Tag: expenses

People in public office need to exercise judgment over public money

6th October 2009

The level of trust and confidence in politicians is at an all-time low. That is absolutely true. Any Member who is in contact with people - I am sure that is the case with all of my colleagues - must know that there is an unprecedented level of anger and frustration evident across all levels of society. The question of expenses is but one flashpoint. It is, however, a serious flashpoint. This matter arose earlier in the year in Britain and a debate on the fundamental issues involved came about as a result. That debate went to the very heart of the constitution, no less, of that country.

There is a serious issue with which we must deal. There is no substitute for people in public life exercising their own judgement in respect of both their actions and what they do with public money. If every single person in public life is not prepared to exercise judgment over what he or she is doing in respect of the use of public money, there is no hope with regard to the restoration of public trust and confidence in politics or the political system.

I asked the Leader of the Seanad a question in respect of that matter. The question to which I refer relates to the trust and confidence of the public in the debate in which we will be obliged to engage in the coming months with regard to the overall budgetary situation and the serious difficulties we face. I wish to ask a single, tight question. Has a Government decision been made in respect of the figure of €4 billion required to be obtained in savings in December’s budget? Has the Government decided to change the balance which it indicated would apply in respect of that €4 billion, namely, that there would be €2.5 billion in expenditure cuts and €1.5 billion in taxation measures? When was it decided that the entire €4 billion in savings would be obtained through public expenditure cuts? Was a decision made and when was it made?

Everyone has a view on the correct balance that should apply and we could engage in a debate on the matter. However, in the first instance I wish to know the answer to the question I have posed. As stated last week, during the summer the McCarthy report and the report of the Commission on Taxation were published. In my naivety, I had understood that these reports would form the basis for the debate in which we were going to engage this autumn. The McCarthy report contains much that I do not like but it sets out in stark terms where expenditure is being made and where there may be opportunities for savings. There is much with which I agree and much with which I disagree in the report. However, at least it is a written document. The Commission on Taxation’s report sets out the basis on which we might reform the tax system in the future.

We were, therefore, presented with the McCarthy report on expenditure and the commission report on taxation. I accept that matters are not that simple but at least these reports could provide us with some assistance. However, we have been informed that the report of the Commission on Taxation has been abandoned. In addition, and if we are to believe the newspapers, it appears that rather than going through the detail of the McCarthy report and engaging in the requisite debate, the Government intends to have one or two major whacks, as it were. In other words, it will have a go at either public service pay or social welfare payments. That is just not good enough because it contributes to the lack of trust. If the Government wants the Opposition to put forward proposals for discussion, why then is it not possible to engage in a debate on these reports, which were commissioned in our name, rather than merely jettisoning them?

Does the Minister think FÁS expenses are acceptable?

3rd December 2008

The series of revelations in relation to FÁS has been commented on in the media over the past 10 days. Yesterday, the Seanad called the Minister for Labour Affairs, Billy Kelleher to attend a debate on the body. Below is my own contribution.

We are all aware we are in a serious economic crisis. On 15 October the House had statements on unemployment. When I rose to make my contribution then, I complained that the Minister of State’s speech did not seek to address the jobs crisis and the growing problem of unemployment. I invited my colleagues on the other side of the House, and the Minister of State, to show me anything that was new in that speech. It was tacitly accepted there was nothing new.

I was listening with heightened interest to learn if there would be anything new in this speech. I accept the Minister of State is dealing with the specific area of FÁS and the question of job creation and the Government’s economic policy extends further than FÁS. However, the Minister of State claimed “the Government is putting measures in place to ensure those who become unemployed are provided with effective employment service and training supports.” He also referred to the increased budget allocations provided to FÁS, an additional €5 million for training the unemployed and an additional €4 million to subsidise redundant apprentices in 2009. Whereas I am not suggesting these points were made in the debate in October, they seem not to include anything new in the past six weeks.

The Taoiseach has said Ireland is in a dire crisis. The people look to the Government to come forward with proposals as to how we can address this. There is no sign of the Minister of State or the Government doing this. From his speech today, there is no evidence, with all respect to the Minister of State, of anything new being presented to us regarding the deepening employment crisis, which all commentators agree will get worse in early 2009. I accept the Minister of State can criticise me for not resisting the opportunity to make a political point. The Government announced last week some initiative on research and development. When can we expect a plan from the Government? When can we expect direction and policies from the Government to address the unemployment crisis? Will it be next week or in January? Will it ever come?

It is not just the case that unemployment is rising but the type of unemployment. A few days ago David Begg of the ICTU pointed out that unemployment is biting at the new services industries, such as financial services, legal and architecture, that have located in Ireland in the past 12 years and account for much of the expansion in employment. There are large numbers of young people in their 20s and 30s, highly trained and educated, who are losing their jobs. I am not arguing that the Minister of State can employ them all but what I am looking for is some sense of initiative, urgency and concrete proposals from the Government.

The Minister of State said the Department of Enterprise, Trade and Employment is carrying out a review into the efficiency and effectiveness of labour market programmes delivered by FÁS and Skillnets from which a new labour market strategy will be completed by the middle of 2009. That is too far away - up to six months. It is not good enough. This issue does not appear to be treated with a sufficient level of urgency given the ferocity of the problem with unemployment.

I am sure there will be a measure of political co-operation across the board in the event of a serious economic crisis. However, we look to the Government in the first place to come forward with the proposals. It is not happening. I hope it will happen sooner rather than later.

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