Ireland’s opposition parties seek role for parliament in social partnership

Ireland’s leading opposition parties, Fine Gael and Labour, have issued a joint call for members of the Oireachtas, specifically members of the Dail (Parliament) and Seanad (Senate), to be given an enhanced role in the current social partnership process.

Fine Gael and Labour believe greater involvement by elected Oireachtas representatives is needed to boost transparency and tackle the 'democratic deficit' that they believe has emerged since the first national agreement between the social partners was reached in 1987.

The two parties are co-operating on policy issues with a view to forming a government after the next Irish general election, which must take place within the next 18 months or so.

'A reformed partnership must include a strong voice for consumers, become more democratically accountable, and itself be more transparent and focused', says the agreed statement from the two parties, entitled 'A New Departure For Social Partnership'.

The two parties also suggest that the next national agreement will have to address the issue of gainsharing agreements in the private sector. It points to the failure of partnership to restrain the bidding up of wages in some sectors. 'This pay escalation threatened to undermine the legitimacy of the process for employers.'

It notes that 'gainsharing arrangements, which might address this issue, have not become widespread through the economy. This problem may emerge again, should the economy continue to grow.'

The current national agreement, Sustaining Progress, which expires at the end of 2005 is the sixth of its type since social partnership agreements were introduced by the Fianna Fail party in 1987. Fianna Fail, which formed a minority administration at the time, is still the main Government party, but is currently in coalition with the smaller Progressive Democrat party.

Significantly, Fine Gael and Labour are committed to acceptance of the principle of benchmarking public sector pay. Fine Gael expressed strong reservations with the benchmarking system when the first report of the Public Service Benchmarking Body (PSBB) was issued in 2002. The recent statement reflects some of that former scepticism, expressing stern criticism of the way the benchmarking process has been handled by the Government and by the public service as a whole.

'The fundamental idea behind benchmarking is an important one. Replacing traditional relativities with a serious analysis of the content and skill requirements of particular jobs should produce a more rational system of pay determination, and prevent the build up of skill shortages in key occupations.'

At the heart of the proposed overhaul of social partnership arrangements is the proposal that a proper relationship between the institutions of social partnership and the parliamentary institutions - the Dail and Seanad. According to the statement, the Oireachtas should be given a 'clear authority to interact with the Social Partners. In particular, the Dail and Seanad should be much more closely involved in detailed discussions in the run up to key partnership talks.'

Advice from the National and Economic and Social Council (NESC) should be subjected to analysis at the hands of the appropriate Oireachtas Committee. 'The management of a new round of Partnership talks should be preceded by the adoption by the Oireachtas of a motion outlining the key challenges which emerges from assessments in the appropriate committee of NESC’s advice.'

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