Hard Times

This article discusses how Irish finance minister, Brian Lenihan, in effect cut the pay of public-sector workers earlier this year by introducing a special 7% pension levy. To add to this, his 2010 budget will inflict even more pain by imposing steep pay cuts on public employees. These pay cuts came as a result of a sharp economic contraction in Ireland. GDP is projected to decline by 7.5% in 2009 and a further 1.3% in 2010.