Republican News · Thursday 26 February 1998

[An Phoblacht]

Leinster House two tier legislation


We need a just social welfare system as much as we need just trade union laws and a just, open banking system

Equal treatment under the law is a generally held aspiration of most democratic governments. Equality of treatment when it comes to the implementation of Government legislation should then not be too much for any government to guarantee. That is until you come to Leinster House and the Dublin Government.

This week Sinn Féin TD Caoimhghín O Caolain spoke in Leinster House on the Trade Union Recognition and Social Welfare bills and highlighted the double standards in Leinster House legislation.

O Caolain told An Phoblacht that there are very obvious differences in the House's approach and the people for whom they are legislating.

Caoimhghín said that ``In the Finance Bill we noted the substantial tax giveaways to PAYE workers. While welcome, these tax cuts favoured very much the higher income earners in society''. The halving of capital gains tax was another example, O Caolain said, ``of aiding the high income earners at the expense of the low paid''.

Now in the Social Welfare Bill we are being asked to preside over another year of meagre increases for the 750,000 plus social welfare recipients in the 26 Counties.

``The proposed £68.40 unemployment assistance rate is a welcome increase but it falls far short of an acceptable level of assistance. A 1996 Combat Poverty Agency report suggests a poverty line in 1994 terms of £75. Surely in this period of buoyant tax revenues we could take a step towards creating a more inclusive society by raising the single person benefit rate to £75 and then increasing benefit rates in line with Combat Poverty's recommendations''.

A second part of the Social Welfare Bill which shows the double standards in legislation is the proposal to standardise revenue and social insurance numbers with an identity card being given to each person which will allow ``sharing and transfer of personal information between specified agencies''

O'Caolain told An Phoblacht: ``Apart from the civil rights implications of such a card there is also the question of why such rules of disclosure do not apply to all individuals of the state.

``Last week the Governor of the Central Bank Maurice O'Connell told the Joint Committee on Finance and the Public Service that he cannot, because of EU Law and the 1989 Central Bank Act, inform the Moriarty Tribunal or the Revenue Commissioners about the offshore bank accounts particular individuals might hold. This is in stark contrast to the level of information transfer proposed in this bill''.

On the Trade Union Recognition Bill O Caolain welcomed it. However, he said ``What is really needed is a repeal of the 1990 Industrial Relations Act. In fact in all of these areas - social welfare, banking and trade union law there is a need for a complete over haul of legislation. We need a just social welfare system as much as we need just trade union laws and a just, open banking system''.

BATU headquarters attacked

The headquarters of the Building and Allied Trades Union narrowly escaped complete destruction this week when an arson attack on the union failed. Last Sunday evening a back window in the union building was broken and petrol poured in. A lighted rag thrown into the offices did not fully ignite but still caused serious smoke damage to the building.

Sinn Féin's Seán Crowe told An Phoblacht that ``Many families in this town remember similar attacks by anti-union agitators in the 1930s who attacked and burnt union buildings throughout Dublin City. Trade unionists, no matter what their politics, should oppose such intimidatory attacks on BATU''.

Fringe benefits

Some workers have to be content with the little things in life, like their meagre salaries. Then there is that other elite group of workers that we don't often hear much about except the details of their salaries and fringe benefits that are published annually in company reports.

This month the spotlight falls on the Irish Permanent chief executive Roy Douglas. Roy made what's called a paper profit last week when be bought 52,500 Irish Permanent shares worth £9.75 each for the knockdown price of £1.80 each. If Roy were to sell these shares now he would make a profit of £417,375. Not bad for a top up to his already substantial salary.

Irish Permanent Finance director Peter Fitzpatrick also bought cut-price shares. In his case it was 15,000 shares, making a paper gain of £119,000. Many companies offer such profit share schemes to their workers, but the scale of that paid to executive directors in the Irish banking sector is, as you can see, a fairly hefty fringe benefit.

This is not the end though for Roy. He has another 313,500 share options, meaning that he can also buy these shares for the knockdown price of £1.80 offering him a potential profit of £2,492,325. It just goes to show that some people don't need to buy lotto tickets.

Banana splits

Other good wage news was shared this week by the executive directors at Fyffes. Not limited by the constraints of Partnership 2000 they were able to secure a 14% wage increase in 1997. The average payment to the executive directors in 1997 was £282,000. It good to see that there are some benefits to being a banana republic.


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