Think-Tank Warn Budget Cuts Could Cost 30,000 Jobs

An economic think-tank has warned that 30,000 jobs could be lost through the ongoing government budget cuts.

Researchers also claim plans to take €3.5 billion from the economy in December by cutting key services and income protection for low earners could have dire consequences.

The Nevin Economic Research Institute (Neri), which was set up in March and is funded by trade unions, said the State could instead shore up €1 billion by increasing taxes on high earners and wealth groups.

Think-tank director Tom Healy said it was possible to adopt an alternative budgetary strategy that would still meet the terms and targets set by Ireland’s debt masters, the troika of the European Commission, the International Monetary Fund and the European Central Bank.

In its latest report, Neri said the Government’s austerity strategy was failing and that introducing a stimulus instead of making cuts could create more than 20,000 jobs.

It said existing austerity measures could risk 30,000 positions.

“The choice between taxes and spending is ours to make,” said Dr Healy, ahead of the publication of Neri’s latest quarterly report.

“Most people have already taken enough in cuts to public services and wages along with increased charges. What we need instead is a strategy that invests in growth and begins to address the huge shortfall in taxes paid at the very top end of the income distribution.”

The think-tank suggested maintaining 2012 spending levels, reversing capital spending cuts and introducing a wealth tax.


Related Irish News Stories
Click here for the latest headlines.

13 March 2019
Future Jobs Ireland - A Strategy To Secure Ireland's Economic Success
The Government has launched a strategy for the next phase of Ireland's economic development, known as Future Jobs Ireland. An Taoiseach, Leo Varadkar TD, Minister for Business, Enterprise and Innovation, Heather Humphreys TD and Minister for Finance and Public Expenditure and Reform, Paschal Donohoe TD unveiled the plan on Sunday 10 March.
29 August 2019
Plans Revealed To Reduce Harmful Industry Emissions
The government has outlined a strategy to reduce harmful emissions created as a result of industry operations. The strategy comes as Pillar 5 of Future Jobs Ireland, the whole-of-Government strategy to prepare businesses and workers for the future, is launched with a focus on transitioning to a low carbon economy.
29 November 2018
Govt Environmental Strategy Described As A 'Complete Failure'
The government's strategy to reduce Ireland's carbon emissions has been described as a "complete failure". Commenting Labour Senator Humphreys said: "The Minister has admitted that we are 99% short of our emissions targets set for 2020.
08 July 2019
Ireland To Double Its Footprint In Asia
As the next phase of Global Ireland 2025 gets underway, the government has announced intentions to double its impact in the Asia Pacific region. Taoiseach Leo Varadkar and Tánaiste Simon Coveney outlined the plans at the Global Ireland Summit in Dublin Castle today, Monday 08 July.
19 March 2019
Public Consultation Launched On National Cyber Security Strategy
The Minister for Communications, Climate Action and Environment, Richard Bruton T.D, has launched a public consultation on a new strategy to protect individuals, businesses and Ireland's national security from cyber-attacks.