The Irish Congress of Trade Unions has called for the establishment of a State Holding Company to own and manage semi-State companies.
Launching a new policy paper, 'A New Governance Structure for State Companies', Congress Economic Advisor Paul Sweeney said such a structure would allow firms to operate commercially and raise finance while retaining them in State hands and avoiding privatisation.
He pointed out that the market value of State-owned companies is estimated at €7 billion, and that selling off 10% could generate €700 million to be invested in individual companies.
However, a State Holding Company structure would also allow the Government to retain control of strategically important companies like the ESB, Aer Lingus and Irish ports.
Mr Sweeney claimed that the holding company would separate State ownership from policy formulation and largely de-politicise the commercial State sector.
It would also allow the companies to fulfil non-commercial roles where they would be explicitly and transparently compensated by the State.
Mr Sweeney proposed that the sale of a small part of the State Holding Company to a group of private pension funds would provide immediate additional equity for State companies.
