Public sector pay v capital spending programmes

[patslatt]

The public sector union workers naturally want their pay to exceed past inflation.However,given the weak international economic outlook and rising unemployment,the government should enforce low pay increases on our highly paid,low productivity public sector.

Taoiseach Cowen,influenced by his experience in Finance, is likely to be primarily concerned about rapidly rising government deficits in the social partnership negotiations. However,the ridiculous pay level of the Cabinet, cleverly manipulated by packing the pay review body with superrich businessmen who think all leaders should be paid a fortune,will undermine the government's credibility at the pay negotiations. The best move the government could now make to restrain public sector pay would be to abandon its own ridiculous pay increases that put Bertie on a higher salary than Bush.

If the government is unable to negotiate pay restraint,then the ambitious capital spending programmes of the government will have to be cut back or abandoned,as has typically happened in historic economic downturns.

[wombat]

If the government is unable to negotiate pay restraint,then the ambitious capital spending programmes of the government will have to be cut back or abandoned,as has typically happened in historic economic downturns.

There is still no evidence of a value for money analysis having been done on capital spending plans, a dangerous myth has developed that capital spending by the government using borrowed money is the solution to the developing problems.

[patslatt]

If the government is unable to negotiate pay restraint,then the ambitious capital spending programmes of the government will have to be cut back or abandoned,as has typically happened in historic economic downturns.

There is still no evidence of a value for money analysis having been done on capital spending plans, a dangerous myth has developed that capital spending by the government using borrowed money is the solution to the developing problems.

Maybe the lack of analysis stems from the political reality that spending decisions have an important political dimension. This is not to defend the complete lack of analysis,however.

[wombat]

Cowen said that spending cuts will exclude the NDP, which is fair enough since its his plan. My question is how joining the Luas lines in the centre of the city will improve productivity or building govt. offices at every crossroads as part of a decentralisation scheme benefits anyone other than FF hangers on.