Saturday, December 12, 2009

- 6%

The Irish government released their semi-annual budget this week where they have tried to halt the continuing debt the country is facing. Currently the country in operating at a debt of 12% of GDP which is one of the highest of the member states in the EU. The big controversy in the budget is the pay cut to public employees, of which I am one. It is a graduated cut which applies higher percentage cuts at different levels of pay. I have calculated the cut to my pay to be just over 6%, which in effect means that I am earning less than when I started 2 1/2 years ago. The calculated decrease in cost of living is around 3% which gives me around a 3% cut in earning potential. This is bad enough, but it comes with the pension and pay levies that the government has applied to public employees over the last 2 years. Overall my net income is down around 20% from 2007 and that hurts.

Let this be a lesson to anyone arguing for government run anything...socialism sucks, big time!

3 comments:

Nomosian said...

wow, that's pretty pathetic. how is it the cost of living is *down* when the currency is inflating?

Matthew said...

the euro hasn't faced much inflation, if any, yet. the main decrease in costs is associated with rent prices. food has also come down a little.

Reegz said...

YIKes-o-rama!!!!! Don't come home it's worse here me thinks!