Economic vandalism: not voted for by the people, not in the
interests of this country
30 December 2010
Landmark New Year message pledges UK's biggest three
unions to mobilise in 2011
Working people in the UK can help stop the Conservative-led
coalition from taking a wrecking ball to the fabric of daily
life.
That is the New Year's message to some 3.5 million workers
across both the public and private sectors from their unions, the
GMB, Unison and Unite, who say that the government's dangerous
prescription of economic deflation and historically high cuts will
not revive the economy but will instead bring it to its
knees.
The landmark joint message sees the three unions - the biggest
in the UK - pledge that in 2011 they will inspire and support
resistance to the cuts across the UK. They also vow to make
the Spring elections the first referendum on the government's
austerity programme.
Such is the level of concern about the real intent behind the
cuts - recasting the state so that the private sector can sweep in,
allied to the fear that harsh cuts will cause endemic inequality
across society and plunge a new generation into unemployment - that
the unions have vowed to work tirelessly together throughout 2011
to pursue a sound economic alternative.
The unions are furious that the government is using the cover of
coalition and a whipped-up fear over the deficit to terrify people
into acceptance of what is little more than the rolling back of
social provision. Pointing to the mounting dissent among economic
experts over the government's approach, they say there is no
programme for growth but only polices which will lead to a
devastating contraction in the UK economy at a time when the global
economy is still exhibiting deeply worrying signs of recession.
The unions say it is high time that the truth was told about the
government's reckless policies. January will see the three
embark on a programme of promoting an economic alternative to their
members urging them to get active in both opposing cuts and making
their voices heard at the May election, the first chance for large
parts of country to vote on the government's cuts programme.
Central to the unions' message will be the push for an economic
policy based on:
Growth - and a clear programme for job creation
Investment to get the unemployed back to work
Maintaining universal, quality public services - and
safeguarding them from costly private
providers
A fair taxation policy, including closing tax avoidance loopholes
and a transaction tax which will generate billions for the
economy
Abandonment of welfare upheaval which will plunge families and
communities into poverty
Regulation of the economy to restore trust and confidence
Paul Kenny General Secretary of GMB said: “The deficit is not
Labour’s deficit, it’s the bankers' deficit. The Labour
Government had to borrow to save the UK economy from collapse due
to the irresponsible actions of the bankers, a policy supported by
the Conservatives in opposition.
"The banks' actions in pouring billions of pounds into risky and
complex investments came unstuck and left tax payers and elected
governments with a mess to clear up. This cost the UK £850
billion, a recession where we lost 6% of national output, two and
half million unemployed, pay freezes, inflation rising and where
taxation revenues fell suddenly.
"Unions had warned of the dangers of under-regulated financial
sector and the banks now need regulating so it doesn’t happen
again. This is also the view of Mervyn King, the Governor of
the Bank of England."
Dave Prentis General Secretary of UNISON said: “It’s clear that
the Government is ideologically driven to massacre public services
and bring the misery of unemployment and poverty to millions. This
is a recipe for social turmoil on a scale not seen since the 80’s.
A whole generation of young people betrayed, facing a bleak
future.
"Local Government is particularly hard hit by the cuts. 70,000
jobs have gone in the last months of 2010 and hundreds of thousands
more will follow in 2011. This spells disaster for local
communities and for people who need those services. The Big Society
spin won’t pick up the pieces of broken Britain’s lost jobs and
dashed hopes.
“We need a Government that will keep Britain working by investing
in our economy, our services and our future.”
Len McCluskey, General Secretary-designate of Unite said: “It is
possible to pull the UK economy out of recession without the misery
of mass unemployment. This government is ripping a huge hole in the
economy by contracting spending and throwing one and a half million
people on the dole. But where is the Plan B? Where will
the new jobs come from? Certainly not from a private sector
which is reeling from the global downturn.
"We know all too well how this government can swing the axe;
what we need to see more of is can they actually step up to the job
of creating employment. Strategic investments can reap rewards far
beyond the original outlay - for instance, a £6bn investment in
affordable social housing would build 100,000 new homes and create
750,000 new jobs in construction and the manufacturing supply
chain. This makes more economic sense than paying people to
sit on the dole.
"Economic activism means not sitting on your hands. It is the
duty of our government to actively support job creation. Roll
your sleeves up, support investment, unlock the capital funds held
in the banks and start creating the jobs needed to replace the
million or so you have destroyed."
The three unions will be taking the message about the truth
about the deficit and the Conservative-led government's approach to
its members in the coming weeks, focusing on:
A fair economy:
· Fair taxes must be part
of any solution. Systematically, companies and rich individuals
have been avoiding more and more tax which means government
squeezes greater amounts from working people.
· End to indirect
taxes like VAT which hit the low paid proportionally harder.
· Regulation of the
banking system to bring transparency; Government to use its
controlling stake in UK banks to stop job cuts, excess pay and
bonuses
· A transaction tax on
City dealings, including trade in stocks, shares, currencies and
derivatives
· A just welfare state
which does not force people further into poverty and social
exclusion
Saving the NHS:
· The massive top-down
£80 billion re-organisation of the NHS in England to break it into
small local commissioning units tasked with employing private
companies to find other private health providers to submit the
cheapest bid for public health services.
· The down-grading of
NICE will also see drug price rise and access to them severely
curtailed.
· GP consortia will see
the return of the postcode lottery.
· The scrapping of
waiting lists will cause undoubted misery for countless people in
need of treatment.
· These policies are all
designed to ensure the private sector and overseas private health
companies exert control over access to health services - however
the service is still being funded by the UK taxpayer.
Good education for all:
· Free Schools and
Academies in England will force schools to compete in a local
market. In some areas, e.g. Wandsworth, they are prepared to
spend tens of millions of pounds to promote this vision even when
there are surplus places in some schools and existing schools in
need of repair.
· The English student
tuition fee hike to a maximum of £9,000 a year is not being
introduced to deal with the current deficit, as it will bite after
2014 by which point the Chancellor claims the deficit will have
been aid down, but to create a financial market place for colleges,
courses and students.
· The end result will
be students from wealthy families going to elite universities and,
if not deterred by the debts, other students seeking out cheaper
courses at cheaper colleges in cheaper locations. Social mobility
will be thrown into reverse.
Economic activism
· Investment to put UK
manufacturing at the forefront of economic development,
· Support to expand low
carbon sustainable industries.
· Reversal of the
decision to block a £80m loan to Sheffield
Forgemasters.
· The urgent
establishment of a Strategic Investment Fund, alongside the
promised Green Investment Bank.
· Energy pricing policies
which recognise the needs of industry.
· Public procurement
processes to ensure maximum benefit for UK manufacturing.
ENDS
For further information, please contact
Steve Pryle, GMB press office, on 07921 289 880
Anne Mitchell, Unison press office, on 07887 945307
Pauline Doyle, Unite press office, on 07976 832 861
