Wednesday, 20 October 2010

Sack half a million: That's the way to create jobs, is it?

Responses from the labour movement to the savage cuts announced by The ConDems today has been swift and unanimous. UNISON's immediate statement that: "George Osborne has condemned the country to decades of hardship and the people to unnecessary wholesale unemployment, with his “ideologically driven, no hope, no ideas, cuts CSR” has been followed by similar reaction elsewhere.

The TUC said: "'Public servants did nothing to cause the recession, but will pay a heavy price today. Their pay has already been frozen, now they face half a million job losses and increased pension contributions that will add up to a reduction in take home pay." http://www.tuc.org.uk/economy/tuc-18696-f0.cfm

The STUC said: "The deep and immediate cuts announced today by George Osborne will have a devastating impact on workers, communities and businesses across Scotland" http://www.stuc.org.uk/news/795/stuc-on-spending-review

UNISON Scotland responded with: "Tens of thousands of Scottish jobs could go - This Saturday will see thousands of people take to the streets of Edinburgh to demonstrate against the cuts and send a clear message that there is a better way.” http://www.unison-scotland.org.uk/news/2010/septoct/2010.htm

The South West TUC warned: "'The Government's cuts programme is a political choice, not an economic necessity. It is a programme which will make the South West a more unequal region and lead to high unemployment and weak growth". http://www.tuc.org.uk/economy/tuc-18698-f0.cfm

The Fawcett Society highlights the devastating effects on women: “The Comprehensive Spending Review, like the previous emergency budget, hits women hardest. It is women who will be the main losers as jobs are cut, public services are rolled back and benefits are slashed. http://www.fawcettsociety.org.uk/index.asp?PageID=1198

And yesterday, David Blanchflower, one of the few economists who predicted the 'crisis' and former Bank of England policy maker, accused the ConDems of 'cowardice'. “Faced with this economic war, this misguided coalition Government has…shown appalling cowardice; rather than fight, Osborne is about to run up the white flag of defeat.” http://www.moneymarketing.co.uk/politics/blanchflower-spending-cuts-are-cowardice/1020452.article

But you really don't need to be an expert to work out that half a million less jobs in public services will mean the same again in private industry, less taxation coming in, a higher benefits bill and nowhere for businesses to recover to other than taking over public services but creating no more wealth - how does that create growth and recovery?