Cowen hopeful talks can resolve public sector dispute

Taoiseach Brian Cowen has said he is hopeful that talks between public service

Taoiseach Brian Cowen has said he is hopeful that talks between public service

unions and the Government can lead to a deal to avoid industrial relations chaos in the country.

The discussions, which followed union threats of widespread industrial unrest over pay cuts,

began yesterday at the Labour Relations Commission, and are set to resume again on Monday.

Speaking in Chicago where he addressed business leaders about the Irish economy last night Mr Cowen said industrial relations stability was vital for Ireland's economic future.

And the Taoiseach said he is hopeful that the next two weeks of intensive negotiations

between the Government and unions will resolve the difficulties with public sector workers.

Meanwhile, head of nursing at SIPTU Louise O'Reilly said unions will be seeking the full restoration of pay scales for civil servants when they enter talks.

And she said previous talks on the dispute should never have broken down.

"We have a system of industrial relations which was bypassed before Christmas," Ms O'Reilly said.

"We are now in a situation where we are back on track with regard to talks.

"So therefore we are going to sit down and talk, to do what the Government should have done before."

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