Bank of England governor Mervyn King warns government unions to accept cuts or 'fail your children' (VIDEO)
Video runs 1 minute -- Speech -- Sep. 14, 2010
Debt and deficits run the show. Too bad King Bernanke won't follow Mervyn's lead and make national debt issues a priority. He's too busy printing.
Mervyn King, the Governor of the Bank of England, has urged the unions to accept public sector reforms and jobs cuts by warning that anything short of tackling the UK's record Budget deficit would “fail the next generation”.
- “Market reaction to rising sovereign debt can turn quickly from benign to malign, as we saw in the euro area earlier this year. It is not sensible to risk a damaging rise in long-term interest rates that would make investment and the cost of mortgages more expensive,” Mr King said.
- “The costs of this crisis will be with us for a generation. And we owe it to the next generation to seize this opportunity to put in place the reforms that will make another crisis much less likely and much less damaging.”
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Related story from this morning. Seems the U.S. is not alone in the following regard.
The Office for National Statistics found that full-time public sector staff earned an average of £74 a week more than those in the private sector. Once employer pension contributions were included, the gap rose to £136, illustrating the generous pay-and-perks deals enjoyed by local and central government workers.
The findings threaten to undermine calls by the Trades Union Congress at its conference in Manchester this week for "civil disobedience" and co-ordinated strike action in protest against the Government's planned public sector spending cuts.
- "The idea that the public should rally round these 'oppressed' workers is ludicrous," he said. "Why should their higher salaries be paid for by waitresses and hairdressers? An attack on public sector pay is not an attack on the poor but the privileged."
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Sep 15, 2010 at 11:38 AM
Reader Comments (23)
Public sector workers are paid more on average than those in the private sector, according to the first comprehensive analysis of the pay divide by Britain's national statistician.
http://www.telegraph.co.uk/finance/economics/8003324/Myth-of-the-underpaid-public-sector-worker.html
Review for Lord Lawson's sceptic thinktank says none of the three inquiries into the hacked climate emails affair was objective or comprehensive
http://www.guardian.co.uk/environment/2010/sep/14/climategate-inquiries-lawson-report
http://www.guardian.co.uk/environment/blog/2010/jul/12/up-here-climate-change-swimsuit-special
Video...
http://www.nbcbayarea.com/news/local-beat/Pot-Flavored-Ice-Cream-Anyone-102883384.html
http://www.cnbc.com/id/39177278
Climate change gender divide explored by US sociologist
http://www.guardian.co.uk/environment/blog/2010/sep/15/climate-change-gender-divide-belief
http://www.breitbart.com/article.php?id=CNG.386c81623028728756ef28bb62755b87.4a1&show_article=1
http://news.yahoo.com/s/ap/20100915/ap_on_bi_ge/eu_europe_austerity
Austerity everywhere but here...
I have nothing against public employees, teachers, cops, etc...my problem is with the outrageous benefits they recieve on OUR DIME...who the hell gets a pension anymore anyway...no one EXCEPT public employees...if their pension is underfunded and did poorly in the stock market then the rest of us taxpayers who have NO PENSION have to bailout these folks who do...it's fundamentally an issue of fairness...
I have the same position as you on public pensions. I'm always skeptical when bankers, top wallstreeters & govt officials speak. Is there some misdirection or shell game going on? The Daily Bail is one of my favorite sites. Keep it coming!!! trod
Now, now, that is not true... There are many pensions, public, union, and private, and they are all suffering the same fate of mismanagement, poor market performance, investment by fund managers in fraudulent investment vehicles ( Lehman Bros., Crooked E, dear Bernie, etc.), and on the public side, elected officials "borrowing" with no intent to repay. People in the union or private sector go to jail for that last one, while the elected just get re elected.
I do not believe in bailouts, but I do believe ALL the criminals should pay, and this issue directly affects me, that is why I know a little about it.
Instead I am about to get a gun banner from Lehman Bros. as Governor. The hypocracy of the Bankers Manifesto knows no bounds...
"We hang the petty thieves and appoint the great ones to public office."
Aesop
"It is thrifty to prepare today for the wants of tomorrow."
Aesop
...................(Cue crickets)
Point me in the direction of private workers getting pensions outside of a union...would like to read more on that...
And yes i'm aware of how pensions, 401ks, etc. are all affected by corruption...a la Lehman...
Public pensions have been "borrowed" from for generations by the elected heroes of the herds who control them, so that is never a good place to be, and that will not change, and the victims will always be blamed for it instead of the heroes.
Interesting how the "corruptors" never draw the heat and even move on to win elections after their "winning ways", and it is good to see you mention 401k's, because they are getting hurt by the same scams as well.
Then go after those who have swindled the pensions (Lehman, etc.), or "borrowed" from them (politicians). If the money was not highjacked, the funds would be flush. For every hour worked money goes into the fund, and if left alone in honest investments and away from swindlers and politicians, the funds would be fine. Sure, we can blame the defenseless membership and not fix the real problems, and years down the road we will be sitting in the same situation we are in today, all over again, saying "what the f@ck", like it is all brand new and never ever happened before in America. Just like many are doing this go around...
I sent you some info that I hope will help clarify the pension issue.