[A-List] UK labour militancy & public order

["Michael Keaney" <michael.keaney@xxxxxx>]

Firefighters angry at 10,000 job cut threat
CATHERINE MacLEOD and DEBORAH SUMMERS
The Herald, 27 November 2002

HOPES of an early end to the fire strike were quashed last night when the
government upped the political ante and suggested 10,000 jobs could be axed
from the service.

John Prescott, deputy prime minister, showed the government was prepared to
fight when he suggested the Fire Brigades Union's massive pay claims would
lead to large-scale job cuts.

His comments brought a furious response from firefighters' leaders.

Dave Whatton, an executive member of the Fire Brigades Union, said: "It's an
absolute disgrace. It's an appalling suggestion and there is no way this
union will sign up to the loss of so many jobs."

Andy Gilchrist, FBU general secretary, said the government had finally "come
clean" that the Bain review into the fire service would result in a massive
loss of jobs as well as fire appliances and the closure of fire stations.

Mr Prescott told the Commons that 20% of the fire service was expected to
retire early in the next two to three years. He said early retirements in
the service provided "ample opportunity" to discuss "more efficient
utilisation of labour".

It was the first time the government has raised the threat of job losses and
the suggestion angered firefighters on picket lines across the country on
day five of the eight-day walkout.

Groups of pickets, listening to the Commons exchanges on radio, applauded
Tory David Davies, who shadows Mr Prescott, after he joked the only person
sleeping easily in their bed was the deputy prime minister - a reference to
claims Mr Prescott could not study a deal last week before 9am.

Mr Davis said 15,000 jobs could be at risk if the government was right when
it said the deal would cost £500m.

The governor of the Bank of England yesterday warned that giving
firefighters a "double-digit" settlement could drive up inflation. It would
risk triggering higher pay demands across the public and private sectors,
Sir Eddie George said.

Even a more moderate settlement than the union's 40% demand could lead to
"the thing kind of exploding", he told the Commons Treasury select
committee.

Mr Prescott said that since the latest strike started on Friday, the armed
forces had attended more than 5000 incidents and were "coping well".

Nick Raynsford, local government minister, will meet the employers today to
discuss further the process of modernisation of the service.

The government, Mr Prescott insisted, could not be asked to find additional
money outside agreed spending limits.

"To do so would risk fundamental and lasting damage to the economy. An
inflationary pay rise for the firefighters would lead to inflationary pay
rises elsewhere in the public sector and that in turn would lead to job
losses, inflation and mortgage rises."

Outlining the "principles paper" submitted by ministers to the review headed
by Sir George Bain, Mr Prescott said it should form the foundations for
modernisation. Sir George's final report will be published in three weeks.

Mr Prescott said the way to solve the dispute was for the employers and
union to resume negotiations. "What is absolutely clear, however, is that
this fire strike will have no influence on that process."

A senior union leader called for a special TUC conference to give the
government a guarantee that any settlement of the firefighters' dispute will
not be used as a "springboard" by other public sector workers.

Derek Simpson, joint general secretary of Amicus, said he believed the
firefighters were a "special case" and should be given a decent pay rise.

Mr Simpson added: "Cutting jobs is not a very modern way of improving
services. Mr Prescott's announcement is an attempt to put out the fire
dispute with petrol."