Review of EROs and REAs is an Opportunity to End Government 'Attack on Incomes'

9 Feb 2011

Congress today (Feb 09) welcomed the Review of the ERO and REA Wage Setting Mechanisms saying it was "a real opportunity to refute the ideological attack on incomes that was launched by the outgoing Government."

According to Congress General Secretary David Begg, the outgoing Government "made an attack on lower and middle incomes a policy priority and the results have been disastrous. They have deflated the economy to the point of depression and cost us thousands of jobs.

"The attack on the REAs and EROs is part of that campaign and a clear line can be drawn between the cut in public sector salaries, the cut in welfare rates, the cut in the Minimum Wage and the attempts to demolish key wage setting mechanisms such as the REAs and EROs.

"The review now provides an opportunity to end this policy and start focusing on jobs and growth," Mr Begg said.

He also questioned the involvement of EU institutions in the process, saying that EU treaty law specifically forbade their involvement in wage setting, at a national level.

 

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