The Budget – More of the Same only Worse: Where’s the Reaction?

by Andrew - WSM (personal capacity) Wed Apr 08, 2009 11:21

I also think the government have also pulled a clever one with the higher income levy for PAYE workers earning more than 75,000 and PAYE taxpayers earning more than 150,000. This creates the impression that 'the rich' are paying a greater proportion. The reality though is that while someone on PAYE taking in 200,000 is very well off the rich are mostly not PAYE tax payers at all so they won't be paying the 6% levy at all (or only on that fraction of their income that comes via salary). I'm not sure for instance that any of the Anglo 10 pay PAYE tax and if they do it will only be on a fraction of their income.

So basically the 2% -> 4% -> 6% income levy bands create the impression of a somewhat 'fair' distribution of the burden while the reality is that the capitalist class are actually untouched apart of course from the extra funds generated to bail them out. Of course the whole language of fairness is a con in itself as its very design is to force those of us who did not benefit from the property and share booms should some of the costs of the crash and pay the costs of bailing out those who made bad bets on those booms.

by Frank - none Wed Apr 08, 2009 12:01

Isn’t it strange that no move was made in the Budget to address the so-called “loopholes” that allow seriously rich capitalists to remove their assets from Ireland for a period of a year and then return without paying a cent in tax on their assets?
There was uproar about this very thing not so long ago when John Gormley’s crony was exposed as a benificiary of this “loophole”.
Actually, the term “loophole” is a misnomer. It is a perk built into the taxation system with one aim in mind – to allow the criminally rich to evade their responsibility to the state.
These loopholes were introduced by government and can be removed by government, but no move is made to do this, so when another fat cat is exposed as evading paying tax, we will be told that they are doing nothing illegal.

by B Wed Apr 08, 2009 13:17

Where is the reaction? Where is the anger?

I agree, there is not much. A more interesting question is why is there no reaction, and no anger ?

by Bazooka Joe Wed Apr 08, 2009 14:00

Why is the EU allowing our State to give financial support to a private business? It is illegal to give assistance to Aer Lingus but the fat-cat EU eilite bend the rules where necessary, to support their own and to steal from the 'serfs'.

http://ec.europa.eu/competition/state_aid/overview/inde....html

The appointment of Sir Andrew McLeod Brooks Large as our new financial 'Viceroy' exposes our so-called 'Democracy' as a sham. Why give control of the National Finances to a Peer of the British Realm? It's a pity Minister Lenihans uncle Joe isn't around to give his opinion. As MI5 agent Joe Basket' Lenihan might reveal, Britain has never ceased to control the finances of the Irish State through it's many agents.

Sir Andrew McLeod Brooks Large

by lulu Wed Apr 08, 2009 16:53

Someone has to pay for the corruption & incompetence that brought about the Great Gas Giveaway of resources which rightly belong to the people of Ireland.......oh, it's us! Never mind, we can go back to living on spuds, while Shell write off their R&D costs for us to pay (including the invasion of Glengad Beach & filming private citizens on the beach).

by true doub Wed Apr 08, 2009 17:06

Yesterdays Budget further increases the oppression of the long suffering PAYE worker by imposing more taxes (levies) on them. The government says that the tax base is too narrow and claims that they want to share the pain so why is business getting off without paying its fair share?
The second budget in as many months Budget further oppresses the long suffering PAYE worker by imposing more taxes (levies) on them. The government says that the tax base is too narrow and claims that they want to share the pain so why is business getting off without paying its fair share? Why have we the lowest or the 2nd lowest rate of corporation tax in the EU? At the same time IBEC screams for everyone bar themselves to be cut to the bone? And the other 'social partners' adopt a see no evil hear no evil approach and refuse to embarrass IBEC member companies who are paying a pittance in corporation tax as compared to companies in other other EU countries, while at the same time overcharging the public and trying to cut wages for their workers. I thought IBEC and the gravy train politicans wanted to copy the EU so why dont they pay the average EU rates of corporation tax, or even close to it?

It is blatently obvious that there is no economic justice in this FF/banker/builder/ibec republic but I cannot understand why is there no real opposition from the 'opposition' parties?

by Alan Davis - International Bolshevik Tendency Thu Apr 09, 2009 07:42 ireland at bolshevik dot org

The answer to Gregor's question lies in the politics of "Social Partnership". The trade union leaders will do whatever they can to avoid rocking the boat so long as they get to sit at the negotiating table. 20 years of this class collaboration has meant that Irish working people will have to re-learn how to fight back against the bosses attacks, and a whole generation have virtually no experience of militant class struggle at all.

It will be a long hard road for class conscious militants in the workers' movement as we try to provide the leadership that can start to turn this around, but it is a road we must travel. Perhaps a start could be made by all militants working together to maximise the turn-out for May Day this year and trying to turn the marches into explosions of anger against the bosses and their government.

It is also essential to understand these attacks in the context of Ireland's place in the capitalist world economy and who our real masters are, as the following quote makes quite clear:

"The American Chamber of Commerce welcomed the Minister's statement that there would be no upward movement in Ireland's corporation tax rate. 'This is a very strong and positive signal that Ireland remains open to foreign direct investment,' the chamber said. It also welcomed the increase in R&D tax credits." (http://www.rte.ie/money/budget2009/issues/business.html)

For more of a revolutionary perspective on resisting the attacks see the IBT statement "Make the bosses take the losses! For a General Strike in Ireland!" (http://www.indymedia.ie/article/91844)

by anger manager Thu Apr 09, 2009 09:13

We Irish are passive gluttons for punishment. We had no revolution during the hungry decades 1930-1959 - Noel Browne TD said it was because the boat to England was a safety valve. (I think the political division caused by the civil war had a lot to do with it too.) There won't be a revolution this time round either - we're still passive and hope by giving FF a drubbing in the local and EU elections they'll 'get a message'. And what about Class Contradictions? Many see this as a simplistic division between the salariat and the unwaged. If anybody wants to convince me otherwise I'm willing to read their (short) plain-language explanations about 'objective conditions' and things.

by Fred Johnston Thu Apr 09, 2009 10:06

One of the reasons that we don't immediately have people on the streets is probably a sense of public helplessness. Scandal upon scandal, after which, in some cases, those involved were welcomed back into the political fold, have had a sort of rabbit-in-the-headlights effect; many do not believe the government is changeable, nor that they have any power in deciding their own fate in a political world where morals and ethics count for nothing. We differ too from many other countries in that there is no intellectual or cultural leadership behind which to protest: our most prominent writers and artists refuse to engage with the politics of their day and our most hyped rock band simply develop property and take their money out of the country. I have often argued that our most eminent poets, playwrights and novelists have a role to play in social and political agitation, but the stun-gun of Aosdána has been applied. The 'old days' of the 'Fifties and 'Sixties, where artists of every stamp took their art into the social and political domain and the great and sadly-missed 7/84 Company was the bane of conservative thought in the UK, for instance, were the glory days of such engagement. There is something uniquely defeatist in the Irish psyche which allows us to be conned and beaten down in almost the same move; perhaps if we understood that 'cute hoors' are not to be admired, but are actually a serious threat to our democracy as well as our fiscal futures and those of our children, something might change. But we remain a deeply rural society in which all politics is local to an astonishing degree. We know that some bankers should be hauled in front of a judge and made to answer for what they have done to the country, but we are unwilling to press this issue with our politicians through letters to newspapers, local as well as national, or through concerted representation of our views at local clinic level. We still believe that 'Left' means anti-establishment or anti-democratic. Yet the powers that have fooled us by such propaganda are out of the same stable as those who have taken the Christmas bonus from people on the dole. A new political wind must blow through the land and a new Left party be established which is unwilling to sup with Fianna Fáil The Builders' Party. From selling our oil interests to others, to giving Shannon Airport to the murder machine of the US, to robbing our unemployed or low-payed of hope, Fianna Fáil has proved beyond doubt that they are neither patriotic nor democratic. It's up to us.

by kevink Thu Apr 09, 2009 17:21

Where is the anger? The last time I seen it was being dissipated down a cul de sac as it has so many times in the past. Remember Irish ferries, we marched around in circles while the ferries with their near slave conditions sailed away.

This has been a recurrent pattern and the same happened on the so called pension levy/wage cut. The ballot for strike action was cynically used by the unions to retrospectively endorse ICTU’s 10 point plan to support the Government’s and employers offensive with absolutely no intention by the union leaders to fight in the issue of the levy
As recently as last week the unions stabbed the campaign to save Nenagh and Ennis hospitals in the back, by giving their blessing to the ending of 24 hour A and E services.

No surprise then that the budget and the nationalization of the banks debts has provoked little reaction from them. The choreography on the budget is similar to that on the pension levy pay cut. ICTU absences itself from the talks with the Government bosses until the pension levy was established and then on the budget there are away until after Easter, when they hope the fuss about the budget will have died away.

QUESTION--- What is the difference between (A) the recent pensioners struggle against withdrawal of their medical cards which caused the government to lose 2 backbenchers and had councillors and TD’s all over the country running for cover.

And ( B) the campaign against the pension levy which mobilised 130,000 and achieved the resumption of partnership talks and further attacks of a severity that has no historic precedent for the workers movement.

Answer-- leadership by ICTU and its affiliated unions.

by Saoirse - Republican Sinn Fein Thu Apr 09, 2009 20:39 saoirse at iol dot ie 223 Parnell St 018729747

Statement by Des Dalton Vice President of Republican Sinn Féin
People should not fall into the trap set by the 26-County administration following the announcement of their latest budget. People must not allow themselves to be divided. Public sector worker should not be set against private sector, employed versus unemployed or old versus young. People must not be diverted from the real issue or fooled by false argument. Now is a time for unity of purpose not division.

The Dublin administration is attempting to shore up the present failed neo-liberal economic system at the expense of families, workers, students the elderly and the unemployed. In short what we are witnessing is the political class attempting to shore up the discredited economic model which they have championed in the interest of a privileged few regardless of the human cost.

Workers who are engaged in a struggle to save jobs – in many cases enduring cuts in pay in order to do so – are now being squeezed by both employers and the state.

New thinking on a national and international level is the only answer to the economic collapse. Accepting that the free market capitalist system has failed we can begin to create an economic system which serves people as opposed to the other war round. The programme for real economic democracy as set out in our social and economic programme SAOL NUA has never been more relevant and provides a basis on which to bring about the kind of radical social and economic change which is needed. Let us not be divided, blinded or fooled, what the state class and the vested interests they protest fear most is people uniting to replace their corrupt and bankrupted system with a New Ireland worthy of the vision of those who drafted the 1916 proclamation.

Ends.

by vincent cooney Thu Apr 09, 2009 21:21

excellent statement from rsf's des dalton. there is much merit in rsf's eire nua and saol nua documents they are too me proposals that lay the foundation for an ireland that is economically sound and fair in which the enviroment is given the status it deserves and our nation free and unaligned. you have to wonder about people who sneer at rsf's election results when they only have to look around them to see what they choose instead! this election lets send a message to the brown envelopers at leinster house vote for true change vote rsf and all independant candidates that are not part of the system. enough talking about tara and rossport vote for people who are not only not part of the system but want it removed.

by Tagger. Thu Apr 09, 2009 22:30

The Irish have got accustomed to a life style that was fueled by greed, this was instilled in them by wee Bert&Co,although the knockout blow has been delivered they have not reached the canvas yet,maybe when they do the anger will flow.
Maybe just a bit of wishful thinking.

by Fred Johnston Fri Apr 10, 2009 12:45

A staunch union man most of my life, I can tell you that the unions will do nothing; they have, sadly, become as much a part of the system that has us the way we are as the bankers. Social Partnership was, and is, mistaken for power, whereas it's merely a way of pulling the unions' teeth. Union activism is looked upon nowadays as simply another rung in the career ladder. The Irish Writers' Union, of which I am a member - I resigned from its committee - is affiliated to SIPTU. Yet not a peep out of this organisation over anything from Israeli carnage in Gaza to rip-off bankers to Christmas dole cuts to . . . . Silence is the order of the day. Now we have a situation where strike-action, one of the truly forceful weapons of the trades' union movement, is being attacked (don't laugh!) by media pundits who say its threat is detrimental to the country's image abroad and our ability economically to function, among other things!!! (Rogue bankers running free and enjoying the good life unhindered by police or politicians aren't bad for our image, apparently, and had nothing to do with the country's fiscal ruin.) Unless trades' union members demand that their unions put their teeth back in, the government and employers will eventually turn us into a cap-in-hand buyers' market and no future wage or conditions' negotiations will ever be possible.

by Me Fein Fri Apr 10, 2009 15:17

As that wise man Peter Sutherland points out in this Times article, our troubles have nothing to do with Unions or Class Warfare or all that socialist C**P. :

http://www.irishtimes.com/newspaper/opinion/2009/0224/1....html

We are sinking in quicksand.

When you are sinking in quicksand the quicksand doesn't care about class mythology.
.