Wednesday, October 15, 2008

Is this the end for the National Pay Agreement?

Yesterdays PR excercise Budget could spell the end for the National Pay Agreement. Unions and employers organisations have yet to approve the deal and after yesterdays Budget I can't see any union recommending it to its members. Already the deal called for a pay freeze and then rises less then inflation, in reality a pay cut, but with the government taking 1% from EVERY worked and increasing VAT which will increase inflation by about 1.1% (thats 2.1% gone) workers don't have money to spend. It wil all come down to local bargaining. I don't foresee many strikes, as I do not see the Pay Agreements as a reason there hasn't been any in the last number of years. But the budget takes the biscuit so to speak for many workers. I will be amazed if any union approves the deal and certainly ICTU won't. IBEC aren't happy with the budget either so, I doubt they will approve it either. Fun times ahead.

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