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24 September 1998 Edition

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Workers in struggle

Yes to a better future



     
No to second rate schemes, low-paid dead-end jobs, harassment of social welfare claimants and tax cuts which only benefit the rich
Wanted - work not Workfare. That is the message being delivered to the Dublin Government today by representatives of the unemployed from all over the 26 Counties.

The Irish National Organisation of the Unemployed (INOU) is leading a demonstration against Mary Harney's Employment Action Plan proposing that instead resources be diverted to better training and decent jobs.

The aim of the protest is to say No to second rate schemes, low-paid dead-end jobs, harassment of social welfare claimants and tax cuts which only benefit the rich. Instead the INOU want a commitment to quality training, tax cuts for the low paid, the introduction of the proposed minimum wage now, not in 2000, and an independent well-resourced local employment service.

The INOU claim that Mary Harney's department is censoring criticism of the Employment Action Plan by refusing them access to an analysis of the plan carried out by consultant economist Paul Tansey.

Already they have highlighted inconsistencies over the funding available for the plan and Mary Harney's comments to the Small Firms Association that people would be ``cut off the dole''.

The INOU believe there are clear alternatives to the Harney plan. They say ``If people are offered a better future, they jump at the chance. The only reason for threatening people is because what is on offer is second rate and provides no future''.

Working For Work Launched


Despite the conflict over the Employment Action Plan the INOU showed that it is possible to have a positive relationship with government departments when the fifth edition of Working For Work was launched.

The INOU booklet produced with the aid of the Department of Social And Family Affairs.is a guide to exploring welfare, work, education and training options for unemployed people.Working For Work has become the definitive guide to the inner workings of the social welfare system. The picture shows INOU General Secretary Mike Allen speaking at the launchof the new booklet with Social Affiars Minister Dermot Aherne.


Ahern must deliver tax cuts for the low paid



A fair, equitable tax regime. That doesn't seem to be a lot to ask for? Well apparently it is. This week the Fianna Fáil/Progressive Democrat coalition plan their second budget and once again the thorny issue of equitable taxes is back on the political agenda.

Last year the coalition government ignored the advice of Combat Poverty, the Irish National Organisation of the Unemployed, the Economic and Social Research Institute, Sinn Féin and others to use the £600 million plus available for income tax cuts to help the lower paid.

Charlie McCreevy chose instead to introduce tax cuts that benefitted the higher income earners and corporate business rather than help the low paid. Now in 1998 a range of powerful forces are gathering to prevent an equitable tax regime being established in the 26 Counties.

The first problem is a deal done this year between the Dublin Government and the EU Commission. They have agreed that corporation taxes in the 26 Counties will be lowered to one rate of 12.5% over the next five years. This means that much of the extra revenue available for tax cuts will be taken up with helping business not the low paid.

Last week the Central Bank made their opinion clear. They want any further cuts in taxes to be carried out in a revenue neutral way. This means either that taxes are changed so that taxpayers are no better or worse off, or that tax cuts would be financed by cutting government spending.

Now the cabinet itself is reported as being divided over the delivery of tax cuts for the low paid. Both Bertie Ahern and Mary Harney have promised tax cuts for the low paid but now the government is being pressurised by other ministers and civil service officials. They believe that such tax cuts could increase inflation.

The fact that inflation is driven by a range of other factors is overlooked because the weakest in society are an easier target when it comes to deciding who will have to bear the costs of the Dublin Government's economic policy.

In the coming weeks every effort must be made to ensure that Bertie Ahern and Mary Harney live up to their promise to deliver tax cuts to the low paid. Another budget that panders to the better off and the business sector at the expense of the less powereful in society should be an option.


Dear Seán Dorgan,



First off, congratulations on the new job as chief executive of IDA Ireland. I know that you don't actually take up your post until 1 January but now is the time to prepare for the difficult job that awaits you.

You are taking control of the IDA at what seems at first glance to be a good time for the authority. Time and time again we have heard the trumpeting of the IDA's record year of job creation. Yes Seán the IDA is having a few good years in generating new jobs but this ignores the deeper problems facing the authority.

Last week you seemed to recognise one of these problems when you said that the authority will work more to address the regional imbalance in industrial development. It has to be said that in current political conditions the IDA seems more concerned about this imbalance than the Dublin Government.

However more needs to be be done. The IDA's structures need to be completely reformed. If your efforts in job creation have to be regionalised so should the IDA. It needs to be an organsitation filled not with government appointees such as yourself but instead with representatives of the people and communities the IDA is supposed to be serving.

The IDA as an organisation should reflect the make-up of the local economies of Ireland and not be just a group of experts dictating economic policy from Dublin.

In the immediate term you should set a new tone for the IDA. First stop the government using the IDA as a vehicle for self promotion. In the past the public have endured the same job package being ``announced'' two or three times by government ministers. You also have a role as watchdog on the Government's fickle industrial development policies. You should tell the government when you think they are getting it wrong. We have the right to know.

Good luck in the new job. We will be watching closely.

Slán

An Phoblacht
44 Parnell Sq.
Dublin 1
Ireland