My proposal for removing up to 100,000 public servants is relatively straightforward although it will have to be accompanied by substantial reforms in work practices, promotion policy, pension entitlements and attitude. For example, the defined benefit, indexed linked pension scheme is simply too expensive for our country to afford for the foreseeable future. The abolition of this pension must include all public servants whether employed now, in the past or in the future. If new legislation or constitutional amendment is required to make this happen, then so be it. The fact that there are people who retired over ten years ago and are presently receiving pension that are actually higher now than their salary they were on when they left, is outrageous. [Read More]
No doubt you are sick of listening to the radio, watching the television or reading newspapers and getting nothing but bad economic news.
Unfortunately, this is happening because our Government — and many of us — closed our eyes and ears to the reality of what was unfolding before the meltdown. The priority now is to resolve it the best we can and as quickly and as equitably as possible. To do so is going to require some major decisions, all of which will have substantial and far-reaching consequences for every one of us.
Finance Minister Brian Lenihan should immediately tell us what options he considered prior to the bank guarantee scheme and the implications of each. Not once, since this crisis began, have we been treated like adults and told exactly what options were considered. Instead, we were told the bank guarantee scheme is the only show in town, with no explanation whatsoever. Suspiciously, none of the other options (if any) have been discussed publicly by the Government. [Read More]
To be published in the Sunday Independent 12 Sept 2010
On numerous occasions in the last week we have heard our Minister for finance Mr. Lenihan remind us of the necessity to continue to guarantee the banks. Not to have done so initially would almost certainly have meant the instant financial collapse for our state. Of the two options open to him (letting the banks go, being the first), guaranteeing the Irish banks was the only practical option. Well, according to those who were advising himself and Mr. Cowen on that fateful night, when the crises meeting took place in Government Buildings.
Let’s face it, this is what he was told by the CEO’s and the Chairmen of Allied Irish Banks and Bank of Ireland. And these people should know shouldn’t they? These were the same people who, we had been led to believe, understood international finance, economics and the creation of wealth. After all, the bankers were finance professionals and Mr. Lenihan and Mr. Cowen, were legal professionals. You wouldn’t go to a solicitor for financial advice nor vice versa, would you? Our representatives at the meeting (Zig & Zag) were either lied to or they were incompetent, or both. Fortunately for everyone in the room that night, we’ll never know as there were no minutes taken at the meeting. Yeah, right.
We can only surmise that the bankers put up an extremely strong case for the guaranteeing of the banks and strangely Anglo Irish bank, which they knew was in serious trouble. The problem is, Mr. Lenihan has ever told us what, specifically, the alternatives were. Sure, we have heard the warnings of “economic meltdown” and “imminent collapse of the financial system” etc etc. But so far, nobody has actually told us what these mean. What advice specifically did Mr. Lenihan and Mr. Cowen receive from the bankers? What “appalling vista” lay before them that left them with no choice but to guarantee the Irish banks and therefore a generation to economic hardship? I, for one, would really like to know the answer. I mean, how bad would the alternative have been? ./………… [Read More]
Recently, The Minister for Trade Enterprise and (Un)Employment Mr. Batt O’Keeffe ,announced the creation of 50 high-tech jobs, at a cost of €20 million. Not surprisingly these jobs are are to be created in his constituency. Think about that for a moment, €400,000 for each job created. And even then, the profits are repatriated to the parent companies Country of origin. [Read More]
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The ‘Associated Loans’ are the amount of money that was lent to borrowers which was secured against the anticipated increase in the value of the underlying asset! The formula used to calculate the anticipated increase in value must be the same as used to calculate the length of a piece of string…. [Read More]
This short article by Karl Whelan, Professor of economics at UCD, makes it very obvious that we must reconsider the entire NAMA idea. The majority of the people elected the present Government to run the Country on our behalf and to be kind, it hasn’t be working out so well. Now they are about to orchestrate the biggest distortion of the free market ever and it will cost you personally (and each of your children) more than EUR15,000. [Read More]
he government are proposing to reduce public expenditure by 5 billion this year. Far be it from us to interfere in their eight week holiday, so we are going to have to wait until December before they start implementing any of the required cuts. Between now and then, this means that we will have to borrow an additional €8,125,000,000! Can somebody please tell me why we have to wait until December to have a budget? [Read More]