February 3, 2009

What is next?

D-day is coming to an end. The partnership fell through and the government had to produce their action plan. With no backing from the social partners, they now stand alone. How will this go down with the public sector worker? Can they be persuaded that this is the right course of action? A strike action now would be dethronement to the government.
Is 3-9% pay cut too much of a burden for workers that have guaranteed jobs? I`d say that most people in the private sector wouldn`t say so. If you are a private sector worker on 20-25K a year it is very hard to find compassion for someone who looses a few thousands on a 45K salary. Of course, there are workers on lower income too but some of the figures mentioned were in the region of 35-45K. That is a decent enough wage.
The government didn`t come out with passion today fighting for this, that was left to the opposition. On a day like this they all needed to stand behind Mr Cowen and show leadership. The coming week will be crucial.

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