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Column 'Ireland's road to recovery depends on whether we're going to bring everyone with us'

A job is no longer a guarantee of economic security and women are particularly vulnerable to precarious work and low wages.

DEBATE ON THE Budget over the past few weeks has highlighted that we are now at a new crossroads. The choices being made in this Budget are not simply about how to balance, where to cut and what to protect, they are about our priorities and direction as a nation.

With tax revenues almost €1 billion ahead of target, there has been talk of ‘giving back’ to certain sectors of society. However, we need to think closely about what kind of Ireland we want.

Surviving on less

While certain organisations and politicians are calling for changes to the tax thresholds to benefit the top third of earners, this will be of little benefit to the 65% of the population who are who surviving on less, often far less, than the €32,800 threshold between standard and higher rate tax.

Contrary to the popular rhetoric of a ‘squeezed middle’, the recession has left us with a hard pressed social base with 50% of households relying on social transfers to keep them out of the risk of poverty. The recession has torn at Ireland’s social fabric and austerity measures have severely caused enormous hardship for many and decreasing the economy’s ability to grow and recover.

Cutbacks to fundamental payments and services, such as child benefit and maternity benefit, have impacted on women and children in particular.

It increasingly seems that a job is no longer a guarantee of economic security and women are particularly vulnerable to precarious work and low wages, with 50% of women earning less than €20,000 a year.

Tax giveaway 

National and international economic evidence tells us that it is those on the lowest incomes who have absorbed the greatest losses under recession and they would gain absolutely nothing from a tax giveaway to higher earners.

Instead we should be investing in and promoting income adequacy for the social base. Research shows it is those on lower incomes who channel their incomes back into the national economy, creating jobs by spending in local businesses and services.

The National Women’s Council of Ireland (NWCI) are calling for an increase in social welfare and the minimum wage along with firm measures, including social clauses, to challenge low pay and insecure conditions.

Increasing the participation of women in the labour force has also been recognised as critical for recovery. For that we need to ensure essential quality supports like early childhood care and education are in place. We are calling for multi-annual investment into early childhood care and education and out of schools hours care that is accessible and affordable and emphasises quality, including the training and upskilling of staff.

Functioning society 

Many of the public and community services on which we all rely have been cut to inefficient, unsustainable and even dangerous levels over recent years. If we are to emerge from the crisis with a healthy, functioning society we will need to commit strongly to renewed investment in our public services and social infrastructure.

This also needs to be the Budget that faces up to the massive, underlying problem of violence against women. Frontline shelters are facing closure and an international spotlight has shone on our shameful record.

Budget 2015 needs to invest in frontline services and prevention, face up to legacy issues, bring our supports up to the standards set out in the Istanbul Convention, and send a strong signal that we are changing the record on violence against women.

We are told that Ireland is now on the road to recovery, and that the days of recession are behind us. NWCI maintain that will depend on whether we bring everyone with us on that road.

We are calling on the Government to consider the social and economic impact on low and middle income earners, particularly women all in the decisions they are making this October and ensure that Budget 2015 brings us closer to a more equal and sustainable Ireland for women and men.

Alice Mary Higgins is Policy Officer with National Women’s Council of Ireland, who launch their Pre-Budget Submission at 11 am this morning. 

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Alice Mary Higgins
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