The Irish Congress of Trade Unions has said that the Government cannot credibly appeal for pay restraint after agreeing to implement massive pay rises for politicians and senior public servants.
Launching ICTU's pre-Budget submission, general secretary David Begg said it would have been more prudent for the Government to turn down the pay increases for the time being at least.
Earlier, the Taoiseach called for wage restraint in the next round of talks on a national wage agreement, due to get underway in February.
Addressing a meeting of the social partners, he said wage increases under the current agreement Towards 2016 had cost the Government €1.7 billion.
He defended the recent round of large pay rises for politicians and top civil servants. He said unions and organised labour would understand that the pay hikes were awarded by an independent mechanism.
In its Budget submission, Congress called on the Minister for Finance to focus on helping working families. It said Mr Cowen must lessen the burden on such families in terms of childcare, parental leave, flexible working and equality.
Mr Begg said the Government could afford to fully implement the National Development Plan, not only in terms of hard infrastructure like roads and transport, but also in terms of soft infrastructure like training and social provision.
He called on the Government to meet its commitment on social welfare and raised concerns about the rise in debt levels in the population.
ICTU is calling for the introduction off paid educational leave. It wants the personal tax credit increased by €100 and the employee's credit by €350, as well a €4,000 rise in the standard rate tax band.
