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Budget 2010: Labour and FG proposals

Government spending - Must be cut
Government spending - Must be cut

FG and Labour both propose cuts in public service pay, as well as ideas for getting people back to work. Neither said they would cut child benefit or pensions.

Fine Gael proposals

In its pre-Budget proposal Fine Gael has said it would cut pay in the public service for those earning over €30,000.

Those earning between €30,000 and €40,0000 would see their earnings above €30,000 cut by 5%. Those paid between €40,000 and €100,000 would face a cut of 10% on amounts earned above €40,000.

The party is also proposing to cut social welfare payments by 3%, excluding carers and the disabled.

Labour proposals

The Labour party has outlined its plans to make €5.8 billion adjustments to Government spending.

In its pre-Budget proposals the party said it would spend €1.1 billion in a job fund that could get 100,000 people back to work.

The party says it would also make savings of €1.3 billion in the public service pay bill.

It said this could be achieved through a negotiated agreement that would see the pay bill of each department and agency cut by 6.75%.

Labour is also proposing a 48% rate of tax on those earning over €100,000.