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Kenny: Govt in denial

Kenny: Govt in denial

Paul Kenny, GMB general secretary, comments on unemployment figures:

“This rise in the number of people unemployed at a time when the economy is recovering from the bankers recession is linked to not filling vacancies right across the public sector and to people of working age volunteering for redundancy being added to the dole queues. The government is in denial that it is deliberately creating unemployment but the fact is that it is driving up the level of unemployment.

“GMB tracks the number so job losses in the local authority sector. To date the cumulative number of job losses is 125,894 for 165 authorities. In the current circumstances it is hard to see the private sector creating enough new jobs to make up for these job losses.

“The purchasing power of people in work is being badly affected by the hike in VAT and other inflationary pressures on the economy as pay is not keeping up. Pay freezes in the public sector and the threatened increase in pension contributions will make matters worse.

“GMB has accused the coalition government of taking an almighty gamble will the economy and that accusation stands. It is not possible to deflate your way to growth and a balanced budget.”