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French president set to maroon Irish government

May 17, 2012 by namawinelake

France’s new administration is set to cause a major headache for the Irish government. Not only have the announced a 30% pay cut to the salary of their head of state and ministers, but they are insisting that the Fiscal Compact be redrafted to include a “chapter” on growth and growth strategy. This morning, the new French finance minister, Pierre Moscovici said the new French government would not ratify the existing Fiscal Compact. Of course the German position seems to remain a stubborn resistance to any change to the Fiscal Compact but you would have to say there is a good chance of some Entente between the two countries. Where will that leave Ireland?

We have a referendum on 31st May 2012 where we are being asked to vote “yes” or “no” to the following being inserted into our Constitution

“The State may ratify the Treaty on Stability, Co-ordination and Governance in the Economic and Monetary Union done at Brussels on the 2nd day of March 2012. No provision of this Constitution invalidates laws enacted, acts done or measures adopted by the State that are necessitated by the obligations of the State under that Treaty or prevents laws enacted, acts done or measures adopted by bodies competent under that Treaty from having the force of law in the State.”

So if the Treaty “done at Brussels on the 2nd day of March 2012” is modified in any way, then we need have another referendum, it would seem. So wouldn’t the smart move be to defer the referendum until the current negotiations between France and Germany are concluded? Indeed given the turmoil in Greece and Spain, might it not be sensible to defer the referendum anyway? Apparently we can’t according to the Referendum Commissioner, unless the Government calls a general election, which is not likely!

This morning in the Dail, Independent TD Shane Ross attempted to attract support for an emergency Bill which would allow the Government to defer the referendum but his suggestions were flatly rejected by the Government. Somehow, this looks probable that the Government will be left with egg on its face…

As for the announcement of 30% reductions in the salary of the French president and ministers, that should mean the French presidential salary falls from €253,000 to €177,000 and the French ministerial salary falls from €170,400 to €119,280 . By comparison, our own Taoiseach Enda Kenny earns €200,000 and ministers earn €169,275. The following is a table of world leaders salaries examined in more detail here.

UPDATE: 18th May, 2012. With the meeting of the G8 group of countries in Camp David today, here’s a table of the salaries of the heads of the traditionally most economically advanced countries in the world. It should be said that the Italian technocrat prime minister has waived his salary. Enda Kenny earns €200,000 a year and President Michael Higgins earns €310,000 a year though it is believed he has committed to accepting the reduced €250,000 a year accepted by his predecessor, Mary McAleese.

 

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Posted in IMF, Irish economy, Politics | 16 Comments

16 Responses

  1. on May 17, 2012 at 2:12 pm Kieran Sullivan

    “Cost of living, ahem, in Ireland…”

    “Value for money, cough…”

    “Not in a position to comment [shuffles away]…”

    “I’ve already taken a 10% pay cut…”

    “We have a Committee looking into the matter…”

    “Sure that’d start a race to the bottom, [smirks]…”

    Just some of what we can expect to hear if salaries are mentioned in the vicinity of Kildare St.


  2. on May 17, 2012 at 2:12 pm machholz

    I would vote yes if the Irish government was forced to reduce all salaries of the TD, s and the top civil servants by 80 % .No public servant should be getting a salary of more than 60,000 Euros .as the country is broke !


    • on May 17, 2012 at 3:26 pm OMF

      I would suggest that no TD, Minister, or Senator be paid anything, including expenses, until the budget is in surplus. I reckon we’d be back into the green within 18 months—tops.

      On a less severe note, simply tie the salaries of the top civil servants to the current budgetary position.:

      Max_salary= (1.5)*average_industrial_wage + budget_surplus/100000

      That’s +€10,000 per billion the country is in surplus. I’d say the gap would slam shut in the blink of an eye!


      • on May 17, 2012 at 5:00 pm machholz

        With the Dail practically full of teachers it is no surprise that the clueless politicians running our country are trying to be teacher’s pet in Europe


  3. on May 17, 2012 at 4:35 pm New French Cabinet on less money then our Cabinet!!! - Page 6

    [...] [...]


  4. on May 17, 2012 at 4:52 pm Don Giovanni

    @ OMF…or more likely, we would have no public representatives!


    • on May 17, 2012 at 5:39 pm david o hara

      And it’s sad that those who we have elected to serve us, to do what is right for the people of Ireland, would scarper when they loose they tax-given pay. Is it not self evident, from the negativity you have put forward, that the pay is the only reason they are staying? Good riddance, then. They are not the type f people that should run any country in a time of great need. OMF is bang on.


  5. on May 17, 2012 at 5:40 pm david o hara

    Their* of*


  6. on May 17, 2012 at 6:23 pm Vince

    Was it just me or anyone else do a letter transposition with the title.


  7. on May 17, 2012 at 10:46 pm Sasha Musgrave Travers

    the salaries of the politicians and senators should be reduced here, and it is ridiculous that they get more money than the politicians in europe.


  8. on May 17, 2012 at 11:22 pm camella cummins

    they were reduced and then there were some adjustments such as chairing this,that or the other and they ended up with more money than before.Is there any way we, the citizens, can petition to have an election-if that is what it takes to stop this embarrasing referendum .


  9. on May 18, 2012 at 9:48 am Kieran Sullivan

    In case anyone hasn’t heard:

    Yesterday evening on Matt Cooper’s radio show, ‘The Last Word’, Richard Bruton blurted out and confirmed what NWL had highlighted to be Ireland’s tradition of holding referenda twice.

    Cooper asked Bruton what would he say to our “friends” in Europe if we vote NO to the Treaty. The Minister blustered at first, then mumbled words to the effect that, “We’d ask if we could have another vote on the Treaty”.

    Bruton has since “admitted to a mistake” in the discussion.


  10. on May 18, 2012 at 11:05 am RedLFC (@Red4thof5)

    Td’s wages cant be sustained. End of.


  11. on May 18, 2012 at 11:17 am Colmbrazel's Blog

    [...] http://namawinelake.wordpress.com/2012/05/17/french-president-set-to-maroon-irish-government/ [...]


  12. on May 18, 2012 at 11:59 am Brian

    Are BEnefit in kinds factored in to salaries ? OBAMA will be a multi millionaire from lecturing etc. He gets a pretty cool house to live in.One trip to work on a helicopter blows Enda Kenny’s wages for the year. The figures are gross ! Tax regimes would differ considerably. While the figures are entertaining they are not effective comparisons. Thanks for the entertainment . Personally I think 200k gross for our PM is ok , It will be demolished by taxes and USC. It’s untouched expenses I would query but they are not addressed above.


  13. on May 18, 2012 at 12:48 pm Jamie Judge

    @ OMF: Bang on solution!
    @ Camilla Cummins: Between 1922 and 1929 we had direct democracy enshrined into our constitution (Articles 48 and 49). After this, the government at the time removed these articles, giving the Oireachtas control over referenda. In a Direct Democracy system, the electorate has this power to hold their representatives to account by calling referenda through petition consensus. This power needs to be returned to us!



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