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26/09/2008

CIF To 'Reject' Pay Deal

The Construction Industry Federation has reportedly slammed pay increases agreed under a new deal.

Wage proposals under the national pay deal will be rejected by the CIF, according to the Irish Examiner, who has suggested the federation wants to renegotiate the registered Employment Agreement (REA).

The news comes after a meeting held between union officials and the CIF on Wednesday.

The agreed package is said to set a three-month pay pause, followed by a payment of 6% over the next 21 months.

According to reports, CIF members suggested union representative had expressed inflexibility in its approach to short pay pauses - during uncertain times for the industry.

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The federation said many firms in the building sector were already "fire-fighting" and merely surviving on a week-by-week basis.

It was suggested some workers would still receive the 6% increase during the deal - but a year break would have provided the opportunity to "ride-out the storm".

The CIF also reportedly complained - that while companies in other sections of the workforce can claim inability to pay the terms of the new deal - construction employers are prohibited from doing so by the REA.

It was because of this, the CIF is said to have requested a review of the current agreement.

SIPTU President Jack O'Connor responded to the CIF’s alleged disgruntlement. He warned a new wage agreement would falter if the construction industry failed to support it.

Mr O'Connor said: "If the agreement is not ratified by all the constituents, there is no agreement. We are not going to operate on the basis that workers receive entitlements on one side of the economy, but not on another."

(PR/JM)

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