”. ‘Trade unions are an A NEW office-holder will take up residence having little chance. He said that working within the in the beautifully-appointed Provost’s house Ohlmeyer has put in a feisty campaign and newly-formed independent technical absolute necessityin on No 1 Grafton Street later this year. has constantly chipped away at what one time group, he expected his voice to be About 700 academics, students and mem- looked like Prendergast’s unassailable posi- heard in the Dáil on these issues and confronting govern- bers of Board and Council will be able to cast tion. more local concerns, such as the cre- ments that care little their vote in the election for the post on 1st Kearney, a former advisor to the Australian ation of a university for the south east. August. Labour Government, has challenged strongly “I’ve already spoken twice in the for workers’ rights’ A bid by the Board of the College to widen and won the mandated votes from the under- chamber. Because the technical group is the franchise to all staff with over one year’s graduate delegates in a process which ran a big group, we have a lot more speak- service and an increased student cohort did alongside this year’s student elections. ing time provided. not win the assent of the TCD Fellows. Though the pay of the incoming Provost has “It’s a varied group of people from the As the race comes down to the wire, expec- been drastically cut, it is still the premier lead- left to the right but there is no whip as such ership position in what is still considered or ideological direction within the group tations internally are that the position will ulti- Ireland’s leading educational institution. but it’s working well so far.” mately be fought out between Colm Kearney, Jane Ohlmeyer, and Paddy Prendergast. Both Jack McGinley is a member of the SIPTU John Boland and Des Fitzgerald are seen as National Executive Council. 10 Liberty MARCH 2011 NEWS

NEW BEGINNING Battling A celebration of trade evils of union culture mortgage By Seamus Dooley slavery

By Ross Maguire

TRADE unions emerged at a time of exploita- tion. They arose from the harsh reality that individual workers were enslaved by a class that cared nothing for them or their families, and from the understanding that, once united, the working class could resist the worst excess- es of capitalism. Since that time, the rules have been changed and there is now – embodied in the laws of the State – a respect for workers and the legal means of defending recognised rights. But the challenge goes on. Today tens of thousands of people across our country are enslaved by lenders who care nothing for them or their families. They are enslaved by those who, in search of profit, made it impossible to live in this country without assuming enormous personal debt. Individual workers and their families, seek- ing no more than modest family homes, were forced to borrow extraordinary amounts of money. Today they face financial ruin as theirdebts Michael D Higgins Picture: Photocall mount and the value of their homes fall. Add in the interest rate hikes and increas- Galway poet and Presidential hopeful 6th May. He has been a consistent advocate May Day - in all its incarnations and the ing unemployment and the result is potential- Michael D Higgins will give the keynote of promoting culture for the enrichment of premier, on Saturday night, of Song of the ly catastrophic. address at the Larkin Hedge School at this community life and not as a commercial Green Crow, a celebration of playwright And let there be no doubt – the laws of the year’s Dublin May Festival week. commodity, a core value of the Larkin Sean O'Casey which draws on the rich lega- State are on the side of the lender. Lenders will The former Arts Minister heads an Hedge School. cy of this towering figure in the history of get their pound of flesh and the courts will not impressive list of poets, writers, musicians Michael D’s address will be followed by the trade union movement. stand in their way. and singers who will take part in the 2011 City of Words, a celebration in poetry and The O'Casey celebration will then make The courts daily make orders granting Festival that takes place from Thursday 5th music of Dublin's nomination as a UNESCO way for the Peoples' College Choir, who will lenders possession of family homes. The sad May to Saturday 7th May next in Teacher's City of Literature featuring Gerry Smith and perform alongside leading traditional musi- reality is that those properties will be sold at a Club, Parnell Square. sponsored by Poetry Ireland. cians including Gerry O'Connor, Peter substantial loss and the outstanding sums Michael D’s address is part of the special Afterwards Niamh Parsons will be spe- Browne, Paul McGrattan and with Cathal remain as a personal debt to the borrower. programme of events to celebrate May Day cial guest at the Goilín Singing club. The McConnell. At New Beginning, we see the true cost of co-ordinated by the Irish Congress of Trade Flowing Tide is the venue for a Clé Club Among other highlights will be a lecture the property boom and the worst excesses of Unions in association with the Dublin session on 5th May when Barry Gleeson by piper and RTE producer Peter Browne. the greed that characterised that time. Council of Trade Unions. will give his unique vocal interpretation of Full details and details of a range of work- We see people lent many multiples of their The Larkin Hedge School is the only the place of Writers in Song. shops on www.cleclub.wetpaint.com earnings based on the promise that property multi-faceted festival to highlight the cul- The following day 7th May sees trade values could only go one way. tural heritage of the Irish labour movement. union members taking to the stage at Now that the pack of cards has collapsed, it Michael D Higgins, who is president of the Liberty Hall, at 11am, in two unique events: is ordinary people that are required to pay Labour Party, will speak at 7pm on Friday a musical journey though the history of extra taxes to bail out the lenders, to pay high- er interest rates to bail out the lenders, and all this at a timewhen credit is being squeezed from the economy resulting in unemployment and forced emigration. What can and should be done about this? At the very least we believe that everybody Jim LLarkinkin Creditit Union should have legal respresentation when facing possession proceedings before the courts and we are committed to doing our part to ensure that this happens. But representation must mean something more than merely hand holding. The Creditdit Union for aall SIPTU members We are committed to fight in the courts to and theirheir families in the Dublin Region resist orders of possession. If youy arere intinterestederested in joiningjg Webelieve we can make it more difficult for lenders to get orders of possession even when The idea that they should be paid every the Jimim Larkin CredCreditit UnionUnion the laws and rules governing this area have penny owed on foot of agreements made by Tel: 01-8721155 email:email: [email protected] been changed to make it easier for the lender both parties in a time of madness is fanciful to get his way. and the sooner they realise this the better. Once we begin to look deeper into the prac- It is ultimately a question of solidarity – of tices adopted by lenders in this country, we standing up and resisting oppression. see how utterly reckless they were. And yet The alternative is economic slavery for tens Opening Hours: 7pm-8.15pm7pm-pm-8.15pm on ThursdayThursday they now demand full payment and the law of thousands of our people. supports them in this. www.newbeginning.ie and 9.30am-12.002.00 noon on Saturday By standing up to them, there is the possi- The Jim Larkin Credit Union is regulatedregulated by thethe Irish Financial Services RegulatoryRegulatory AuthorityAuthority (IFSRA) bility that they will back down. Ross Maguire is a Senior Counsel Liberty 11 ECONOMY MACRH 2011

People seeking to leave Ireland due to the financial crisis. Picture: Photocall Could EU tax changes spell danger for jobs?

AFTER a decade of false starts and diplomatic End of competitive tax advantage? disagreements, it appears that a concrete set of SIPTU economist Marie Sherlock While the introduction of the CCCTB seeks proposals for a Common Consolidated looks at how a Common Consolidated to minimise practices such as transfer pricing, Corporate Tax Base (CCCTB) has finally being in theory it has the potential to induce a new made. Corporate Tax Base could affect form of tax planning or profit shifting in Irish objections are well known, but support terms of MNCs’ location decisions. for the idea in the UK and other countries out- businesses – and jobs – in Ireland Under the CCCTB, each participating mem- side of France and Germany is not clear. ber state will still retain the right to set their As member states retain a veto over tax mat- own rate, so it is possible that a MNC would ters, the inclusion of Ireland in such a scheme The impact on Ireland? within each country, (ii) sales – the revenues decide to increase their employment base or will not be compulsory. Ireland will be able to generated in each member state and (iii) the volume of capital and assets in Ireland in opt out. For Ireland, the chief problem associated value of the assets held by a subsidiary in order to avail of the low tax rate. However, the country is clearly under with proposals for a harmonised corporate tax terms of property and equipment. In practice, it is not as simple as that. intense pressure to sign up to the scheme in base is that the corporate profits generated in These three references will be equally While the Irish competitive advantage is exchange for some reduction in the EU/IMF this country are disproportionately much weighted. based upon having a highly skilled and flexible loan interest rate. greater than the labour and capital put into From an Irish perspective, this would be dis- workforce along with low corporate tax rates, So what doesit mean? them on Irish soil, due mainly to the “transfer pricing” policies of a significant number of astrous for corporate tax revenues as a huge when compared with a cheaper cost of opera- In effect, a harmonised corporate tax base companies located here. share of corporate profits traditionally report- tions in central and eastern European member means that instead of calculating a tax liability ed here would evaporate given that the volume states as well as lower labour costs, it is far in each member state where goods and servic- of labour and capital employed in MNCs locat- from clear whether Ireland would become es are produced or sold by a company, a multi- ed in Ireland is far smaller and nowhere near more attractive to MNCs as a result of the national corporation (MNC) with operations Main impact will be proportionate to the volume of sales reported changes to our corporate tax base. across a number of EU countries will now have to introduce greater here. Despite having a low rate, the Irish corpo- to calculate a single corporate tax bill to be Added to all this, the share of sales appears rate tax base is quite broad compared to other apportioned to the relevant member states. transparency into each to relate to sales into final markets only, which EU countries in terms of the profits that are Until now, the various member states would serve to favour the larger domestic levied. charged corporate tax differently. state’s tax system economies and further serve to discriminate With the introduction of the CCCTB’s set of Some charge tax on a narrowly defined dis- against countries such as Ireland where much rules, it appears that this base would be nar- of its trade in the sale of intermediate goods rowed, which would further impair the corpo- tribution of profits or the value of the equity In short, this refers to the pricing arrange- could to be sold into final production process- rate revenue raising abilities of the Irish State held in the business, whereas others charge ments associated with inter-company transac- es. but would be good news for the MNCs located corporate tax on sales, total profits etc. tions from which prices can potentially be set However, in Ireland’s favour, under the cur- here. While the CCCTB is intended to reduce the at artificially low levels or at cost price level to rent set of proposals, MNCs operating across a administrative burden and the costs of tax understate the company’s reported profits in a Stepping stone to a harmonised rate? number of EU states can opt in or out of the compliance, the main impact will be to intro- particular country with a low corporate tax Officially, there are no such proposals for a CCCTB regime for the calculation of their cor- duce greater transparency into the tax system regime. harmonised tax rate. Butit remains to be seen porate tax liability. of individual member states and to expose the The Irish exchequer benefits as MNCs locat- the extent to which the introduction of a Ultimately, the take-up by MNCs will significant gaps between the headline and the ed here channel their inter-company sales CCCTB will distort the location decisions of depend on where else they have labour and effective rate – in short, the rate that is actual- through Ireland with the result that Irish MNCs in terms of shifting capital and labour assets located in other EU member states. ly paid. The Irish headline rate is 12.5%. exports are inflated by such practices. across member states to minimise their tax For USmulti-nationals – making up the bulk A report by World Bank/Pricewater- Under the CCCTB proposals, the total tax- bill. It appears that some countries stand to of MNCs here – much will depend on whether houseCoopers, titled Paying Taxes 2011, sug- able profits of a multi-national corporation will gain substantially from the new rules and they have operations located particularly in the gests the effective rate is 11.9% in Ireland, com- be calculated for each of its subsidiaries or whether a push is made for a harmonised rate Central European member states where corpo- pared to 8.2% in France and as low as 4.2% in bases and then apportioned to each relevant will all depend on the political composition of rate tax rates are just as low as Ireland’s and in Belgium and 4.1% in Belgium. member state by reference to (i) payroll – the the winners and losers from the CCCTB. some places, lower. number of persons employed in the subsidiary 12 Liberty MARCH 2011 ECONOMY Forgive us our debts... do we have K_\K_\]fccfn`e^ ]ffccfn`e^^ a prayer? Zflij\jZflij\jXi\ Xi\ XmX`cXYc\1XmX`cXXYc\1

By MARTIN FITZPATRICK › KiX`eKiX`e k_\k__\ KiX`e\iKiX`e\i THE PAST week and the prospects for the coming week are likely to graphically under- line the many imponderables that bedevil the Irish economy. › :fdglk\ij:fdglkk\ij]]fifi9\^`ee\ij 9\^`eee\ij Haughty, and occasionally naïve, expecta- tions that the new political regime could with charm and poise find a magic spell to turn › @e]fidXk`fe@e]fidXXk`feK\ KK\Z_efcf^p\Z_efcf^^p Jb`ccj our economic frog into a prince, has been quickly dissipated. The wider Eurozone problems crystallised at an unexpected pace ensuring that political › :ljkfd\i:ljkfdd\ J\im`Z\ difficulties throughout the Community have conspired to strangle whatever hopes the ‘new lads’ from Ireland had cherished as they made their way to the first Brussels show- › K\Xdnfib`e^KK\\Xdnffi down. Hopes new administration would be able With Portugal now big odds-on favourites to renegotiate interest rate are remote to join Greece and Ireland at the dunce’s end hands cupped in supplication and it seems › JkXikJkXikPPfliPfffl of the class and as the German conservatives the position is quite different. Among the are ever more fearful of further embracing cognoscenti there seems to be something of Fne the role of lender of last resort, any chance of an acceptance that if the special rate is pro- UP TO €100 Ireland having its ‘tin cup’ filled without pay- tected in the present upheaval, the longer 9lj`e\jj9lj`e\jj ing a heavy price, is becoming remote. our dependence on Euro generosity contin- DISCOUNT FOR In the markets, jitters are the order of the ues, the less secure is the tax rate that every- day. Those who like to price the economic one in Ireland believes is essential to growth. calamity are having a jolly old time calibrat- There is no doubt that Ireland in Europe › AfY J\\b`e^&J\\\b SIPTU UNION ing the chances of default. and in the Eurozone needs a champion. The AfY @ek\im`\n@ek\\i The Financial Times was reporting ahead bail-out rate cut that seemed like a bright MEMBERS of the EU Summit – the same summit that prospect a week ago has been pushed off the Jb`ccj was supposed to be the place where the new top of the agenda. Government could cajole fresh and less oner- But it is worth remembering that Europe ous terms for the November bail-out – that hasn’t lost sight of the fact that this country, the credit swaps market had abruptly unlike the other crippled and struggling increased the chances of an Irish default over peripheral countries has not one but two the next five years to 41%. problems, the combination of which seem As recently as the end of February, the chanceswere less than 30%. =

THE recent Wright Report on the Department Paul maintained to fund public services.” of Finance was highly critical of the depart- Congress economic advisor Mr McCreevy was tax shifting. He was shift- ment and its lack of economic and financial Sweeney rubbishes claims in the ing from direct to indirect taxes – cutting the competence. more progressive direct taxes and thus Ireland However, it also blamed social partnership, Wright Report into the Department was increasingly relying on indirect and other and by implication, trade unions for contribut- taxes for revenue. These taxes were not ing to the crash. This is far from the truth. of Finance that social partnership increased, butwith the boom – which was arti- Wright’s panel was quite scathing of the ficial – revenue still poured in. lack of economists and the poor structures in somehow contributed to the crash When the crash came, a large proportion of the department, which no doubt contributed these taxes, based on property-related transac- substantially to the appalling mismanagement tions, disappeared overnight. of the economy. dash. The same officials were negotiators in dependence on consumption taxes. Congress constantly pointed out to However, Wright’s “independent panel” every single agreement. Thirdly, we opposed the growth of tax Government in submissions, letters, press asserted that the top public servants did warn The trade unions took a very contrary view breaks (also called tax expenditures) for prop- statements etc., that the deliberate shift from the ministers of the looming crash. to the liberal economics of rational expecta- erty investment. Unions also called on the income taxes to consumption taxes were a) The only document cited in the report to tions and free market fundamentalism, which Government to take its foot off the “growth” regressive, b) were pushing up inflation and, prove this assertion was the annual June became dominant in Ireland from the mid- accelerator during the boom, and for a shift to over time, c) were pushing up the overall price Memorandum to Cabinet which is, conve- 1990s and which led to the crash of 2008. economic and social development. level in Ireland, well above our competitor niently, excluded from inspection by the pub- What Congress said during the boom is set Added to this, Congress and its member economies. lic under Freedom of Information (FoI) rules. out in numerous documents, newspaper unions were strongly critical of de-regulation. We opposed the reduction in the top rate of Otherwise, according to Wright, the warn- reports and speeches – and set out in great On 27th October 2005, an Irish tax – and the elimination of the third rate – ings were given verbally. detail, ICTU’s submission to the Banking Independent article on the demands of but held that it should only apply to high So we have only the undocumented verbal Enquiry at http://www.ictu.ie/publications/ Congress was headed “Property tax reliefs incomes. We were ignored. “testimony” of the top mandarins that they fulllist/submission-to-the-investigation-into- crazy and should be scrapped – ICTU”. Wright is wrong. Under social partnership, did warn of the impending crash. Yet when the-banking-system/ In a letter to then-Minister of Finance, the unions did seek increased public spending Congress opposed the slew of tax breaks for Congress opposed the Government’s pro- Charlie McCreevy, on 13th February 2004, to give EU levels of public services, but we “business”, it was the same officials who were cyclical polices of cutting taxes, especially Congress General Secretary David Begg wrote wanted an equitable and sustainable tax base vociferous in opposition to undertaking any that he understood that as Minster for to underwrite it. analysis of the real impact of these breaks. Finance, “your overall policy is to reduce taxes The June Cabinet Memorandum, the only ‘As it is not based on on companies and on individuals” – and point- source cited (14 times), was prepared up to evidence available to ed out that the shift to consump- eight months before the publication of the tion/administered taxes was driving up infla- Finance Act each year. scrutiny the report can’t tion. In that time, things change and so should be taken seriously’ In a response a few days later, on 18th any advice. February, Mr McCreevy was unapologetic and The Proof Wright did not cite one memo or letter to said his policy was to reduce direct taxes and the minister other than the June memo. It to maintain indirect taxes at present levels. of the Pudding seems that the panel accepted that all the sup- direct taxes, during the boom and sought cer- “I have consistently said that my priority is posedly contrary advice to ministers was given tain higher direct taxes. direct tax reduction to reward effort and enter- If ever proof was needed that the austerity orally. Secondly, we opposed the change in the prise and to let the taxpayer keep more of their programme pursued by the FF-Green Party gov- structure of the taxation system, away from earnings in their pockets. Surprisingly, it accepted the retrospective ernment was misguided and counter-produc- direct taxes to what became an unstable “This means that indirect taxation must be “recall” of the existing top civil servants on tive the latest figures from the Central their roles and advice, without any written evi- Statistics Office (CSO) on the economy provide dence produced whatsoever! ample evidence. The CSO figures show that The Wright Report, as it is not based on evi- the size of the economy as measured by Gross dence available to citizens, cannot be taken Domestic Product (GDP) contracted by a full 1% seriously. But what is most offensive in the Former Canadian civil servant, Mr Rob Wright, was commis- in 2010. Only a week before the CSO figures report is its apparent disregard for the demo- were released the Central Bank was forecasting cratic process. sioned by former finance minister, Brian Lenihan, to review that in ‘a worst case scenario’ GDP would It says the Finance officials were over- the effectiveness of the advice given by the Department of shrink by just 0.2% last year. whelmed by two dominant processes – the Programme for Government and social part- Finance in the years before the 2008 financial and banking There was a larger than expected decline of 1.6% in GDP in the last quarter of the year nership. This is a technocratic view that gov- crash. Other members of the ‘Independent Panel’ he chaired ernment officials know what is best. which reflects even weaker business and con- However, in a democracy, the Programme were Hans Bortlap, a former senior civil servant with the EU sumer activity during the period when 16,000 for Government is what the electorate voted commission, John Malone former secretary general of the further jobs were lost and the Government was for. That is what the officials should be deliv- forced to accept a loan facility from the ering, along with other agreements, including Department of Agriculture and Food and Pat McArdle, an EU/IMF. For over three years, the trade union social partnership. economist. Congress economics advisor, Paul Sweeney, is movement through Congress has argued that To assert that social partnership drove the the austerity policies would only result in free market fundamentalist tax-cutting, de-reg- not impressed by the results of the review. greater job losses, a collapse in consumer ulation policies executed by the unwilling offi- spending and deeper recession. The proof of cials of the Department of Finance is balder- the pudding is in the eating. 14 Liberty MARCH 2011 ECONOMY

Worried about doctor appointments? OECD report Concerned about rising healthcare costs? slams Irish There IS an alternative! pension fund performance

HSF health plan offers Ireland’s only pure health cash plan, after taking which can not only help budget for everyday health costs like dental, optical, prescriptions and GP visits, it also gives FREE access to a doctor, 24 hours a day with the GP Advice Line. 37.5% hit As the trading company of the charity The Hospital Saturday Fund, HSF health plan makes sure that the provision of benefits that our contributors really need and use is paramount in our day to day business.

By PADRAIG YEATES You can choose either a family scheme or an individual scheme, both of which give you cash back for your primary medical IRELAND’s private pensions’ funds are the worst performing in the developed world and expenses. a higher proportion of Irish pensioners live in poverty than in almost any other OECD coun- try. These are among the damning findings of Family Schemes start from only €2 per family per week, the Organisation for Economic Co-operation giving you cash back for: and Development’s international survey, ‘Pensions at a Glance’. While most pension funds have taken a • Dental bills hit since the economic downturn, Ireland • Optical bills including sight-tests, glasses, contact lenses. has taken the biggest with the value of funds falling by 37.5%, compared with the OECD (On scheme €5.50 you can even make a claim for eye laser surgery) average of -17.4%. The next hardest hit coun- • GP and emergency department visits (scheme €5.50 and above) try was Australia at -26.7%, followed by the IRISH PENSIONS United States at -26.2%. • Prescriptions (scheme €5.50 and above) Irish fund losses are particularly serious • Chiropody, Physiotherapy, Osteopathy, Chiropractor, because we have no mandatory occupation- al pension scheme to supplement the Acupuncture & Homeopathy state’s old age pension. Things are likely to get worse because • Birth and adoption grants even those workers fortunate enough to • Hospital visits have occupational pensions are finding that companies are switching from • Specialist/investigation charges defined benefit schemes based on years of • Worldwide personal injury cover service to poorer defined contribution schemes based simply on how investments of workers were covered compared with • Plus many other benefits fare. only 13% who were in occupational pensions The OECD says it might be difficult for schemes beforehand. The British government some companies to avoid ‘temporary easing’ of is planning to introduce a similar model next defined benefit schemes, but it has issued a year. HSF schemes are not age-related and one contribution covers strong warning to member states that they By contrast the OECD is highly critical of should not allow “a permanent weakening of Irish policies to promote occupational pen- you, your spouse/partner and all dependant children under the the regulations” governing occupational sions schemes. It says the traditional option age of 21 (residing at the same address). schemes. favoured here of giving tax breaks continues to Almost a third of Irish pensioners live in benefit the well-off while discouraging lower poverty according to the OECD, which uses income earners and young people from invest- HSF’s One Scheme is also available as an individual plan that half of the median household income in each ing in pensions. offers up to 100% cash back on many of the health care country as a benchmark. Only Korea and None of this stopped KPMG bringing out a expenses; schemes start from as little as €3 per week. Mexico have higher rates of poverty among report in the same week as the OECD com- pensioners than Ireland. plaining that the reduction in tax breaks for The survey was undertaken before the lat- the well-off would see funds in private est budget cuts and the introduction of the schemes fall. It advocates that the well-off Universal Social Charge. should consider alternative ways of investing The only other OECD country that doesn’t for their old age if tax breaks are to be reduced. For further information please contact HSF have a mandatory occupational pension If the Fine Gael-Labour Coalition wants to scheme is New Zealand, but in 2007 it set up demonstrate that it really is committed to at www.hsf.ie or lo-call 1890 473 473 the KiwiSaver bond, in which workers are auto- reform, there is no better place to start than by matically included unless they choose to opt introducing a comprehensive, mandatory occu- out. pational pension scheme for all to which HSF health plan, the low cost alternative to private health Insurance By the end of its first year of operation 44% employers must make their fair share. Liberty 15 NEWS MARCH 2011 Low paid suffer greatest wage cuts

By TOM O’DRISCOLL

ITwas called “Beyond Adversity” but perhaps the title of the Irish Industrial Relations News conference held at UCD earlier this month should have read “Beyond the Adversarial”. IBEC chief Brendan McGinty used the March 10th event to reiterate IBEC’s view that, in light of continuing economic conditions, employers should not entertain pay claims this year. He made the challenging contention that the Government would have to introduce com- pulsory redundancies in the public sector if its targets were to be achieved. The rocky road ahead was outlined by industrial relations consultant Tommy Cummins who claimed the Republic was head- ing back towards a more adversarial form of industrial relations which would result in an increase in days lost because of strikes. When the panel discussion turned to the ever increasing level of pay cuts being demanded of employees, SIPTU Vice-President Patricia King detailed stark statistics confirm- ing the widely-held view that when it comes to cutting pay, those on middle and lower Dublin Airport’s Terminal 2. Conference heard engagement between unions and management at DAA showed partnership is not yet dead incomes suffered the most. She pointed to recent figures had showed managers had experienced average reductions of 4.68%, those working in clerical and sales faced cuts of 6.8%, while production, trans- port, craft and manual staff had to stomach a drop in their wages of 9.6%. John McCarry, Head of HR at Quinn Insurance, gave a presentation on restructur- ing and change within this non-union compa- ny. He outlined the rapid progress his firm had Quinn Insurance: Performance-based pay made and pinpointed a well-trained, adaptable workforce and the lowest operating expense there is life in the old dog yet. ratio within the sector as major factors in this Dermot O’Loughlin, of SIPTU, and DAA’s progress. HR chief John McCormack explained in a their John McCarry described the pay system as presentations how a successful engagement performance-based remuneration system with between the HR team and trade unions, led by high performance drivers. The trauma caused SIPTU’s Dermot O’Loughlin and Patricia King with IBEC’s Brendan McGinty Pictures: Photocall SIPTU, resulted in a major cost recov- by the appointment of an administrator and ery/restructuring agreement at Dublin subsequent negotiations over job losses with Airport’s Terminal One, with a separate agree- the in-house staff association was outlined in The most notable comment came from He also pointed out that each of these three ment at the recently-opened Terminal Two. detail. Brian Gallagher, of Unite, who flagged up the companies were non-union – a link that was The complementary presentations gave the However, the relative independence of in- effect the tribulations at Irish Nationwide, not accepted by John McCarry. most telling example, perhaps, of what going house associations was disputed by some Anglo Irish Bank and Quinn Insurance had on Partnership is dead – or so think many com- “Beyond Adversity” can really mean. trade union representatives in the audience. the Irish economy. mentators – but two contributions showed Tom O’Driscoll is a barrister.

EDUCATION AND DEVELOPMENT " NFNCFS BQQMZJOH PO IJTIFS PXO CFIBMG PS PO CFIBMG PG IJTIFS SUPPORT SCHEME DIJMEDIJMESFO NVTU IBWF BU MFBTU POF ZFBSµT NFNCFSTIJQ PG UIF 6OJPO BOE .&.#&34 */ '635)&3 &%6$"5*0/ ("&-5"$)5 "8"3%4 '03 CF JO CFOFGJU XIFO CPUI UIF BQQMJDBUJPO 5IF TDIFNF XJMM PGGFS VQ UP .&.#&34µ $)*-%3&/ BOE UIF QBZNFOUT BSF NBEF UFO BXBSET FBDI ZFBS 6Q UP UXFOUZGJWF BXBSET XJMM CF NBEF FBDI ZFBS GPS UIF DIJMESFO PG NFNCFST UP "QQMJDBUJPO GPSNT BOE GVSUIFS 4&$0/%-&7&- "8"3%4 '03 DPWFS UIF DPTU PG UIFJS QBSUJDJQBUJPO JOGPSNBUJPO BWBJMBCMF GSPN ZPVS 4FDUPS .&.#&34 "/% '03 .&.#&34µ $)*-%3&/ BDDPNNPEBUJPO BOE UVJUJPO GFFT JO B 0SHBOJTFS 6Q UP UIJSUZ BXBSET XJMM CF NBEF FBDI (BFMUBDIU DPVSTF VOEFS UIF TDIFNF ZFBS UP TFDPOEMFWFM TUVEFOUT UP DPWFS PQFSBUFE KPJOUMZ CZ 4*156 BOE (BFM -JOO $MPTJOH EBUF GPS SFDFJQU PG DPNQMFUFE UIF TFOJPS DZDMF UIF UXP ZFBST VQ UP BQQMJDBUJPOT JT UI 4FQUFNCFS  UIF -FBWJOH $FSUJGJDBUF  GPS BXBSET   16 Liberty MARCH 2011 NEWS HSE Skills Fu

The internal enquiry by a sub-committee of Heath Services National Partnership Forum partners/spouses.” It said that individuals the National Trustees into the assertions and the Department of Health and Children involved subsequently reimbursed the made last year by the Health Service “to implement and adhere to the most basic account for the travel expenses of their part- Executive (HSE) concerning funds it claims standards of governance, transparency and ners/spouses. were given to SIPTU has found that the accountability in relation to the disburse- The report states that, within SIPTU, those monies were never received by the Union. ment of public monies“. who had knowledge of some of the trips The monies were given to a fund, external to It also found that while SIPTU requires its abroad believed they were “directly funded the Union, and used for upskilling and train- officials to take a significant measure of per- by State Agencies” while those within the ing projects. sonal responsibility for self-management the State agencies that frequently travelled The report, which was published on mechanisms of accountability “were not suf- believed that “the trips were arranged and Friday (25th March), also found that an ficiently robust and that there were short- paid for by a fund controlled and administer account, the ‘SIPTU National Health and comings in the oversight and reporting mech- by Mr Merrigan.” Local Authority Levy Fund’, was opened in anisms within the Union which should be “Much has been made in the national 1998 and operated until 2009 without the addressed as a matter of priority”. media of 31 trips associated with this “Levy authorisation of the General Officers or Head “Expenditures from this account were not Fund” and there has been a widespread infer- of Finance and Administration of SIPTU. governed by normal procurement practices ence that SIPTU members were prominent The account into which some €2.353 mil- expected to be found in respect of the dis- participants on all such trips. Our enquiries lion was paid by the HSE and a further €2.14 bursement of public funds. The use of the indicate that the vast majority of the people by other State agencies between 2001 and term “Levy Fund” in the title of the bank who travelled on trips arranged by Mr 2009 was operated by the two co-signatories account contributed significantly to the mis- Merrigan had no connection with SIPTU. Mr who did not maintain any income and direction of those who happened upon the Merrigan confirmed to us that ‘themajority expenditure accounts despite the control account in the course of Union business,” the of those who participated were senior man- they exercised over the significant sums report stated. It said that levy funds in the agement personnel’,” the report states. involved, the report states. The administrator union were traditionally subscribed to by “These included the Office of Health and co-signatory of the account was senior members and used for social, hardship or Management, the Skills Office, the HSE, the union official, Matt Merrigan, and the co-sig- HSEA, the Department of Health and natory was SIPTU member, Jack Kelly. ‘Travel and associated Children and the Department of Finance”. Matt Merrigan confirmed to the Trustees The report also stated; “We can confirm enquiry that he had never appraised the costs disbursed by way of that in addition to Mr Merrigan, two current- Union of the details of the account “because the levy fund accounted ly serving SIPTU staff members did partici- it was not involved in it in any way”. He pate in one study visit each. In relation to said that the monies in the account were for approximately 13.9% attendance on the trips by those employed intended for use as part of the HSE operated of total expenditures,” the within the HSE an independent investigation Skills Programme for the up-skilling of health report said. It said that (commissioned by the HSE) concluded that service employees and other training projects “the study visits seem to have been compre- for State employees. “knowledge as to the hensive and worthwhile”. In a statement provided to the enquiry Mr number of trips, number An examination of bank records of the Merrigan said that the national officers or of participants and loca- expenditure by the “Levy Fund” the report finance administrators of SIPTU were never said that “there was strong bias in the informed about the account or the substan- tions visited remains cheque payments towards the discharge of a tial funds because “the monies were not pro- incomplete.’ range of training and up-skilling activities, vided to the union. They were provided to which we believe was consistent with the the projects.” wishes of the grantees as understood by Mr. The report stated that at a meeting with benevolent reasons. Mr Merrigan told the Merrigan.” SIPTU General Secretary Joe O’Flynn, in Trustees enquiry that the title chosen for the It confirmed that “significant reputational October 2009, Mr Merrigan said that the fund “could have been any other name.” damage has been inflicted on SIPTU by its “Levy Fund” was under his administration Addressing the use of State monies from perceived association with the administra- and control, as part of the HSE Skills project, the “Levy Fund” to finance travel abroad over tion of this fund and also by the lack of prop- outside the umbrella of SIPTU, and had not the years including to the US, Australia and er governance exercised by those who had been subject to audit by any third party. Britain the report concluded “that a signifi- responsibility for the disbursement of public The enquiry found that the General cant majority of participants on foreign trav- money.” Officers of SIPTU, and former general offi- el/study visits had no connection with It recommended that “the General cers, had no knowledge that State funds in SIPTU.” Officers, National Executive Council and the the form of annual grants and expense reim- “Travel and associated costs disbursed by Trustees should review the processes and bursements were being lodged to the bank way of the levy fund accounted forapproxi- procedures required of Union officials to

account in question. mately 13.9% of total expenditures,” the keep the General Officers informed within SIPTU NATIONAL TRUSTEES The report compiled by Trustees, Noel report said. It said that “knowledge as to the the Union, in relation to the requirement SUB-COMMITTEE REPORT ON Pocock and Jimmy Brennan, with the assis- number of trips, number of participants and placed upon them for the management of ITS ENQUIRY INTO ASSERTIONS MADE BY THE HEALTH SERVICE tance of external advisors disclosed that the locations visited remains incomplete.” income and disbursements handled in the EXECUTIVE current balance in the “Levy Fund” Account This was due, the report said, to the limit- name of the Union. An extensive review is

is €697,894. ed information it acquired from the account required of the protocols surrounding the use 25th March 2011 They said that it was “incomprehensible” administrator, Mr Merrigan, and bank details of the title “SIPTU” in all bank accounts, pub- that there was “no service level agreement of return paid cheques and credit card state- lications, stationery and advertisements.” between the administrator and the funding ments it obtained from the Bank of Ireland The full report is available on the SIPTU agencies underpinning grant aid for training as well as from details supplied by various website www.siptu.ie. and up-skilling projects lodged to this bank Government agencies to the Public Accounts account from any of the State Agencies”. Committee (PAC) last year. The report described failures in a number It said that “it was not unusual for partici- of State Agencies including the HSE, the pants on these trips to be accompanied by Liberty 17 NEWS MARCH 2011 Fund Enquiry

EXTRACT FROM REPORT ON ORIGINS OF “LEVY FUND”

The Skills Programme was operated and funded through the Office of “On the 14th September 2004 the Chief Executive Officer at the Health Management of the Department of Health since 2000 and subse- Midland Health Board was informed by a principal officer in Personnel quently of the HSE after its establishment in 2004. Monies provided to Management at the Department of Health and Children that an adjust- Mr Merrigan and the “Levy Fund” came from the OHM. The first grant ment was being made to the Board’s allocation to take account of an for which the sub-committee could find a record was for €75,000 in allocation to the OHM for the Front Line Supervisor Training. The 2000. Later grants of €90,000 were lodged to the account in December amount provided was €190,000. On 18th October 2004 the General 2002, €190,000 in 2003 and €190,000 in October 2004. Manager at the OHM, Mr. Alan Smith, issued a letter to Mr. Merrigan “After this date the annual grant came from the HSE and was for a enclosing the cheque for €190,000 and copying the correspondence to sum of €250,000,” the report explains. the Principal Officer at the Department of Health and Children. The report states that the grant of €90,000 was accompanied by a let- On the 12th December 2004, Mr. Merrigan received a reply from ter from Mr. Alan Smith General Manager at the OHM dated 18th Bernard Carey, Director, Personnel Management and Development, the December 2002. The correspondence states; “I refer to previous discus- Department of Health and Children to his request that future funding sions with the Department of Health and Children and SIPTU. I am be put on a firm footing. This correspondence is the only detail sup- now enclosing a cheque in the value of €90,000 made payable to SIPTU plied by the Department in support of its on-going grant of €250,000 in respect of staff Levy Fund (€40K) and partnership Study Visit per annum for 2005 and subsequent years. The letter states that (€50K)”. €250,000 of on-going funding ‘has been earmarked to maintain support In 2003 the payment to the bank account of €190,000 appears to be for SIPTU’s human resource/personnel development schemes and the on foot of the provision in the budget of the Midland Health Board for a development of management/union partnerships of best practice in once off payment to the OHM regarding “front line supervision pro- health enterprises’. The letter went on to note that ‘the effect of this grammes for health sector managers”. will be to put the current ad hoc arrangement on a firm footing into the Correspondence in respect of the €190,000 lodged in October 2004 is future with an enhanced funding provision’. The fund administrator in several parts, the report continues. failed to bring this letter to the attention of the Union Officers. It has On 17th August 2004 Mr. Merrigan wrote to Mr. Frank Ahern to be noted that none of this correspondence was addressed to or Assistant Secretary General at the Department of Health and Children. copied to any other member of the Union staff apart from Mr. In this correspondence he acknowledges the funding being made avail- Merrigan,” the report states. able through the OHM and refers to the announcement that this office It continues; “While sanctioned by the Department of Health & is to be streamlined into the HSE. He sought agreement on the future Children, from February 2005 the HSE was the funding agency for the funding arrangements of “this important collaborative approach and sums above. In his interactions with HSE in 2009 the General Secretary that it be put on a firm footing going forward”. of SIPTU requested sight of any service level agreement or grant docu- The report recounts how, in September 2004, Mr. Merrigan received a ment which the HSE had to support the payment of these sums to the letter addressed to himself as National Industrial Secretary from the Levy Fund. From the replies received it is clear that no such documen- Department of Health and Children, which was signed by the then tation ever existed. Minister, Mr. Micheál Martin T.D. It appears extraordinary that the HSE could dispense such State This letter reads as follows; funds without requesting or insisting on any form of accountability for “Dear Mr Merrigan, that money. At no stage prior to September 2009 was any General I refer to your request for the provision of support for SIPTU front Officer of SIPTU made aware of the fact that €250,000 per annum was line supervisors training, which is facilitated by the Office for Health being received from the HSE Skills Project and lodged to the levy fund Management in conjunction with the University of Limerick. account. Neither were there any requests to Mr. Merrigan to account for I am pleased to inform you that funding is being provided for the the uses to which this money was put prior to the commencement of continuation of this initiative.” the 2009 audit.” 18 Liberty MARCH 2011 NEWS Don’t panic, there are fairer alternatives

By SCOTT MILLAR

ALTHOUGH it might not seem like it from “Throughout the boom we had this false media coverage, a growing number of Irish idea that you could have it all. You could build economists and policy analysts believe there is up your public services and nobody had to pay a fairer way to deal with the current economic extra tax – in fact, you could cut taxes. crisis than making working people pay for the “You could do that during the boom because mistakes of the rich. it was all built on credit – it wasn’t sustainable. Central to this developing consensus is “So we now have a real choice between say- TASC, Ireland’s only independent policy ‘think ing we’re not going to increase tax by much, tank’, which since its foundation 10 years ago therefore we are going to cut back the state by has conducted crucial research into the econo- an enormous extent – and we’ve only really my, role of government and social inequality seen the beginning of that. free from the interference of party politics or “The other choice is that we want all those financial institutions. public services, that we want to make our- In February, Dr Nat O’Connor took over as selves more like a west European country in TASC director. The 35-year-old Dubliner told terms of standards, then we’re going to have to Liberty that TASC’s work, which has included work out how we’re going to pay for that and reports on the Golden Circle operating within what’s the fairest way to pay for it.” Irish business to pension reform, has never So that both the public and politicians can been more crucial. make informed decisions, O’Connor believes “There has to be much more discussion, the state must correct failures in the collection there are lots of options about how we can run and access to information as well as decision this country about what we can change, what making processes. we can do with the economy. Last year, O’Connor authored a TASC paper “I think there was a bit of a panic when the showing how the curtailment of the Freedom (economic) crisis began and the government of Information Act had been economically tried to put forward the idea there is no alter- damaging. native, but, of course, there are many alterna- He says the idea of ‘open government’ must tives both in the big picture and in the detail of now be taken seriously by the new administra- what is done.” tion. O’Connor sees part of TASC’s role as chal- “The idea that people have a right in a dem- lenging “myths” that underpin an often overly ocratic country to know what public bodies are conservative approach within Irish society. doing, to have access to documents, to see orig- “We think society can be improved, we inal files in order to have a better sense of why don’t think poverty is evitable, we think there decisions are made. ‘The problem is there’s ‘We’re going to have a need for investment to work out what’s to create jobs for the fairest way to pay people to apply for’ for public services’

“I think that is something that is central to are equality issues, there are issues of how ideas of civic republicanism; the right to ask wealth and income are used and distributed… questions of those who are making decisions. a myth that often comes out during a recession You need information to put in place good pol- is that people are reluctant to get jobs; howev- itics so people can have a better quality of life.” er, as the very low unemployment rates during Another TASC report – Mapping The the boom indicate, there is a willingness to Golden Circle – revealed the major role “group work. think”, where small collections of people from “The real problem is there is a need for similar backgrounds can cometo spectacularly investment to create jobs for people to apply wrong conclusions due to their ideas not being for.” properly challenged, played in the country’s Even with the IMF and EU watching over recent economic collapse the new government’s shoulder, O’Connor “You need diversity, you need more people believes a progressive “reform agenda is possi- from different backgrounds on the boards of ble”. major Irish businesses and institutions –a “There is plenty of room to improve the greater gender mix would be a start. public services people are getting and still Also if you had more employee-elected make sure that people who are on the lowest directors who were more independent and not incomes – the most vulnerable – are protected. all focused on the short term,” said O’Connor “Despite that, we do have a problem, we However, all these necessary reforms could don’t have enough money coming in through count for little, according to the TASC director, tax, we have to move towards balancing the if the possibility of mass youth emigration is books but the IMF are also realistic, they know not averted. how economics work, we do need investment “There are many people leaving who have in our economy. energy and/or high level qualifications. They “They know if the private sector is not are leaving because there are no jobs, and there investing, then the State needs to look at are no jobs because there is a lack of invest- where it can put in targeted investment to get ment. We have to have the confidence in our- the economy moving.” selves that we can build an economy that can But O’Connor does see a “dilemma” for the capture that talent and make best use of it.” public in maintaining a functioning welfare To find out more about TASC and download state. TASC master: Nat O’Connor took over as think-tank director in February Picture: Photocall the think-tank’s reports visit www.tascnet.ie Liberty 19 COMMENT MARCH 2011 Liberty View MembershipMemmbership InfoInformationormatiion &S&Support t CenCentrentre (M(MISC)MISC) Debt for equity swap needed The latest chapter of the European argued for a ‘debt for equity’ swap mecha- financial crisis has opened with the col- nism involving the European Financial lapse of the Portuguese government after Stabilisation Fund. His ideas contain a its parliament refused to endorse a deep- great deal of merit. er austerity programme. It is a widely held mis-conception in The dominant conservative outlook in Germany and other mainland countries Europe remains insistent on a repara- that their populations are ‘bailing out’ tions approach when what is required is a Ireland and the other stressed economies kind of Marshall Aid Programme. They with their tax contributions. They are are insisting on piling misery on misery not. They are actually underwriting a in the hope of appeasing those at the top very expensive loan to us. A ‘debt for of the major European banks equity’ swap would which are now exposed to the debts of the peripheral coun- ‘The right of tries as a result of their reck- centre leaders less lending during the boom of Germany and years. France, in par- The right of centre leaders ticular, have of Germany and France, in par- ticular, have concocted a ‘com- concocted a petitiveness pact’ as a condi- ‘competitive- tion of underwriting loans to ness pact’ as a enable countries like Greece, condition of Ireland, Portugal and Spain to underwriting limp on from day to day. This loans to enable grandiose title is a euphemism countries like for a recipe which effectively By JACK O’CONNOR Greece, Ireland, imposes the consequences of SIPTU General President Portugal and the profligacy of those at the and President of Congress Spain to limp top of the European banking on from day to system on citizens generally and working serve their inter- people in particular. ests muchbetter. day.’ It is patently unfair. Worse still, it is It would render inevitably doomed to failure. Suffocating our banks solvent the struggling economies of the peripher- again providing credit lines to facilitate al countries will serve only to delay the economic recovery. Ultimately, the debt inevitability of default withall its unpre- swapped for equity would assume real, dictable consequences for people across tangible value. Europe. It is critically important that we in the While the ‘burn the bondholders’ trade union movement in Ireland work debate is still relevant here, it is of withour comrades at EU level to con- diminishing importance. Debt owing to vince civil society in Germany and other OrganisingOrganissing for FairnessFairneess at the European Central Bank (and indeed European countries of the futility of aus- to the Irish Central Bank), by our State terity bothfor us, and ultimately for WWorkork and a Justice in SSociety guaranteed banks, now dwarfs that of the them, and the necessity of embracing bondholders. It is on such a scale that more imaginative and innovative solu- there is no possibility of repaying it tions. regardless as to how much misery is inflicted. It is well past time for more imagina- tive and innovative thinking. People like Professor Karl Whelan of UCD have 20 Liberty MARCH 2011 NEWS

Congress researcher Peter Rigney investigates the Dutch health insurance system proposed by Open letter tothe Minister Fine Gael as a model for the Irish health service of Finance... Going Dutch on healthcare

SINCE 2006, the Dutch health system is insur- Because insurance companies don’t need to ance based, with insurers obliged to offer be elected every four years, they will drive everyone the same standardised benefits pack- hard bargains, and hospitals which fail to close Mr Michael Noonan TD age, while competing on premium costs, cus- a deal with an insurance company will Minister for Finance tomer service and quality of care. undoubtedly close – as is currently happening Department of Finance The Dutch reforms are still described as a in Cork. Merrion Square Dublin 2 work in progress, but the underlying logic was The future of hospitals will move from the that insurance companies could, in price nego- hands of politicians to the hands of insurance Dear tiations, control costs in a way that the govern- companies. In Holland insurance companies ment could not. are shaping the health sector to their own lik- Mr Noonan To date, insurance companies have lost ing. Whether this is socially desirable is open On behalf of our members across a range of Health Care Settings including Rehab money on the basic insurance packages. Just to debate. Group and the HSE who are providing services in the community we are asking how long this can continue is open to ques- The Dutch system has two premiums: a your Department to review the spiralling cost of motor fuel. The recent increases tion. basic and an income related premium. The lat- in the cost of motor fuel are having a disproportionate impact on key frontline per- cor- Economic theories assume that if competi- ter is paid by employers and is the instrument sonnel such as Public Health Nurses, NLN Trainers and Community Mental Health tion is to work, there must be many providers of equalisation. Nurses. While the cost of motor fuel continues to increase there has been no offering products at an attractive price which Children’s premiums are paid by the gov- respondent increase in the rate per mile paid by their employers. will allow a profit. ernment and for the chronically ill, there is an Dutch health insurance is dominated by income-related subsidy. The average premium The Programme for Government focuses heavily on the delivery of services in the four companies having 88% of the market. is between €1,000 and €1,400 a year. community and this is to be welcomed. However, it must also be recognised that in This has been described as worrisome by an Dutch unions didn’t oppose the plan – order to do this our members will necessarily have to increase their fuel consump- unnamed Dutch government source. unlike most proposals from that conserva- tion. The delivery of services in the community can represent a significant saving The Netherlands has about tive/liberal coalition. for the State but this should not be achieved at the expense of workers who have four times the population of The new system was initially already endured two pay cuts as well as the Universal Social Charge. Ireland, which implies that the unpopular, possibly related to Irish market has the space for the fact that privately-insured I set out below the recent price increases which illustrate the impact on our mem- one major insurance provider. people without children had to bers: At present, Ireland has three pay about 50% more than before. €111.74 cent per litre. health insurance providers. Two problems arose in setting The average petrol price in 2009 was The Dutch government up the Dutch system. The collec- €131.07 cent per litre. tightly manages competition tion of the basic premium The average petrol price in 2010 was to control the behaviour proved hugely complex and dam- €142 cent per litre. of insurance companies. aged the efficacy of the tax col- The average petrol price so far this year is Companies which seek to lection system. attract a disproportionate An extra 500 tax collection We are therefore calling on you to review the cost of fuel and, in particular,ontline theservices. bur- number of people with low staff had to be hired. The other den it places on those who need their car to provide vital fr risk of ill health and to avoid problem was a higher than antic- covering high-risk individuals ipated number of people refused Yours sincerely, are controlled by risk adjust- to buy insurance. , Louise O’Reilly ment which compensates com- If we adopt the Dutch model Sector Organiser panies for high-risk members. in its entirety, we need to have Health Division However, risk adjustment is Can Dutch health model be SIPTU transferred toIreland? two discussions – one about the Louise OReilly technically challenging, legally treatment of people who refuse fraught and administratively complex. to buy insurance and the other about who is A recent review concluded that most risk the banker of last resort. adjustment mechanisms in Europe fail to pre- Most people would characterise the Dutch vent risk selection, and that the benefits of as being inherently more law abiding than the competition are likely to be outweighed by the Irish, and the Dutch have a problem with peo- costs. Dutch hospitals have 30.000 procedures ple who refuse to buy insurance – mainly stu- (“DBCs”) whose prices are negotiated with the dents. insurance companies. In Ireland, it could be another group – such There are currently very few public hospi- as those in mortgage arrears. We need to have tals left in Holland – Dutch hospitals are main- a strategy for dealing with those who refuse, or ly not-for-profit trusts. This has meant a big those people who cannot afford, to buy an change in the way hospitals operate. insurance package. Patients are able to check out the perform- The Irish taxpayer has bitter experience ance of individual hospitals through the web. arising from the failure in regulation, and has Dutch hospitals and insurers accept that there ended up being the banker of last resort for is a deficit in the skills of those engaging in the delinquent banks. We cannot afford to bail out negotiation of medical procedures. insurers that have under-priced their products Holland has a high rate of taxation,sothe over a number of years. health system was historically well funded. However, the State may have no option but A sustained effort was made – costing €5bn to bail out hospital trusts who fail the financial – to clear up hospital waiting lists before 2006 stress tests which will arise under the Dutch and before the new health insurance system system. was introduced. Doctors’ income also rose 20% in the year We need to debate these issues before we 2006-2007. The introduction of the new sys- move forward. Don’t pump it up: SIPTU’s Louise O’Reilly has called on tem was, therefore, lubricated by a substantial Peter Rigney is an Industrial Officer with Michael Noonan to lower the cost of fuel Pictures: Photocall injection of taxpayers’ money. Congress Liberty 21 NEWS MARCH 2011 Fair Hotels to set out its stall in Dublin Expo

By PAUL GAVAN

A FAIR Hotels Expo will take place at the aegis of the Irish Congress of Trade Unions to She said: “Essentially hotels need to take Liberty Hall Theatre in Dublin next month. agree a combined purchasing policy whereby three simple steps to qualify. The 13th April event gives Fair Hotels a all future business will be booked through “Firstly, they sign the Fair Hotels agreement chance to showcase its conference product to hotels have signed up to the Fair Hotels princi- which provides for recognition of SIPTU for conference organisers. ples. collective bargaining. A total of 55 unions and 33 non-governmen- This makes Irish trade unions the biggest “Secondly, they give a commitment that the tal bodies have already endorsed the Fair purchaser of conferences across Ireland and is hotel will be neutral on staff joining the union. Hotels ethical trade mark. certainly a major factor in the growing number “Thirdly, they provide a list of all employees And in advance of the Expo, Fair Hotels of facilities that have signed up to the Fair and access for organisers from the Strategic have written to all large conference hotels Hotels code of ethics. Organising Department to meet with staff. It inviting them to join in the campaign. The Fair Hotels website – www.fairhotels.ie really couldn’t be simpler.” Over the next three years, Irish trade – has seen a 20% increase in membership in SIPTUSector Organiser Pat Ward added; unions will stage 78 conferences, involving the last 12 months, making it a major success “This Expo really is a prime opportunity for 9,150 delegates and totalling 51,075 bed story in a market that is still under severe pres- hotels to pick up conference business over the nights. sure as a result of the downturn. coming 12 months. Unions organise delegate conferences Ethel Buckley, of SIPTU’s Strategic “We’re looking forward to having a really because these are how unions make all of their Organising Department, outlined the steps busy and productive day for all of the hotels important decisions. that hotels seeking a slice of this lucrative busi- that have signed up to the Fair Hotels princi- Now, unions have come together under the ness need to take. ples.” You’ll sleep easier knowing you made the ethical choice By PAUL GAVAN H\Y =bZcfaYX THANKSto the growing success of the Fair • Talking to your colleagues at work and Hotels campaign, workers across Ireland now telling them about the Fair Hotels campaign. 7\c]WY Zcf have an opportunity to ensure their employ- • Talking to management and informing ers make the right choice when hotels are them of the positive options available booked for company business. through the Fair Hotels website. 9h\]WU` 7cbgiaYfg By choosing a Fair Hotel, workers and good • Encouraging management to make an employers can be assured not only of the ethical choice when purchasing in the hotels finest facilities and service the hospitality industry. Fair Hotels is an initiative of hotel workers sector has to offer but they can also be confi- • Where there is a Fair Hotels option, dent the hotel treats staff fairly and affords members and activists should ensure their and their trade union representatives. them full collective bargaining rights. employer chooses the Fair Hotel over a rival The recent Davenport Hotel dispute shows hotel for meetings, overnights or functions. Fair Hotels are hotels that treat their what can happen in non-union hotels. From Dublin to Donegal, Westmeath to staff fairly. The Labour Court actually stated in respect Wexford, Belfast to Cork – in fact, wherever of this dispute that “the employer’s actions your employer is based in Ireland – there is were not fair”. now a Fair Hotels option on their doorstep/ Our objective is to support Now, more than ever, it is time everyone We are asking all SIPTU members to bring played their part in supporting the good the Fair Hotels website – www.fairhotels.ie – and promote quality employment in unionised jobs this sector needs – not only to to the attention of their employer. Let’s do it the hotel industry in Ireland by survive, but to grow and prosper. today and make a difference together. SIPTU members and activists can play an encouraging consumers to choose important part in supporting hotels that treat staff fairly by: Fair Hotels for leisure, meetings and conferences.

For all your holidays or weekend breaks view the latest special offers and discounts in Fair Hotels throughout Ireland. Log on to:

www.fairhotels.ie 22 Liberty MARCH 2011 COMMENT SUSAN O’KEEFFE

Ireland’s future: too important to be left in politicians’ hands. Picture: Photocall It’s about a lot more than balancing the books

NOEL Kilfeather gathered every ounce of We must take inspiration from his determi- are and however we can to insist that wedo energy to take him to the polling station in nation and remind ourselves constantly that not sell our soul. Sligo on February 25th to cast his vote for running this country in thefuturecannot sim- Wecannot afford to allow our country, our meand for theLabour Party. ply beabout balancing thebooks, thebanks society to be sacrificed on the high altar of the Seven days later, he died. and the markets. market economy. To do so will be to abandon His determination to contribute It must beabout caring about thekind of the vulnerable because they cannot contribute his part to a new government was country we build; investing in our children, to the ‘bottom line’. the last selfless act of a man who our culture and our communities. The debate about how we run Ireland can- had dedicated his professional As the country buckles under the weight of not belong solely to political parties or, more life to making things better for debt, is it possible to achieve this? Will the importantly, to government. other people. bankers and the financial gurus not simply Civil society emerged as a strong influence What Noel wanted when pull the rug from under ordinary working peo- in the year running up to this election and the hemadesuch an incredible ple with powerful arguments about debt and level of engagement on the doorsteps was effort to put his ‘one’ in the the markets? high. This must be sustained and encouraged box, was what he spent his Is the c-word – competitiveness - not just a so that thepublic is theconstant watchdog in working lifefightin g for; a byword for lower wages and fewer jobs? Is the relation to decisions about our future. better society. Thedays of leavingour futurein thehands As a retired SIPTU organ- of politicians is over. We must be demanding iser, his experience of peo- ‘We can’t allow our and vigilant in our pressure and our criticism. ple’s problems and needs country and society to The drive for openness and accountability was vast and likethethou- must come from citizens, relentlessly and con- sands of people who went out be sacrificed on altar sistently. The promises of reform, that were a to votefor Labour, hewanted key part of this election, must be driven by all to makesurethat Ireland of the market economy’ of us, all of thetime to ensure they become would not be turned into a busi- reality. ness or a corporation –‘Ireland Our collectiverolein our own futureis not Inc’ – run by economists and sale of water, energy and other infrastructure a handy excuse to allow government off the business people. not already being sized up and calculated? hook. Hewantedit to beabout Is our course already set, inherited from On the contrary, this coalition must accept thepeoplehehad always the buccaneering behaviour of the past 20 its responsibilities and the Labour Party in worked to look years? Can we do anything? particular must riseto thecommitmentwe after. We must do something. We can never again gave that we would, as Noel Kilfeather want- sit on our hands or out on the patio enjoying ed, build a society, not an economy. a barbeque while the country is stolen and sold by a few greedy gamblers. To do otherwisewould beto turn from a Celtic tiger to a Celtic cannibal! We all have a responsibility wherever we

Susan O’Keeffe is a journalist and Seanad candidate for the Labour Party. She stood in Sligo/North Leitrim in the general election. Noel Kilfeather was a former SIPTU branch organiser in Mayo. Liberty 23 MARCH 2011 Diary of a Southside TD

assured him that my battle against cronyism will in Saturday: I’m on top of the world. What Monday: Send in the clowns. I thought no way interfere with my weekly colum. a poll topping performance in Dublin South. Poor old that they’d want what I want! I had a battle on my Sommerville did not make it in South East but in hands to get a word in edgeways between the posh Wicklow Stephen Donnelly looks like shafting Dick schoolboy Boyd Barrett, Uncle Joe, McGrath, Friday: The new cabinet is taking shape. I Roche. Roche, who always had delusions of adequacy, O’Sullivan ..oh and I just know I am going to have genuinely think they made a mistake putting Joan in is devastated. I’m thrilled to have another ‘Right-on’ problems with Clare Daly and Joan Collins. It’s such Social Protection. She’ll take it far too seriously. commentator to keep me company. The Soldiers of a comfort to have Donnelly beside me. Still we man- Rabbitte in charge of RTÉ does not please me one Destiny are fulminating, predicting all sorts of doom. Dick aged to cobble together a technical group and I can little bit but I am very happy with Corporal Shatter is wondering how Europe will manage without him. play at being a leader now and again. A sort of politi- in charge of the courts and the army. He will be so

WEEK 1 cal pass the parcel. busy in charge of the FCA he will have no time for McWilliams supported myself, Donnelly and clinics in Dublin South (not that I would Sommerville. I was glad of the photo op also but he dream of doing such things. That’s what can go over the top. “This is a super victory for the Tuesday: My maiden speech was won- other TDs are for). Pope’s Children,” he told Hookie on Newstalk. derful. Witty and urbane I had myself in stitches. What is wrong with the media that Hairy Mick’s Brilliant. We have stuck one to George is beside himself with joy. He’s a true Blue pink shirt got more publicity than my well-practiced Europe. Lucinda in Roche’s and he played a stormer at the Fine Gael press con- barbs? seat will drive them all ference. Bluestalk is a great station – the Sindo of mad. Who would have the airwaves; what with Ivan, George and yer man Ming gladdened my little heart when he rose to thought it was possi- from the National Forum, Coleman. Coleman he speak. Who would have thought that beneath that ble to find some- may be but he won’t cut the mustard in the Seanad hippy exterior there lies a soul mate? When he one who was election. Rumour has it he’s running for a Trinity urged the government to take advice from even more seat. Who does he think he is? Just because he Constantin Gurdgiev I knew I had him all wrong. irritating or writes about business and has a column in the Ming is no dope. arrogant Sunday Independent he thinks he can fill my shoes. than Dick. Wednesday: I’m backing Tony Sunday: Fiddlesticks. It looks like Enda Williams to take over one of my old jobs, the Senate will have to crawl into bed with Eamon, who has seat for Trinners. As I state on Tony’s election leaflet pulled the rabbit out of the hat. In fact Rabbitte is he is “joining my crusade for change”. With that in everywhere – and they might even put him in the mind I thought it best Tony didn’t mention his for- Dept. of Finance. I really think that would be unfair mer national executive position with the PD’s or his to Joan. co-opted stint on Dublin city council for Harney’s lot. Glad, though, he mentioned his Trinity “Pink” Off to the Gresham for a meeting of the Independent for sporting excellence. group. Not the SINDO - the Independent technical group – and I am not looking forward to it one little As well I know Sir Anthony will be very bit. It’s a right rainbow coalition and there is no pleased to have Tony championing the new guarantee that they will recognise my natural leader- politics in the Seanad, he has buckets of expe- ship abilities or do what they are told. rience combating sleaze as one of the Independent News and Media’s legal team. By the way. What’s the difference between the My fight against cronyism goes on. Independent Technical Group and Independent Newspapers? One is technically not a political insti- tution and the other is a collection of TDs. Thursday: I’m so pleased. It appears the new Business Editor of the Sunday Independent wants me to hold the back page. Nick is a great choice. He’s a very talented journalist and any father-in-law would be proud of his achievements. I

1. What is the name of Ireland’s new Attorney General? 2. Which county’s fire fighters had to threaten industrial action to resolve a labour dispute? 3. From which town does new TD Sandra McLellan hail? Liberty Quiz 4. What is the name of the Irish American band who recorded a song in support of US trade unionists? 5. Who compiled the Wright report and where are they from? *Answer the six questions correctly 6. What was thenameof theIrish CitizenArmy member who died fighting in the Spanish Civil War? and you can win a weekend away for Last month’s winner: James O’Donnell who works for Bord na Móna in Kildare two in one of Ireland’s Fair Hotels. Answers by e-mail only to [email protected] *Terms and conditions apply. 24 Liberty MARCH 2011 NEWS

CLAIMING OUR FUTURE Tacklingincome inequality

By NIALL CROWLEY

CLAIMING Our Future met in Tailors Hall on op new methods for advancing this change in tified as priorities at the first Claiming Our the 24th March to assess progress and chart an unprecedented context of economic and Future event in the RDS last October. out its next steps. social crisis. Thematic groups are to be convened to It brought together those involved in steer- The next Claiming Our Future event will be explore how to progress the issue of universal ing the movement, co-ordinating its day-to-day a national discussion on reducing income health care and the design of a model of devel- work and developing its local presence and inequality. opment for economic security and social and activities. To be held at NUI Galway on 28th May, it environmental sustainability. The movement’s purpose – in seeking a will allow people from across the different Participants at the Claiming Our Future more equal, environmentally sustainable and parts of civil society to share information, meeting in Tailors Hall acknowledged the very Niall Crowley: Challenges ahead are clear thriving Ireland – was reaffirmed. The need knowledge and perspectives on income different scenario faced by the movement post for a civil society force to build support for the inequality and to debate strategies to address elections. that need to be developed if the movement is values of equality, environmental sustainabili- this issue. Claiming Our Future grew in a context of a to be relevant to the context faced by Irish soci- ty, participation, accountability and solidarity It should stimulate and support work to Government that had lost all credibility and ety and to the broad range of interests was also re-asserted. highlight and debate this issue and build sup- must now seek to develop in a context of an involved in the movement. Challenges facing Claiming Our Future are port for policies to reduce income inequality. administration with a strong mandate. It was agreed that an expanded co-ordina- clear. It seeks to progress what is a medium to The event will focus on the rationale for However, there was clarity that the substan- tion committee would draft up a strategy plan, long-term agenda of social change in Ireland, reducing income inequality, the policy changes tive issues that motivated the emergence of with the necessary organisational arrange- yet it must also respond to the immediate dif- required in welfare, taxation and earnings to Claiming Our Future still remained. ments to implement it, for consideration and ficulties facing so many people. reduce income inequality, and the actions that The meeting also explored new governance agreement over the next three months. It must build a cross-sectoral force for are needed to advance this issue in political and organisational arrangements that might Niall Crowleyis former Chief Executive of change that includes all parts of civil society. It debate. now be required for Claiming Our Future to the EqualityAuthority seeks social change but is challenged to devel- Work will also begin on other themes iden- grow from this point. It examined activities

Eamon Ceannt, great grand nephew of Eamon Ceannt, Helen Litton, great niece of Tom Clarke, James Connolly Heron, great grandson of James Connolly, and Muriel McAuley, Thomas McDonagh’s granddaughter, outside Leinster House earlier this year as part of 1916 relatives’ campaign to save the historic Moore Street terrace from redevelopment Picture: Photocall Risinghopes that 1916 buildings will be saved By SCOTT MILLAR

Hopes have been raised that the new gov- extend national monument status from one of opers, then surely the same can apply to the memoration, but it should be real, and I think ernment will protect historic buildings in the buildings to the entire terrace of houses on safeguarding of a national monument desig- there is an obligation on the State to respond Dublin’s Moore Street where the leaders of the Moore Street. He said the previous administra- nated in honour of the men and women of positively to the relatives of the 1916 leaders to 1916 Rising issued their final order for surren- tion had missed an “opportunity to take deci- 1916.” In July last year now Tánaiste Eamon go with this project.” der. sive action to fully protect the existing 1916 Gilmore visited the site of the Moore Street Connolly-Heron added; “The Concerned rel- Described as the “Irish Alamo”, relatives of national monument and to end the disgraceful surrender. atives of the Signatories to the 1916 the 1916 leaders have for several years been uncertainty hanging over the most important As Labour Party leader he committed to sup- Proclamation have long called for the State to campaigning to save the terrace of houses, battlefield site of 20th century Ireland.” port the relatives’ campaign, stating that it was intervene directly to protect and preserve this where Padraig Pearse formally issued the Connolly Heron said he was now confident his party’s aim “to have these buildings proper- important battlefield site for future genera- rebels surrender, from being included in a the building would be saved with Taoiseach ly preserved, properly commemorated, and an tions. planned shopping mall development. Enda Kenny agreeing to meet the 1916 appropriate museum and commemorative cen- “We now reiterate this call. The newly-elect- James Connolly Heron, the great grandson leaders’ relatives. The Labour Party has already tre developed there in conjunction with the ed government has a golden opportunity to of rebellion leader and Irish Citizen Army com- backed the campaign. GPO.” develop an historic and cultural quarter that mander James Connolly, called on the govern- He added; “If emergency legislation can be He said; “Our commemoration of 1916 will forever commemorate the sacrifice that ment to accept a Dublin City Council motion to enacted to bail out banks, bankers and devel- should not just be a token flag-waving com- others made on our behalf.” Liberty 25 OPINION & COMMENT MARCH 2011 Heart-felt ‘Hej då’ to Ireland By STELLAN HERMANSSON

MY three years as Global Solidarity Officer at the Congress are unfortunately coming to an end. The crisis and the cuts have hit us all in various ways. In my case it forces me to “emi- grate” back to my native Sweden. But these years working with the Irish trade union movement will always have a spe- cial place in my heart. Ireland is in some ways a unique country in the west because of its own history. I remember Prof Declan Kiberd describe Ireland in a radio interview as “the only coun- try in the first world that has collective mem- ory of being a country in the third world”. A history of 800 years of colonialism – but also of rebellions – left its mark not only in a country’s understanding of itself, but also a people’s understanding of the world. My own experience in the trade union movement is, for example, that among so many members there is an almost immediate understanding of trade unionists in Colombia, who risk their lives every day simply because they are organised. This is not because of an understanding of the whole complex socio/economic situation in Colombia, but because of an emotional affinity with our fellow Colombian trade unionists. The Irish branch of Justice For Colombia Gaza protest in Dublin in June last year. Activists across Europe are impressedwith Irish support for Palestinian cause Picture: Photocall ‘Our goal should be to build an even stronger network of solidarity champions’

was set up in December 2008 with SIPTU’s Mick Dowling as chairperson. We have developed concrete solidarity work and efficient lobby work. Ireland is the first – and is so far the only – country where all the MEPs signed a letter, together with Congress General Secretary David Begg, urging that there should be no EU Stellan, second from right, with Jimmy Kelly of Unite, SIPTU General President Jack O’Connor and a visiting Colombian delegation in December 2010 Free Trade Agreement with Colombia as long Picture: John Chaney as human and trade unions rights are not One way to do so is to boycott Israel and I respected. am proud that the Irish trade union move- We have also built strong relations with the ment is at the forefront in this initiative. trade union movement in Colombia. Jack We have also, together with the develop- O’Connor visited the country in July last year ment NGOs Comhlamh and Trocaireand the and the Colombian TUC leader Tarsicio Mora ethical fashion group Re-Dress, set up an Irish came to Ireland with a delegation in December branch of the Clean Clothes Campaign, which last year. I know that Justice For Colombia will works in solidarity with garment workers in continue its work until Colombia respects the global south. human and trade union rights. This is one example of the importance of Many friends of Palestine in Sweden and developing our links with other progressive other European countries have told me that organisations working for global justice. they are impressed by the strong solidarity I have gotten to know many SIPTU mem- with Palestine that is shown by the Irish trade bers who took part in Congress’ Global union movement. Solidarity Champions education. And again I think this is partly caused by This education, which has been funded by Ireland’s own history – if your ancestors were Irish Aid, will hopefully continue this autumn. colonised and oppressed, it has an effect on To build an even stronger network of solidari- your views of the world. ty champions on the island of Ireland should Ireland is quite unique in having also some be a goal for the trade union movement. right-wing politicians who, on the question of Finally, I want to express my gratitude for Palestine, identify with the oppressed. having welcomed me into the Irish trade Our trade union conference in solidarity union movement during these last three with Palestine, held in Dublin Castle in April years. You really have made me feel at home. last year, was a wonderful expression of the A big Slan, or in Swedish, Hej då will to contribute to a peaceful solution built on the respect of both UN resolutions and the principles of human rights. 26 Liberty MARCH 2011 TRADITION

March past: Irish Citizen Army volunteers – serving neither King nor Kaiser – form up outside Liberty Hall What happened to the ICA?

ORIGINALLY raised to defend workers during when four policemen were shot at a banned 200 ICA members were engaged in support for The ICA argued for a ‘triple alliance’ made the Lockout in 1913 and a central part of the Connolly commemoration in May 1919 and the Anti-Treaty IRA and at the end of the Civil up of a workers’ army, one big industrial union Easter Rising, the Irish Citizens Army (ICA) during the Custom House attack of May 1921 War, several ICA volunteers had been jailed. and a new socialist party. remained active for many years afterwards, in support of the IRA. The nucleus of the ICAwas maintained ICA volunteers were told that their “skill explains historian Brian Hanley. But in 1921, the Citizens Army divided over after the Civil War but it was not until 1934 with a rifle was not more important than your The ICA was re-organised after the 1916 its attitude to the Anglo-Irish Treaty. A section that it re-emerged publicly. A factor in its reor- patience on a picket line, nor are either of Rising by a number of veterans, including of the ICA wanted to form a new Irish Workers ganisation was the rise in right-wing violence these more salient than your electoral activi- James O’Neill, Frank Robbins, Michael Army that would remain independent of both and the growth of the Blueshirts. ty”.Members were again jailed when they Donnelly, Seamus McGowan, Dick McCormack pro and anti-Treaty factions, seeing both of The ICA saw itself initially as an ‘anti- intervened during the Dublin Tramway strike and John Hanratty. them as anti-labour. Fascist’ force, organised around the trade of 1935. However, by that stage the organisa- It remained a largely Dublin-based body The Irish Workers Army was to be recruited unions. tion had been damaged by splits in the with smaller units in Balbriggan, Lucan and largely from the Irish Transport Union; its aims When the IRA split in March 1934 and the Republican Congress movement. Terenure amounting to perhaps 300 volunteers were to defend Ireland against foreign aggres- Republican Congress was formed, the ICA affil- A number of leading ICA members, such as in total. sion, protect strikers, secure the rights of work- iated with the new movement, and ex-IRA offi- Michael Price, argued for joining the Labour At various stages units were also organised ers as citizens and fight for the workers’ repub- cers such as Frank Ryan and Michael Price Party. By 1936 Price and Roddy Connolly were over the next four years in Cork, Derry, lic. joined the ICA, as did several hundred former members of the Labour Administrative Council Drogheda, Monaghan (led by Peadar But another group saw the Treaty as a IRA volunteers. and pushed for the organisation to adopt the O’Donnell) and in Glasgow. betrayal of Connolly’s ideasand were prepared James Connolly’s daughter Nora took up a ‘Workers Republic’ as its objective. The organisation remained open to women to fight against it. Some ICA members also cau- position on the ICA leadership as did her Other ICA volunteers followed Frank Ryan as well as men; Countess Markievicz was an tiously supported the Treaty and the organisa- brother Roddy. to Spain to fight for the republican government Army Council member and women were also tion split over the issue. During 1934, the ICA was active during there – former ICA training officer Kit Conway involved at rank and file level. Anti-Treaty ICA members took part in the strikes and in conflict with the Blueshirts. It was killed at the Battle of Jarama in February The ICA drilled weekly and held intermit- fighting at that start of the Civil War in Dublin. had units in Belfast, Kilkenny, Limerick and 1937. tent training camps. It campaigned against con- They again supplied intelligence, particularly Cork and marched behind the Starry Plough Following this period, the ICA dissolved as a scription in 1918 and for the release of repub- on the docks and railways. By late 1922 about flag at Bodenstown that year. distinct organisation although some of its lican prisoners. members would still meet socially and for com- The organisation co-operated with the IRA hatever happened to the Citizen Army? A history of Left Republicanism will be memorations. However, the mixture of repub- during the War of Independence, helping with discussed at the Annual SIPTU May Day labour history school, Methodist Church, lican and socialist ideas associated with the intelligence gathering and arms procurement. WAthy, Co. Kildare, Sunday, Ist May @ 3pm. Chaired by Tommy Graham (History organisation would continue to play an impor- There are a few instances where ICA members Ireland) panellists include Brian Hanley (St Pat’s, Drumcondra), Eoin Ó Broin (Sinn Féin) tant, if unfulfilled, role in Irish life. engaged in armed action themselves, such as and Fergus Whelan (SIPTU). Brian Hanley is a historian and author.

BOOK REVIEW ACROSS THE DIVIDE by Brian Gallagher (O’Brien Press) Lockout seen through eyes of children Reviewed by Siomha Walsh Garcia (age 12) ACROSS The Divide is set in 1913 in Dublin Dublin and to help Liam’s family in their strug- It was easy to imagine what it all looked like during the strike and lockout. This book is gle to survive,Nora sets off to make a change. because of his clear descriptions. about two kids who are asked to form a choir But can Nora do this alone? And will Nora and I like the way he weaved the historical with some other children having been seen Liam be able to stay friends? Or will the indus- events of Dublin into an enjoyable novel, singing at a competition. trial dispute between workers and employers This particular choir is a mixed choir for tear their friendship apart? explaining well what the times were like back boys and girls from poor and rich families. It Nora is very a mature character who thinks then. was not common in Ireland at that time for things through well. She is caring, independ- It feels like you are walking the streets of there to be such a mixed choir. ent and loving but, above all, she is compas- Dublin and living the lives of people from both Liam and Nora, the main characters, are sionate. She is determined to help the poor sides of the battle, transporting you into the from two completely different backgrounds. even if it is contrary to her upbringing. reality of Dublin in 1913. Nora’s father is an employer and his familyare Because of the lockout in Dublin, Liam’s wealthy, while Liam’s father is a mechanic and family struggles. He remains a very caring char- Readers from age 11 and upwards will a trade union member so his family are not acter who tries to help his family to overcome understand and enjoy the book. very well off. their poverty in any way he can. He is funny, I recommend this book because it’s well They form an unlikely friendship which is kind and very patient with others. written, easy to understand and really outlines kept secret. The things that really shine through with the historical events of Dublin 1913. While Liam’s family struggle to get food and Liam are his ability to complete his goals and The plot is very appealing and it is a very have money to survive, Nora enjoys the luxu- to not give up hope, while helping his family original idea, not like anything I have read ries of her life. However, her friendship with and friends. I enjoyed reading “Across the Liam makes her quite aware of the terrible con- Divide” as it’s a real page-turner. Brian before. I would mark this book 10/10. ditions in which the poor live. Gallagher captures the images of poverty and Siomha Walsh Garcia is a 1styear studentat Determined to change the way things are in the events of 1913 well. MountTemple School in Dublin. Liberty 27 INTERNATIONAL MARCH 2011 Praise for hero nuke plant workers

By SCOTT MILLAR JAPANESE trade union members were to the bers would “undertake all the necessary International Transport Workers Federation International Chemical, Energy and fore in relief efforts in the areas worse affected actions, including collecting information, (ITF) which donated £200,000 (€300,000) to Mineworkers’ Federation General Secretary by the 11th March earthquake and tsunami. through a RENGO Disaster Relief Task Force” affiliated unions in Japan. Manfred Warda said his federation had been in Throughout Japan trade unionists and com- and at local level assist aid efforts in accor- ITF president Paddy Crumlin said: “Only a daily contact with their Japanese affiliates munity activists mobilised to assist the public dance with “the social mission of the labour month prior to this disaster the same Japanese assisting them in their relief efforts. following the 9.0-magnitude quake, the largest movement”. trade unions who are today trying to re-estab- He paid particular credit to “the courageous in the country’s history, which may have left Efforts included the establishment of vol- lish the transport links that are vital to the res- workers” of the Denryoku Soren trade union more than 20,000 dead and many hundreds of unteer teams of trade unionists to assist the cue effort were sending financial aid to victims “working non-stop on the Fukushima Nuclear thousands homeless. public as well as co-ordinating work with state of the Queensland flooding. Power Plant” stating they were “the real heroes In the days following the disaster the agencies. “We in the ITF worldwide family are now in the world today.” Japanese Trade Union Confederation (RENGO) Among the international unions that con- able to do all we can to help them in their great The efforts of these workers averted a reac- President, Nobuaki Koga, stated that his mem- tributed to the disaster relief efforts was the need.” tor meltdown in the days after the disaster. Internationally, the threat of nuclear disas- ter in Japan has led to renewed questions about the safety of nuclear power. In India, the world’s fastest growing econo- my, the concerns have led to left-wing political activists and trade unions mounting protests against the development of a massive nuclear reactor in Jaitapur. "The Jaitapur project should be scrapped as it poses a risk," Communist Party of India leader, Prakash Reddy, told a protest march against the development on the 21st March. He went on to accuse the Indian govern- ment of “misleading” people by saying the Jaitapur project was safe from tsunami threat and of being too closely linked with the French company Areva which is supplying reactors for the project.

SEIU President Mary Kay Henry, left, claims the US public reject right-wing Wisconsin state governor Scott Walker’s anti-union crusade. Wisconsin State University students join massive protests in state capital Madison ITUC chief: Make good Public rejects plea on Chile mine safety INTERNATIONAL trade union federations are calling on the Chilean government to deliver onslaught on on mine safety promises made to Chilean min- ers rescued in the San José mine last October. ITUC General Secretary Sharan Burrow said: “When the world’s media was still focusing on Chile, President Sebastián Piñera committed to reform Chile’s weak mine safety laws within 90 days, and to ratify the International Labour US union rights Organisation Convention on safety in mines. “Nothing has changed yet, and Chile’s min- ers are still facing unacceptable risks to their health and safety.” A cave-in at the San José copper-gold mine By SCOTT MILLAR near Copiapó, Chile, left 33 men trapped 700 metres below ground, where they survived for THE US public is strongly opposed to the Walker, succeeded in passing a bill that Amnesty International has joined those a record 69 days before rescuers brought them attacks on trade unions now being pursued removed the right to collective bargaining for condemning the move. to the surface on the 13th October last year. by the hard right of the Republican Party in the state’s employees in early March. The organisation’s International trade In an appeal for international support to several states. The new law is the subject of on-going union adviser Shane Enright said; "The press Chile to do what the President Piñera According to research carried out for legal challenges with a poll showing Wisconsin bill is symbolic of a wider attack promised, the General Secretaries of the Bloomberg News, more than 64% of the US Wisconsin voters disapproving of it by a mar- on unions in the US, where workers are fac- International Chemical, Energy and public support the right to collective bargain- gin of 57% to 43%. ing an onslaught from the authorities.” Mineworkers’ Federation, Manfred Warda, and ing for public workers, believing the power Twelve other US states with Republican He added; “Many employees are already of the International Metalworkers’ Federation, of organised labour is dwarfed by that of cor- governors, that have been heavily financed strugglingbecause of the economic crisis Jyrki Raina, have called on the country to porations. by corporate interests, have also and these laws will undermine fundamental adopt key UN regulation, ILO Convention 176. Even a majority of Republican voters sup- so-called “right to work” union-busting laws human rights and labour rights, protections “Convention 176 can and will provide the port collective bargaining rights, while 63% – at various stages of debate in their state leg- which are sorely needed to ensure that framework for revising the mine safety laws in including 55% of Republicans – say states islatures. employees do not bear the brunt of the cri- Chile,” they wrote in a letter to the global should not be allowed to break pension com- Nationally, Republican senators are also sis. union movement seeking support for the cam- mitments to workers. pushing for legalisation that will curtail long “It will also jeopardise the delivery of paign. “Americans soundly reject these political established trade union rights across the vital public services that these employees “It is a universal fact that when the union attacks,” said SEIU trade union President country. deliver." voice is part of monitoring mine safety, the Mary Kay Henry. “That's why tens of thou- The attack on state workers in the US mir- On the cultural front Irish American band risks in mining get reduced dramatically. sands of families, students, faith leaders and rors attempts by the Irish right to create a so- the Dropkick Murphy’s released a song ‘Take “This convention makes union involve- other Americans continue to take to the called public sector/private sector divide ‘Em Down’ about the struggle for workers’ ment through safety committees an inherent streets in state capitals and cities across the here. The attacks in the US have galvanised rights, which they have dedicated to the part of the process. country." a wide range of opinion in opposition. Wisconsin protesters. “On several occasions, President Piñera has Despite the public opposition, mass Opinion writers in respected newspapers, The Bloomberg News poll of 1,001 adults highlighted the importance of ensuring sus- protests and politicalmanoeuvring by his such as the Los Angeles Times, have called was carried out in early March. It has a mar- tainable development in Chile, recognising the Democratic opponents, the right-wing on readers to boycott goods from Wisconsin gin of error of plus or minus 3.1 percentage fundamental role of workers and inspired by Republican Governor of Wisconsin, Scott in protest at Governor Walker’s new law. points. the courage, solidarity and vision shown by the 33 trapped miners,” added Burrow. 28 Liberty MARCH 2011 ULR concept sparks interest across Europe

GIVEN the success of Union Learning known as “Professionalisation and Recognition • Assist employees to become aware of dif- order to find their own indi- Representatives in helping workers in Ireland for Guidance in Education” – is being put in ferent upskilling/learning opportunities, and vidual career paths, and give to upskill and identify their life-long learning place by European trade unions and training Promote the value and benefits of learning, support for their personal needs, other unions from across Europe have providers. • Work closely with individuals and their development joined with SIPTU’s IDEAS Institute to set up a Its aim is to develop a qualification for companies in order to identify learning needs, • Give direction and sup- European project to further develop the ULR learning mentors – in-company “promoters” of • Work closely with individuals in order to port to take part in vocation- concept in their own countries. education and training for employees. develop a life-long learning plan al training measures Germany’s IG Metall and the LBC union Developing a competence model, training • Act as a friendly contact person for any • Research and update different (regional) from Belgium, among others, are taking part in and supporting tools for learning mentors is questions concerning further development and training providers and the courses that they this learning mentor initiative. the primary focus of this EU-funded project. training issues offer. The learning mentor project – officially Learning mentors will: • Encourage employees to take action in

Keyboarding skills: SIPTU members from Meath-based SAICA Packaging take part in a computers course – one of many provided by IDEAS Institute Picture: IDEAS Institute Win-win way to boost profits and save jobs

SIPTU has long held the view that upskilling area. The union, its Union Learning Reps Institute – was agreed for all production has a critical role to play in helping companies (ULRs) together with progressive employers employees. The training is certified and produce quality goods and services that can have agreed a joint approach to providing accredited by FETAC, the further education compete at home and abroad, while at the upskilling training to our members. awarding body in Ireland. same time helping to sustain its members’ FAS, the national training body in Ireland, Leo Laboratories also agreed to allow work- employment. has financially assisted the development of ers paid time off to take part in the pro- This approach is needed more than ever both the Union Learning Representative con- gramme.The training is still on-going and Union Management Steering Group (JUMSG) now amid the current economic recession cept as well as the team-working training pro- outlining a joint vision of how all the stake- results have been well received by both the when many thousands of workers have lost grammes in these firms. holders in the firm would like to see it develop. workforce and the company. their jobs. In the case of pharmaceutical company Leo It was agreed that developing team working In fact, the agreed training programme has SIPTU working jointly with progressive Laboratories, both SIPTU and management would be an important element of an agreed been doing so well that other companies and employers – such as Leo Laboratories in recognised there was a need both to remain approach between the company and the union representatives interested in achieving Dublin, Kirchoff Ireland in Donegaland SAICA competitive as well as to sustain employment. union.Following talks, a plan of team working similar objectives have visited Leo Laboratories Packaging in Meath – is making progress in this They agreed to the setting up of a Joint – provided by training from SIPTU’s IDEAS to hear first hand about it. Liberty 29 RIGHTS MARCH 2011 KNOW YOUR RIGHTS Pensions decoded

By RACHAEL RYAN

OCCUPATIONAL pensions have been going can draw down an income. through tremendous change in recent years and this year it looks likely that this will con- Hybrid schemes: tinue. Broadly, these schemes combine a mix of a The Pensions Board, as the regulator, is defined benefit scheme and a defined contri- soon expected to issue changes to the bution scheme. There a number of different Minimum Funding Standard. This Standard types of Hybrid Schemes. applies to certain types of occupational pen- The following are just two examples of the sions and it is designed to ensure that these different types: schemes are being run on the basis that there will be sufficient amounts of money in them Combination Hybrid: to meet their liabilities under the Pensions • Here a Defined Benefit scheme applies Act. on a portion of an employee’s earnings up to The Pensions Board will also reissue a date a certain limit and a Defined Contribution by which scheme trustees (as those responsi- scheme applies to earnings above this limit. ble for looking after the scheme) must submit The employee then draws their pension All about funding proposals to them ensuring that and/or lump sum from both these schemes at their scheme is going to be able to meet this retirement. standard. As many schemes struggle to do so, fur- Career Average Re-valued Earnings: ther significant changes in pensions may still • This is a type of Defined Benefit scheme be seen. but it is not linked to the employees earnings In the latest figures on pension coverage at or near retirement or the date of leaving contracts for workers aged between 20 and 69 pro- service. Instead the benefit that is provided is duced by the Central Statistics Office in 2008, linked to an average of the employee’s salary just over half of these workers (54%) had a each year throughout their career. The bene- pension (not including entitlement to any fit that is built up each year under this type By MICHAEL HALPENNY State pension). of scheme then re-values (in line with a cho- However, 46% of these workers either did- sen index) up until the date of retirement or LAST month we had a look at the Terms of what is known as an independent contractor n’t have or didn’t know if they had a pension. leaving service. Employment Information Act 1994 which i.e. someone who works for themselves. gives workers certain rights to information The significance of the distinction is that What then are the main types of occupa- Rachael Ryan is an official in the SIPTU about their employment. the worker under the “Contract of Service” has tional pension schemes? Legal Rights Unit. This, as we said, is separate from the con- all of the rights and duties of the employee tract of employment itself. However, some- including the right to be covered by employ- There are many different types of pension times when the question is asked, “Do you ment law. The second category does not have schemes but they can be broadly described have a contract of employment?”, the answer these rights and consequently is not covered under three different headings; Defined given is “no”. Generally what the person by employment law. Benefit schemes, Defined Contribution means is that they don’t have one in writing. The problem is sometimes in distinguish- schemes and Hybrid schemes. ing between them both, particularly when the So, does a contract of employment have to What are the main features of each type of relationship with the “employer” is of long be in writing? pension scheme? duration. However, the courts employ a num- It is important to recognise that while con- ber of legal tests to examine the relationship Defined Benefitschemes: tracts of employment are generally in writing and look at issues such as who controls the • The employee’s pension and/or lump they do not have to be. You can have a con- work, whether the worker is in business for sum at retirement is linked to their salary at tract of employment which is verbally or oral- themselves and also “the realities” on the or near their retirement age or the date they ly agreed. On occasions it is possible to have a ground. leave their employers service. contract which is regarded as being • The employee’s contribution to the “employed” by the actions of both parties i.e. What is in the contract of employment? scheme (if any) is based on a percentage of the worker and the employer. their salary, with their employer contributing Having said that, most people nowadays The contract will usually contain some the balance of the cost necessary to fund the have contracts of employments which can be clauses to do with pay, hours of work, benefits scheme. However, in some of these schemes quite simple and contained in a letter or small and possibly some procedures. The more com- both the employer and employee’s contribu- document, or can be in the form of quite an plex contracts can have a lot of such clauses. tions are fixed as a percentage of salary. extensive document containing many pages These are known as the “express” terms of the Defined Benefit pension schemes, in the and various clauses. contract – in other words, those that are in main, are subject to the minimum funding writing or have been made clear verbally. standard and many have seen significant Do I actually have a contract of employ- However, it is important to note that there changes recently. ment? are other terms which are “implied” into the Defined Contribution schemes: contract such as rights under employment law, This is a more fundamental question that • The employee and the employer pay a under collective agreements and what are arises sometimes when workers are taking percentage of the employee’s salary into the sometimes referred to as “common law claims against the person they understand to pension scheme. These contributions are be their employer and who then turns around duties”. then invested and whatever the value of the and denies the relationship. An example of the matter is the duty of the individual employees fund is at their retire- In most cases it requires the decision or employer to have reasonable care for the ment is used to purchase them a pension judgment of a body such as the Employment health and safety of employees. and/or provide them with alump sum. Appeals Tribunal or a court to determine the Because employment contracts can cause • This year the Finance Act introduced issue. The law distinguishes between what is difficulties, but are very important docu- new additional retirement options for mem- known as a “Contract of Service” and a ments, members should seek advice from the bers of DC Schemes. Subject to an employee “Contract for Service”. Put simply, the union when queries arise. meeting certain conditions they will now be “Contract of Service” describes an employee Michael Halpenny is Head of SIPTU Legal able to transfer their fund at retirement to an while the “Contract for Service” describes Rights Unit. Approved Retirement Fund from which they 30 Liberty MARCH 2011

John Freeman 1934 – 2011 A champion of workers’ unity Brian o h-Eachtuigheirn was, like his grandfather James Connolly, a true champion of workers’ rights

JOHN Freeman, former President of the Irish Congress of Trade Unions and Regional Brian o h-Eachtuigheirn 1941 – 2011 Secretary of the Amalgamated Transport and General Workers Union has died. Born in East Belfast in 1934, John emigrat- ed to Australia after finishing his engineering Celtic visionary apprenticeship. He decided to return to Northern Ireland BRIAN o h-Eachtuigheirn died of cancer in Celtic arts and culture. At the time of his after hearing veteran British Communist Party the care of his loving family in San Francisco, death he had been working onthe creation MP, Harry Pollitt, speak during a tour of California, at 11.30pm on March 10, 2011. of An Claidheamh Soluis Gaelic Adventure – Australia. Brian, 70, was the charismatic visionary a multi-media/living-theatre piece. John became a shop steward for the and founder of An Claidheamh Soluis/The Brian returned to school in his fifties and Amalgamated Transport and General Workers Celtic Arts Center in Los Angeles; An received a PhD in theatre studies from Union (ATGWU), now part of Unite, in Short Claidheamh Soluis, the Irish Arts Center in UCLA, before attending Nova University Law Brothers and campaigned for civil rights in New York City; the Brave Hearted Woman School, passing the Bar at his first test, aged Northern Ireland during the late 1960s and Theatre Company in Cape Breton, Nova 57. early 1970s. Scotia and An Claidheamh Soluis Gaelic His love of the Uillean pipes was He became ATGWU Regional Secretary in Adventure, all dedicated to preserving the immense. Seeing him playing the pipes with 1972, at the height of the Northern troubles, Irish language, music and theatre. his twinkling gaze and the shake of his head and strongly opposed attempts by the Loyalist Born Brian Samuel Connolly Heron in would pierce anyone's heart. Association of Workers and the Ulster Dublin on 24th January, 1941, he was a From the days of supporting his young Workers’ Council to hijack the trade union grandson of Easter Rising leader James movement. family as a fisherman, Brian loved the sea. Connolly. His last project was to row a curragh, which On one occasion in 1974, he had to be Like his grandfather, Brian was a true Union stalwart: John Freeman he and others had built, across the Atlantic. smuggled out of Short’s for his own safety champion of workers’ rights and first came Picture: Unite Brian’s dying wish was to return to after opposing loyalist militants. to America with the help of Mike Quill of the Ireland and become politically active, but his A key figure in maintaining the unity of Transport Workers’ Union. He later worked workers. cancer prevented this from happening. In his the labour movement during the troubles, he as a union organiser, risking his life working He did not involve himself directly in dying breath, he seemed to grab the oars and also played an important role in union affairs among San Francisco’s exploited Chinese negotiations in the Republic, even when he set off once again, keeping true to his visions south of the border. became ICTU President in 1995. sweat shop workers. At the Special Delegate Conference of the Alongside Cesar Chavez and Dolores even when others didn't believe them possi- However, in June 1996, when the ble. Irish Congress of Trade Unions in February Government and employers were pushing Huerta, Brian was an instrumental leader of 1990 to consider withdrawal from the the United Farm Workers and also worked Brian is survived by Belinda, his wife; for pay cuts in a successor to the Programme three sons – Che, Morghean and Yury Heron; Programme for National Recovery, he called for Competitiveness and Work, John said he with the International Ladies Garment his grandchildren – Hayim, Larissa, Fionn on unions with members on both sides of the would resign as President of Congress if Workers Union. He was a founding member and Iona; and his first wife Aine. A memori- border not to use the voting strength of north- they did so. of the National Association for Irish Justice al will be announced on ern members in reaching a decision. In the subsequent negotiations unions as well as the National Association for Irish www.celticartscenter.com. He argued that it would not only be unde- secured significant pay rises. Freedom. He relied heavily on his family for health mocratic for trade unionists not affected by He retired after standing as President of Brian – a lifetime supporter of Native the agreement to decide the outcome for Congress having served 25 years as a full- American rights – took his entire family and care in the last few years. During this difficult those who were, but would breed resentment time official of the ATGWU. He continued to travelled across the US, Canada and Central time for the family, donations of any amount and division. Although the ATGWU opposed campaign for workers’ rights right up to the America visiting Indian reservations and will be greatly appreciated; contributions in his national agreements, John Freeman always end. forming alliances with Native American memory can be sent to the Brian Heron Family respected the decisions of Congress and He died suddenly of a heart attack on tribes. Above all, he was devoted to the Relief Fund, S.F. Police Credit Union, 2550 Irving sought to obtain the best terms possible for Tuesday, 15th March. preservation of traditional Irish language, St., San Francisco, CA 94122.

DAY LONG SYMPOSIUM & VICTORY CELEBRATION

FEATURING FIRST EVER ADDRESS BY A CUBAN VETERAN OF THE HISTORIC BATTLE TO AN IRISH AUDIENCE AND A SCREENING OF THE CUBAN DOCUMENTARY FILM “66 HOURS” DIRECTED BY OTTO M. GUZMÁN, A MUNDO LATINO PRODUCTION

Advanced registration advised. Admission: Waged €10/€5 Concessions.

Saturday 16th April 2011, Register via email: Liberty Hall, Dublin 1 [email protected] Organised by the Irish Friends of Cuba Coalition Liberty 31 SPORT MARCH 2011 ‘Sports mad’ nation should start at school

By SEAN POTTS

WHEN the Gaelic Players Association (GPA) ini- sport – or the lack of it – within our primary studies, particularly during exam years. A young violinist or pianist is supported tiated a campaign back in 2003 to have and secondary education system. However, if sport was a subject in itself with through the education system with marks Government funding introduced for inter- And before the door is knocked off the a ‘practical’ element surely this would allay afforded for performance and a course county hurlers and footballers, it did so based hinges by the countless volunteers and teach- those fears and encourage the young player to designed to be complementary. on the principle of parity of esteem. ers who help run school sports, I am referring continue to nurture their talent. Young county minor footballers have to For the GPA and its members, having the to the official status of sport within our Of course there is the possible argument shoehorn their commitment to club, county status of GAA players elevated in the eyes of schools. that raising the profile of sport within school is and school during their Leaving Cert year with the State was considered an essential, formal It doesn’t measure up to the spurious idea somewhat ‘elitist’ – but it’s hard to sustain that no recognition or compensation. step in safeguarding their future as elite, ama- of Ireland as a sports mad nation. line, given that it would have to meet the same If we took sport more seriously, it is well teur athletes. Why, for example, is sport not a subject on criteria applied to other subjects. recognised that there are accruing economic An interesting feature of the often fractious the school curriculum? And there is no reason why the curriculum campaign, however, was the fact that many Why can’t a committed young Gaelic foot- would have to be restrictive. As things stand, opponents of the scheme countered the notion baller, hurler, soccer player, hockey player or many schools play very few sports because of a ‘Surely it is worth of affording a special ‘status’ to Gaelic players lack of time and resources. With an official sta- despite the fact that elite Irish sports men and tus, the options for the child to pursue a sport examining possibility women in other codes already received of choice would surely expand. Government support. ‘If we don’t challenge Yes, there would be a cost but we haven’t of official role for One of the arguments used to oppose the status quo, are we even begun to consider the potential benefits GPA campaign was the vague but emotive in a country with a growing obesity problem sport in curriculum’ ‘what about the ordinary player?’ accepting Irish sport among our young population. The intention of this argument, trying to There is no doubt that Irish sport is under- portray the GPA and its motives as divisive and is where it should be?’ pinned by a remarkable voluntary network. benefits and it would provide opportunities for elitist was reasonably effective, ignoring as it Better facilities in clubs throughout the coun- graduates from the plethora of sports courses did the reality that every sport is necessarily try are one enduring legacy of the boom years who have bleak prospects in a sports industry ‘represented’ and indeed nurtured by its top rugby player not choose to expand their knowl- and children have greater access to sport than that is struggling but shouldn’t be. tier just as it is fed by the grassroots. edge of sport through the curriculum just as a ever before. The education system as we know could do Thankfully, the argument was eventually musician or artist can, with practical exam- But this voluntary ethos can be taken for more to encourage creativityin general, with put to bed and the status duly granted to Gaelic points benefits accruing for their contribution granted and disguises the anomaly at the heart sports being an obvious discipline. players but it is interesting that there was so on the field of play? of the Irish education system, one that fails to Young kids have a tremendous array of tal- much opposition in a country that considers The theory and science (physiology, biome- afford an official status to sport. ents but we allow them to be squandered itself ‘sports mad’. chanics, fitness and nutrition etc) of sport National debate about the curriculum is fre- because we don’t provide for them in school – The GPA challenged the status quo, chal- forms a critical component of the subject at quent – the decline in the standard of maths, the system does not allow us to encourage lenged the establishment because it believed third level, surely it could form the core aca- students shunning science subjects, the future them. Creativity should be as important as lit- its members and their dedication to their sport demic element of a second level course. status of compulsory Irish – we are well versed eracy. was deserving of recognition and support. Why are the sports facilities in many of our on all of these issues. Challenging the consensus in a constructive If we don’t challenge the status quo, are we public schools so sub-standard or non-existent? Surely it is worth expanding our outlook manner is as important in sport as it is in any essentially accepting that Irish sport is where it Why should something so apparently and examining the possibility of an official role section of our society. should be? important to our nation depend solely on the for sport in that curriculum. If we want to aspire to being a sports mad The reason I raise this point is because the voluntary activity of teachers or parents? What is striking is that students are almost nation, then it’s time we challenged this one. notion that we are a ‘sports mad’ nation seems Many parents understandably fear the neg- punished for their commitment to sport as Sean Potts is GPA Head of Communications to evaporate when we consider the status of ative impact sport can have on their child’s things stand. TUF MEMBERSHIP SERVICES Great benefits & savings for our members! Your family members are also entitled to avail of these offers. G Home Insurance G Car Insurance 1890 300 745 G www.fmr.ie Incorporating Doohan Insurances and J.P. Kilcullen and Co. Ltd. Travel Insurance

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