Economic Policy

Noting that this is the fifth year of the EU/ECB/IMF programme Conference records its deep concern at the absence of any obvious end to the hardship being endured by workers. In particular the destructive consequences for families of high levels of structural unemployment and emigration must be condemned. Conference believes that Ireland has been forced to accept a disproportionate share of the burden of socialising bank debt in order to protect the European banking system as a whole. It is clear that the policy choice is one which will see the macro-economic shock being borne by workers. Congress has consistently argued that owners of wealth should be prioritised in progressive taxation structures as they have a better capacity to carry this burden. It views the situation as unfair, unreasonable, and unsustainable on economic, social and political grounds. Noting also that the IMF has itself raised serious questions about the underlying assumptions of the multiplier effects of austerity on GDP, and having regard to the analysis of the debt burden published in February, 2013 by the Nevin Economic Research Institute, Conference calls for an end to the failed deflationary policies which for five years depressed domestic demand and prevented growth ; the agreement of the European Council of 29 June, 2012 concerning the separation of sovereign and banking debt to be honoured; a write down of the value of the IBRC Promissory Note. Insofar as similar deflationary policies apply in the jurisdiction of Northern Ireland, Conference considers that the approach of the coalition Government at Westminster is reckless because it has more discretion. The continuing failure to re-establish growth in the economy is evidence of the bankruptcy of this policy. Conference resolves to continue to fight against this unwarranted attack on employment, living standards and benefits in collaboration with the TUC, Scottish TUC and Wales TUC through the Council of the Isles and to advocate for the adoption of the approach to investment in Northern Ireland set out in the NERI research paper launched at Stormont in January, 2013.