Tag Archives: Austerity

Trade union leaders support austerity? Oh yes they do!

Posted on by
Reply

Pantomime season is upon us, where actors go through well rehearsed and sometimes laughable theatrics to keep us distracted in the chilly season, performing roles we have seen so many times we could write the script ourselves.  Familiarity creates half the fun for the adults and innocent gullibility the mirth for the children.  Or at least for some.

A number of years ago a work colleague reported a conversation between two young boys sitting behind him while he was watching a panto with his kids.  “He’s behind you”, roared the children in the audience, only for the object of their warnings to turn round and miss the actions of the dastardly villain about to carry out the nefarious deed.  “Oh no he’s not” exclaimed the gormless actor.  “Oh yes he is!” screamed the children in the audience.  “He’s behind you!” they would roar again and so again would the witless actor turn round to see nothing amiss.  This obviously went on at some length until my friend heard one very well-spoken boy behind him tell his companion to shut up about the “he’s behind you” stuff – “be quiet Roger, the man’s obviously a fool.”

This story came into my head when I read the latest statement from the Irish Congress of Trade Unions (ICTU) about the “Fresh Start” agreement between the British Government, Irish Government and Northern Ireland parties.  The agreement was a stunning exposure of the hollowness of Sinn Fein’s opposition to austerity as it agreed and subsequently praised its agreement to Tory austerity, with less mitigation of the cuts than they had previously denounced as harmful to the most vulnerable.  The rest and larger part of austerity, including job losses, it had simply ignored as it happily implemented the cuts without a murmur of protest.  Shame and embarrassment are fundamentally important human emotions but there is something that Sinn Fein and the Tories share – they don’t have any such feelings.

The ICTU statement is a staged event which acts out opposition that is without even the merit of being funny and which could only be bought as serious if one was a small child, or rather the vast majority of small children.  It sets out ICTU’s support for the agreement even though this agreement is an agreement to implement austerity.  How then do ICTU hope to oppose austerity while supporting the agreement that implements it?

Why, you may as well shout “he’s behind you”, because austerity lies inside, behind, beside and in front of the ‘Fresh Start’ but ICTU will pretend not to see it – “Oh no it’s not! – it’s over there”.  “It’s inside, behind, beside and in front of you!” you might cry, to no avail.  And so it might go on.

As you can see, not half as funny as your regular panto.

The ICTU statement is full of lies and pathetic, vapid declarations of opposition that are a tiny leaf protecting its extremely modest pretence at opposition.  Not so much the naked emperor as the emperor’s naked servant.

So we can’t get past the first line of the statement before we get untruthful nonsense – “Given the critical role of the NI trade union movement in promoting and securing a peace process, Congress views it as essential that our devolved institutions remain intact.”

As a matter of fact it was not the trade unions and their large rallies that created the peace process but the secret negotiations between the British Government and republicans plus the unionists.  Everyone knows this.  All the rallies organised by ICTU did was reinforce support for the view that peace lay with those responsible for the violence.  It is only in the sense that ICTU continues to support the same sectarian politicians that can it claim to continue to “secure” the peace.

As I pointed out before, the demand for local sectarian institutions was justified by the erroneous claim that this was required to end the violence, while now acceptance of violence is justified by needing to do so to save the institutions.  Now ICTU claim that the existence of the sectarian institution is necessary to oppose austerity – “The imposition of Direct Rule would have unimagined consequences for the most marginalised in our society, as well as for trade unionists”, when in fact it has just been demonstrated to all but gullible children that austerity is necessary for the survival of the sectarian institutions.

In order to avoid reality ICTU is required to peddle the same nonsense as Sinn Fein but because it cannot be seen to be politically partisan it has to go further and cover up for all the political parties, including those whose policies are to the right even of the evil Tories and who make little pretence about their support for austerity: “Congress accepts the validity of the statements made by political parties that they pressed the UK Government for additional financial resources for NI to no avail  . . . Congress in this context recognises that our political parties are facing up to their responsibilities to ameliorate the negative impact of welfare reform.”

Other embarrassing aspects of the agreement are hard to just ignore so instead they are ‘noted’ –“Congress, while noting the insertion of a clause in the Fresh Start Agreement which specifies that the cut in Corporation Tax can only occur if the NI Executive’s finances are on a ‘sustainable footing’, will continue to oppose the cutting of CT in the unconditional method as advocated in the Agreement.”

I don’t know what this means. Is cutting corporation tax ok if finances are on a ‘sustainable footing’; does ICTU oppose “unconditional” cuts only but support cuts with conditions; what would these be?  Does the agreement not already state conditionality – finances on a ‘sustainable footing’ – so does this not therefore mean it supports the agreement on this issue as well?

ICTU claims it will oppose the terrible austerity but only in so far as it is the responsibility of the Tories in London, without accepting the responsibility of the local reactionary parties for agreeing to it and implementing it.  All so that ICTU can pretend that the face of austerity is not in front of them when they go to lobby the local parties but is “behind them”.

ICTU pledges that it will “continue a vibrant opposition to austerity” but this opposition rests on a platform of “actions” that read not as solutions to austerity but as a list of “actions” that provide jobs for trade union bureaucrats.  Their alternative policies consist of economic strategies, models, policies and quangos that culminate in a plea for the notorious patronage in existence not to pass them by – “That the membership of the trade union movement, as the largest civil society organisation in NI, be reflected in the composition of public bodies proposed under the Fresh Start Agreement.”  So while thousands of public sector jobs disappear ICTU wants jobs for their head boys and girls.

The duplicity of the drafting of this rotten statement is exposed by the first lines of the statement being contradicted by the last – “Congress advises all of its members to note that the Fresh Start Agreement is not a trade union agreement but one reached by democratically elected political parties and both governments.”  Having claimed credit for the process at the beginning they deny responsibility for its results at the end, from embracing it they state it’s nothing to do with them.

Which of course implies that one of their claims is actually true.  And since I’ve just said that the opening lines were a lie, this means their concluding lines are correct.  But only in the literal sense that the deal was made by the local parties and British Government, and the Irish government were in attendance as well.

The political purpose of the statement however is clear – don’t blame us for the consequences of the deal we’re supporting, we didn’t negotiate it, the “democratically elected” politicians did.  More bluntly – you elected these people so you’re getting what you voted for.

This is also true and explains the ability of the two main parties to come out of negotiations confident they will still be the two biggest parties after the next election.  But this does not excuse ICTU or its rotten statement.  It simply means they lack the courage of their declared convictions.  Most crucially it means they provide no alternative to austerity but are unable and unwilling to admit it.

But doesn’t the fact that the majority has voted, and repeatedly voted, for these sectarian parties that are imposing austerity mean that there really is no alternative?

Well, yes and no.  Yes, because there is no political alternative at present to the collective plans of the British and Irish governments and the sectarian parties – no one can credibly claim that there is even a semi-coherent practical alternative being debated, or even ignored.

No, because these agreements always erupt into crises because the parties just don‘t agree on what their agreements are. ICTU backs every rotten deal that comes along and then they fail; so there will at some point be an alternative.  The problem is that there is no progressive, working class one on the horizon.

No again, because the statement not only fails to oppose the agreement and the austerity that necessarily goes with it but endorses it.  Exposing the austerity that resides in the heart of the agreement would begin to weaken it on grounds that are minimally progressive.  When the leaders of ICTU can’t even oppose austerity then what we need is to oppose the ICTU leaders.

Greece Crucified

Posted on by
7

ws jimagesAlexis Tsipras justified his humiliating U-turn, and commitment to imposition of austerity worse than he had just rejected, by saying that he had no mandate for Greece to exit the Euro.  Very true.  But he had just claimed that the referendum a week before had not been about the Euro.  By 61 to 39 per cent he has no mandate for austerity, which is what he said the referendum was really about.

He came into office promising an end to failed bail outs and has ended with a third one bigger than the first.  He called for debt reduction and now seeks support for debt inflation.

Such is the scale of the crushing terms of the latest ‘bailout’ that no one is attempting to say that it is nothing other than complete humiliation for Greece.  Even the Eurozone bureaucrats stated the truth behind the unpalatable words spewed out by their leaders – Tsipras had been subjected to “mental waterboarding” and had been “crucified”.

What has been mental torture for Tsipras will be brutal and catastrophic austerity for the Greek people.

I could write a whole blog on the capitulation of Tsipras and what looks like the majority of Syriza, and there would be good political reasons for doing so.  The policy and strategy of Syriza has been endorsed by Irish opponents of austerity such as Sinn Fein and these now lie in tatters.

In fact in my own view Sinn Fein is not even as radical as Syriza and this is an easy claim to substantiate.  It has already implemented austerity in the North of Ireland while hiding behind opposition to some welfare cuts.   In the South it supported the fateful decision to make the debts of corrupt banks and property speculators the burden of Irish workers and in doing so made the struggle against paying this odious debt much more difficult.

But there will be plenty of voices pointing out that what radical politics Sinn Fein has to offer have been trialled in a real life laboratory and been found wanting.  The capitulation of Syriza is in principle no greater than the Republican’s own acceptance of British rule in Ireland, acceptance of partition, surrender of weapons and dissolution of the IRA.  But that is all now a history that no one wants to talk about.

What is more important therefore is to try to understand what has happened and whether it could have been any different.  Not that it must be accepted that the ‘coup’ against Greece cannot or will not be resisted.  It can and will but it would be blindness to reality not to acknowledge that under Syriza the fight against austerity has suffered a demoralising defeat.

As that new aphorism says: it’s not the despair, I can take the despair.  It’s the hope.  Syriza gave hope.

Working out what has happened is not easy. For the man or woman on the street they see television reports of quantitative easing by the Eurozone involving the figurative printing of  millions of Euros by the European Central Bank, yet this same institution is involved in the vindictive pursuit of Greece for sums it could easily accommodate.

The proposals of the conservative leaders of the EU seem equally hard to understand or justify.  In fact for many they seem stupid, if not crazy. So draconian are they that they seem designed to achieve the very opposite of what they claim to be for.

The imposition of yet greater austerity when this austerity has demonstrably failed might be explained by ideological blindness.  And the humiliation involved might seem to invite rejection while being another attempt to remove Syriza from office.  But many commentators have explained that Syriza may possibly remain the only force that can push austerity through without complete chaos and collapse.

This humiliation is perhaps not just a message to a small and weak Greece but an unmistakeable one to a larger Italy and France: that the development of the EU will be under a model defined by Germany and its allies.  Yet even here the degree of malevolence can only invite small countries with parties equally blinded by reactionary ideology as Germany to wonder just what fate would befall them in an EU with such a definition of ‘solidarity.’

So while ‘good’ reasons might be found for what would appear to be ideological blindness the proposal for a “timeout” exit by Greece from the Euro appears as simply stupid; unless of course it is also a means of pushing Greece out permanently. But then it is such a stupid idea as justification that its purpose might only seem to be how open the imperial bullying can become, ‘pour encourager les autres’.

For the Greek people the surrender of even nominal control of their affairs is way beyond what has gone before.  The original proposal to ring fence €50 billion of Greek assets under German control,  to be sold at the discretion of its creditors, was such an open declaration of debt bondage as to render the humiliation utter and complete. What is yours is no longer even yours to sell.  Now it is reported it will simply be wasted on insolvent Greek banks with the needs of financial capital once again talking precedence not only over people but over real productive activities.

Thus in many ways, its failure to actually work being the first, its effects on undermining the legitimacy of the EU second and materially weakening the incentives to solidarity among its members third, all make the bailout deal a defeat for the idea of a European Union.  This is not even a European imperialism to rival the US, Russia or China but an imperial core and vassal periphery.

The price being paid seems so unnecessary because the main demand of Syriza – in order to give hope and reduce the impact of austerity, i.e. debt forgiveness, will be given and is already hinted.  Not in the shape of outright reduction but in the form of postponing or extending repayments and similar measures on the interest due.  After all, what cannot be repaid will not be repaid.

What matters however to the right wing conservative leadership of Germany, the Netherlands etc. is that their strength, and by extension that of the European imperialist project, is not diluted by the weak European nations and that the Euro remain in position as a world currency and not a vehicle for default and certainly not by what is considered an advanced nation.  Greece must be bled dry in order that the Euro remains strong and the pretensions of the EU remain in place.

The vision of a united Europe is not being abandoned by Germany etc, but it is one in which austerity is the bond that unites. It can be claimed that austerity will be inflicted on German workers if crisis hits the German banks; except of course that Germany has broken the rules before and would do so again.  It is easier to be ideologically blind when the price is paid by someone else.

Could it have worked out differently?    Syriza had hoped that enlightened self-interest would have combined with pressure from the US and the legitimacy gained by the referendum to mitigate the demands for austerity by Germany, The Netherlands and all the other little right-wing led states that curry favour with the powerful.  They have been rudely disabused of their illusions.

The more fundamental reason for this outcome is the weakness of the alternative at an international level.  Where were the left wing Governments calling for debt forgiveness, an alternative to austerity or even its reduction?  Where were the mass movements pressurising their Governments to accede to Greek requests?  Greece could not push back the demands of much stronger states on its own but on its own it was.

The demand for a revolutionary socialist alternative seeking the destruction of the Greek capitalist state and take-over of the Greek economy by its workers fails to provide any sort of immediate alternative, which is what we are discussing, for two rather obvious reasons.

Such a strategy relies on the aspiration and activity of the working class and the Greek working class neither desires nor is organised to destroy the existing state, create its own and take over the running of Greek production.  The anti-capitalist ANTARSYA for example got less than 1 per cent of the vote and Syriza, it should not need to be said, is not a revolutionary party.  How does a revolution arise out of this except through a long and painful process of learning lessons and making advances on this basis?

I was recently reading an article entitled ‘Marxism and Actually Existing Socialism’ written, what seems like a long time ago, before the collapse of the Soviet Union, and which defended Marx’s theory and politics.  In it the author wrote that:

“Marx envisaged that socialism would come first in the most advanced industrial societies of Europe, and it has not done so. Arguably, however, Marxism is capable of comprehending this fact. In any case, this is a matter of detail, even if an important one; and it seems difficult to resist the conclusion that, in its broad and general outlines, Marx’s account of the historical tendencies of capitalism has been remarkably confirmed by historical events.”

But of course the coming of socialist revolution not to the most advanced countries is not a detail, not even an important one.  It has been fundamental to the development and future possibility of socialism and has led to the very definition of socialism being distorted and disfigured.

Socialism is not possible in Greece alone any more, and certainly less, than it was in Russia not least because it is too weak and poor.   It is obvious that no other working class within any other country in Europe is at a stage of development where it could either join or support working class rule in Greece.

This does not mean Syriza should not have taken office or that it should not have engaged in negotiations with the Troika. Its strength however derives fundamentally from the class consciousness and organisation of the working class and not from any superior moral position.  The building of an international European party of the working class, of a militant current within the working class movement including trade unions, and of international workers’ cooperatives is the only road to creating the foundations for a successful conquest of political power.

On the other hand capitalist economic and political crises and socialist propaganda are, respectively, simply the occasion for such a conquest and the means of spreading word of the need for it.

As I have said before: the worst result would be Syriza implementing austerity.  It should now reject the bailout, call fresh elections on such a platform and if elected pursue an alternative.  If in opposition it should develop a movement as set out above.

The alternative it should pursue is that which the Irish should have carried out in 2008.  Let the banks go bust and let its owners and lenders take part in a ‘bail-in’ in which they pay the price for their investment in insolvent companies.  This is sometimes known as capitalism.

A radical Greek Government would encourage Greek workers to turn the banks into cooperatives that would shed their bad debts into a ‘bad bank’ (like NAMA in Ireland, in theory if not in its practice) and guarantee deposits that would fund development of worker owned enterprise.

The Greek debt would thereby suffer default and the reactionary gamblers Merkel, Juncker, Schäuble, Draghi and Dijsselbloem would see where the chips fall.

The blogger Boffy has suggested that a solution to the currency problem would involve electronic Euros that would allow circulation of money without the requirements for additional notes etc. from Brussels.  While this could work for the domestic economy I cannot see how it could function as a means of payment for international trade and, while Greece is a relatively closed economy, it cannot function without it.

In any case the leadership of the EU would, on current form, expel Greece from the Euro and introduce its own capital controls on the country.

Greece would be forced into issuing a new currency, a new Drachma, which the people do not want.  This could not be done quickly or without significant disruption.  It has been asserted that the argument that this would result in devaluation and a massive reduction in Greek living standards is false because the catastrophe predicted has already happened.  ‘Internal devaluation’ has already achieved what external devaluation of the new currency would otherwise have done.

I am not convinced by this argument but this too might be academic if the EU decided that Greece would no longer be part of the Euro.

The strategy suggested therefore provides no guarantee of success.  There is no ‘technical’ solution or answer in this sense.   And why should one be expected?

I have said that socialist revolution depends on the prior creation of a working class power consisting of an international party, international trade union action and development of workers’ cooperatives on an extensive scale.  What on earth could substitute itself for these?

What is suggested is a strategy for struggle and not a ‘solution’ but we have reached the stage where not even the leaders of the EU can present false promises on this with any credibility.  Austerity will continue not to work.  Struggle is what we have.

 

Some comments on the Greek referendum

Posted on by
5

Greece3543The decision of the Syriza Government to call a referendum on the proposed austerity proposals of the Troika (European Commission, European Central Bank and IMF) in return for another ‘bailout’ programme reminds me of the Irish austerity referendum three years ago.  It gave rise to one of the first posts on this blog.

The Irish people voted by a large majority to support austerity.  Will the Greeks do the same?

The Irish voted reluctantly to accept austerity (how else could you do so?) because there was no alternative at hand.   The arguments of the Left that the Irish State could lead a growth agenda of Keynesian stimulus hardly convinced when that State had just bankrupted itself bailing out the banks.

Both the reason for the defeat and its effects have not been appreciated.  Of the latter it is enough to ponder the proposals of the trade unions behind the largest sustained opposition to the austerity agenda – the Right2Water proposals for ‘A New Fiscal Framework for a Progressive Government’, which proposes additional State expenditure of €9.4 billion over 4 years.  This would amount to less than 4.5% of the 2014 level of Government expenditure.

The Right2Water’s ‘Policy Principles for a Progressive Irish Government’ contains a section which proclaims the need for additional investment in the water and sanitation system of “between €6 and €7 billion”, which leaves just around €2.5 to €3.5 billion for education, health, investment and everything else.  This is not so much an alternative to the current Government’s strategy as a variant of it.  So much have horizons been lowered.

According to the authors of this document the rules of the EU will be adhered to while seeking flexibility within them and negotiating additional scope for spending.  But the case of Greece exposes that the rules of the EU, ECB and IMF can be bent to suit.

So the claim that joining the Euro was irrevocable has been discarded by the leading powers in the EU to be replaced as the biggest threat to the Greek Government and people – vote against our austerity plan and you are voting to leave the Euro.

The propaganda campaign by the EU leaders includes European Commission President Jean Claude Juncker, who says he feels ‘betrayed’, and complains about a lack of “good faith” and “sincerity” from the Greeks.  This from a man who presided over the building of Luxembourg into a tax haven.  Yet he sees fit to question the Greek Government and people over their right and capacity to raise taxes.  Has the tax evasion facilitated by Luxembourg not contributed to the Greek predicament?

Christine Lagarde of the IMF proclaims she wants “adults in the room” with whom to negotiate, attempting to infantilise the Greek Government representatives and by extension the Greek people.  This is the Lagarde who has been placed ‘under investigation’ in a fraud case.  One can’t help but recall the behaviour of the previous head of the IMF, Dominic Strauss-Kahn.  Getting fucked by the IMF is a pleasure for no one.

In the current case this involves Troika demands for drastic reductions in the pensions of some of the poorest Greek pensioners and increases in VAT that will hit both those who will pay increased prices and the small businesses compelled to charge them.

On the Left these demands of the Troika are likewise treated as in effect an ultimatum which should lead to exiting the Euro – as the only effective response to the unceasing demands for austerity.  What for the leaders of the EU is a threat which the Greek people should retreat from is for some on the Left a major part of the solution.  What for the former is a recipe for chaos is for the latter the way out of it.

In my view the former are correct.  Exiting the Euro would lead to a new Drachma that would involve massive devaluation and a large reduction in Greek workers’ living standards.  Cutting one’s own throat is not preferable to having someone else do it.  If Greece is thrown out of the Euro it naturally has no choice but that is not a choice it should itself make.

It is clear however that the choice at the end of the day is not Greece’s to make.  It is not in a position to compel a significant reduction in austerity or debt relief even while many commentators who support the austerity demanded admit that debt relief is inevitable.  The reason that they demand austerity nevertheless, even while recognising that it has failed, is that they seek the removal of the Syriza Government.

The EU leaders tried it last week and now seek it this week through refusing to accept Syriza’s huge concessions, refusing to extend the ‘bailout’ and through freezing ECB liquidity provision to the Greek banks.

The Greek workers should reject the austerity plan from the EU and reject the non-solution of leaving the Euro.  Only on the basis of fighting austerity and refusing a go-it-alone nationalist solution can it minimally seek to build a movement that would stem the demands for austerity.  What the Greek crisis shows is that such austerity can only be fought at an international level.

What does this mean?

Well, let’s look at what the Channel 4 journalist Paul Mason, who is covering the crisis, had to say.   Exit from the Euro may be inevitable he says because of democracy – the population of Northern Europe would not support the transfers required to reverse austerity inflicted on Greece while the Greek people may no longer accept it.

In this he is at least partly right.  Only an international campaign of solidarity with the Greek people, which explained that the bailout was not for them, but for the German and French banks and hedge funds who invested in lending to Greece, could explain the real function of austerity and lay out the grounds for convincing those outside Greece to reject it.  On this basis it might force a retreat from the austerity demanded by other EU Governments, including the repulsive Irish one.

Within Greece it would require not just an ‘OXI’ vote but a mass movement that would compel implementation of a Syriza programme to tax the oligarchs through occupations to open the books of these businesses and in doing so help put in place a rigorous system of tax collection.

In itself this would only form the starting point of a workers’ alternative – one that is based on development of worker owned production.  Such workers’ cooperatives are the alternative to the weak and crony capitalism from which Greece suffers.  It offers practical proof of the socialist alternative and is a basis for its growth this side of political revolution.  The latter in turn will gain credibility from practical demonstration of a socialist programme.

The lack of such international and domestic conditions caused defeat for Irish workers in their referendum.  A very different vote in Greece would be a step forward for Irish workers now.

On the other hand the very worst result would be defeat in the referendum and a Syriza Government implementing austerity.

While the Dutch hatchet-man Jeroen Dijsselbloem again reveals the Euro leaders agenda of getting rid of the elected Greek Government – “ who are we trusting” he says if Syriza promised to implement the austerity it had just rejected, Varoufakis is quoted as saying that Syriza would do just this.  “If the people give us a clear instruction to sign up on the institutions’ proposals, we shall do whatever it takes to do so – even if it means a reconfigured government.”

Such an approach would discredit any sort of Left alternative and pave the way for a hard right Government to eventually push through austerity on a demoralised workers’ movement.

The long resistance of Greek workers to austerity has given hope that we are not yet at such a result and that the struggle against austerity will continue.

The Left and the fight for reforms

Posted on by
Reply

SFimagesIn the first of these posts I argued that the apparent differences in various contributions to the debate on recent developments in Irish politics, including the prospects for the left, did not reveal fundamental disagreements.  Everyone from Sinn Fein to the Left alliances looks forward to a very significant challenge to the establishment and see great potential for success.

In the previous post I mentioned that the general policy platform of anti-austerity and its implementation through forming a Left Government, supported by mass mobilisation outside, is endorsed by these same organisations.

Yet proposals for an overarching alliance formed by these organisations are rejected by both sides.  Sinn Fein rejects “the Trotskyist left” because it has sought to divide the anti-water charges movement formed under the banner of the Right2Water campaign.  And it is clear that it is also rejected because Sinn Fein thinks this Left is unwilling to form a Government with the Labour Party, and incapable of any sort of political unity with the trade unions that support the Right2Water campaign.

Of course there are good grounds for these positions.  The Labour Party has spent four years inflicting austerity in Government with Fine Gael in the South and Sinn Fein has been in office with the even more rabidly right-wing Democratic Unionist Party in the North, also inflicting austerity, while claiming to oppose it through vetoing some welfare changes.  In the South Sinn Fein also voted for the justification for much of the austerity by voting to bail out the rotten banks and their gambling investors.  In this way the Irish State transferred the debts of the banks to the working class.

However the centre piece of the Left’s strategy is the formation of a Left Government in order to reverse austerity – they propose no other effective or credible means of doing so.  As I have also argued – their privileging of the non-payment tactic as the only route to defeating water charges leaves them otherwise naked when it comes to explaining how they would defeat the much greater effects of the other austerity measures.

In their arguments, despite claims to prioritise mass mobilisation over electoral success, they reveal the central and indispensable role in their strategy of electoral success.  Only by forming a Government could their demands for reversing austerity be carried out: through taxation increases for the rich and reductions for the rest; for increased state spending to create jobs; for reversing privatisation and for repudiation of the state’s debt.  The actions proposed by the Left are inconceivable without forming a Government to do these things, which is why they naturally call for a Left Government.

The Left say that mass mobilisations are key and elections are there to support them but what these mobilisations are supposed to achieve in themselves, beyond single victories on various issues that develop, is never explained.  Mass mobilisation is not itself a programme, not itself a strategy unless given some purpose and objective, given some content.  What for? To achieve what?  How and in what way would such mobilisations put forward and actually implement an alternative, except other than through a Left Government?

The genuine order of priority is made clear when Paul Murphy explains the real importance of the anti-water charges campaign – “Winning the water charges battle is strategically central to the prospect of building a left that can fight for a real left government.”

The strategy of capturing government office in a capitalist state is what Marxists call reformism and I have written a series of posts criticising this view, beginning with this one.

I’m not going to criticise the Left here for being reformist but simply to point out that their strategy requires capturing Governmental office while rejecting any arrangement with Sinn Fein or the Labour Party.  The prospect of them doing this in the foreseeable future is therefore practically zero.

I have criticised the specific proposals of the Left before not because it has proposed reforms but because they are viewed, not as making capitalism less oppressive and creating better conditions within which workers can fight for a replacement, but because the reforms themselves are seen as in some way instituting an alternative to capitalism.  In this sense their policies are not an alternative to capitalism but an alternative to the real alternative to capitalism, which is socialism.

To sum up what their approach involves – it entails the capitalist state, presided over by the Left, intervening much more into the economy and creating a fairer and more just system.  It doesn’t involve a fundamental change in the economic or political structure and amounts to a fairer form of capitalism, full stop.

If their strategy ‘secretly’ involves revolution in the traditional sense of an insurrection, one that aims at the destruction of the capitalist state, this isn’t going to happen either, if only because they haven’t gone around doors giving out leaflets and telling the only people who can carry it out that this is what they should do.

Paul Murphy presents a related reason for opposition to unity with Sinn Fein and/or the Labour Party.   He says that the latter involves “the notion of constructing a “social majority”, instead of building a class based movement.”  Unfortunately this opposition of a social majority to a class based movement is false since a working class movement in itself will be a majority and its creation will win to its ranks individuals and social layers who are not working class.  The idea of a ‘social majority’, however described, should not be, or allowed to be, counter posed to a working class movement.

It is almost as if what this reformist strategy needs, and what its reformists-in-practice require, is some concrete reforms in an explicit strategic alliance with reformists.

So the Left says it cannot countenance a coalition that would include the Labour Party and/or Sinn Fein because these parties have already and will in future impose austerity when in Government.

However to many voters the alternatives offered by Sinn Fein and the Left do not seem very different.  The by-election victory of Paul Murphy of the Socialist Party over Sinn Fein, in part due to a more militant stance on opposing water charges, is not unfortunately likely to be the template for the general election.

The actions of the trade unions involved in the Right2Water campaign and their transparent attempts to endorse a left alternative that includes Sinn Fein, and even Labour if it went along with it, demonstrate this.

But the answer to this is not to simply denounce these parties, for if that were all that was required, as I have said before, we wouldn’t have the problem.  The answer must be to challenge the credentials of these parties and to win the trade union members and other workers who have supported the Right2Water campaign to a real anti-austerity alternative.  If such a process were to take place it could only be through joint activity and joint debate with the leaders and members of these parties.

In such a process it would be my view that the weakness of the Left’s own anti-austerity programme, in no essential terms different, would be exposed.   However such a strategy makes sense even from the Left’s point of view.

So, in order to begin to demonstrate their claims and in order to be seen to be seeking the maximum unity of anti-austerity forces the Left, perhaps paradoxically, would need to take its pretensions to reform the Southern State and economy more seriously.

It might do this by, for example, proposing the specific measures that it would take in the first 100 days and first year in office while demonstrating that unity around these policies is essential, challenging both Sinn Fein and the Labour Party to endorse them and fight for them together.  The Left would openly propose and debate these measures, this strategy, and seek to make itself accountable to its constituency, in the process attempting to leverage this support to engage with that of Sinn Fein and the trade unions.

The purposes of this would not only be to win these supporters to more radical politics but to promote their capacity and willingness to make the parties they currently support more accountable.  The aim of this is not so much to put pressure on these parties to keep their word, or even to facilitate their rejection when they do not, but to encourage and stimulate the independent political activity of these workers.

So, for example, the mechanisms put forward in the contribution by Rory Herne come across as elaborate and wishful scenario building that involve earnest but utopian blueprints for the ‘perfect’ movement.  But they do offer some sense of how such accountability might be achieved.

Would such tactics work? Maybe, maybe not.  But the point is that a means has to be created that allows the Left to engage with those voting for Sinn Fein and (more importantly from my point of view) for Marxists to go beyond denunciation of the Left’s Keynesianism to engage it and its supporters in clarifying the means to advance working class politics and organisation.

As Marx said:

“. . nothing prevents us from making criticism of politics, participation in politics, and therefore real struggles, the starting point of our criticism, and from identifying our criticism with them. In that case we do not confront the world in a doctrinaire way with a new principle: Here is the truth, kneel down before it! We develop new principles for the world out of the world’s own principles. We do not say to the world: Cease your struggles, they are foolish; we will give you the true slogan of struggle. We merely show the world what it is really fighting for, and consciousness is something that it has to acquire, even if it does not want to.”

What exactly divides the Irish Left?

Posted on by
1

ballot downloadIn the last article on the debate on the Left and its potential in the upcoming general election I said that I would look at the most important area in which the Left generally, despite the purported differences, were pretty much agreed.  Not on everything, but what they don’t agree on is in principle secondary.

The fundamental unity is on the nature of the new society the different groups want to bring about and the means to achieve it.

Taking the contributions quoted in the last post:

Sinn Fein: “We need to present a clear, coherent and credible programme for Government, based on an alternative model of social and economic development, that offers people well paid secure employment, high quality public and community services, fair and adequate taxation – all rooted in a strategy for economic growth that is environmentally sustainable and socially just.”

Rory Hearne:   “There is, despite the caricatures of division, much ground for agreement on policy amongst the diverse groups, for example, reversing water and household charges and austerity hitting the most vulnerable, standing up to the EU on Ireland’s debt, a write-down of mortgage arrears, a living wage, proper public health, housing, education and delivering human rights for all, direct democracy returning power to local areas and communities and a state and indigenous-led economic strategy away from overreliance on foreign multinationals, wealth taxes, expressing solidarity with Greece for a European debt conference and much more.”

The joint statement of the Anti-Austerity Alliance, People before Profit and others is:

“. . . committing to oppose and organise to fight against any more austerity and for an immediate reversal of key austerity measures such as water charges, property tax, USC for those on average or low incomes, health, education and welfare cuts. It also means developing a strategy for repudiation of the bankers’ debt; for a write-down of residential mortgages; for taxation of wealth and big business profits; and against privatisation of public services and natural resources.  Instead of putting money into bank debt, we think there should be public investment in housing, healthcare, education, childcare, public transport, water services, renewable energy and environmental protection – as the start of re-orienting economic activity to meet social need and provide useful work for young people and the unemployed.”

So if there is broad agreement on a radical but not revolutionary policy there is also broad agreement on how to implement it.

Sinn Fein: “We need to translate all of this activism into change at the polls to break the Fianna Fail-Fine Gael stranglehold on the southern Irish state and install a left wing Government implementing a left wing programme – if such a Government is not possible after the upcoming general election we should maintain the momentum and keep building until we have secured the requisite public support.”

“So the immediate tasks for those of us on the Left who want to seriously challenge the Right for control of the state are clear.”

“We need to ensure that popular mobilisation continues if and when a left wing Government is installed to act as a guarantor of the promises made by progressive politicians at election time.”

Brendan Ogle Right2Water: “We will win this campaign. Of that I have no doubt whatsoever. We will return a Government that will be voted in to reverse the current crazy, wasteful, ideological, neo-liberal privatisation of our publicly owned water. And then what? Is that it? What about our right to housing, to a job and decent workers rights, to decent healthcare, to education? Do we, those in what has clearly become a ‘movement’ care about these things? And if so, can a water movement become a vehicle of real social and political change?”

“The anger, and mass mobilisation necessary to reclaim our nation for its citizens are present. The citizen’s hunger for their democracy back is present and the electoral means are present.”

The joint statement of the Anti-Austerity Alliance, People before Profit, said of the alternative that:

“It should fight for a Left government committed to breaking the rules that impose austerity and that prioritise the restoration of the profits of banking and big business; for a government committed to restructuring the economy and society to meet the needs of people and to protect our environment  – including unilateral repudiation, if necessary, of bankers’ debt.”

In commenting on these joint statements Paul Murphy says that:

“These statements were a positive engagement with the process – in particular focused on three areas – calling for non-payment as part of a non-electoralist, struggle orientation; a call to rule out coalition with Fianna Fail, Fine Gael and Labour; and a clear left programme, including commitment to debt repudiation and repeal of the 8th amendment.”

Ruling out coalition with Fianna Fail, Fine Gael and Labour is a central part of this. The left needs to be ambitious and inspiring – this means not settling for the old mistakes of coalition with the right, and betraying and disappointing people in order to get Ministerial positions. Instead, it means fighting for a real left government.”

“A left government is not just one where people who describe themselves as left-wing are in government. It is one that implements a left programme – which reverses austerity measures, which pursues a strategy of debt repudiation, which stands up to bullying from the EU, which uses the wealth and resources of society for people’s needs rather than corporations’ profits and which tackles the oppression of women, migrants and LGBTQ people.”

However where Murphy claims to be in disagreement with the likes of Sinn Fein, and those in the Right2Water campaign who wish to see it as part of a left alternative Government, is his claim that a real left alternative is not so focused on elections and would not include the Labour Party.

For him the real left alternative is one that is less focused on the elections, in particular the next election, and is orientated more to both struggles outside of the Dail and to using elections and elected positions to assist the building of these movements.

Of Eoin Ó Broin’s contribution he says that “The embracing of the Labour Party by someone who has a profile of being on the left of Sinn Fein is significant. It is an illustration that unfortunately Sinn Fein is prepared to be part of a government that will continue with austerity.”

So despite similar programmes the Socialist Party opposes an alliance with the Labour Party and Sinn Fein, which means that the prospect of a ‘left’ Government after the next elections is practically zero.

It is in this sense that Burtenshaw’s argument that the population has rejected the left’s alternative is rather obviously true, so obviously true it is difficult to see how it can be denied.  A left Government in the next election that does not include Sinn Fein and/or the Labour Party is not going to happen.

In the next post I’ll look at what the Left might do, even with a reformist strategy.

Has the Irish Left missed the boat?

Posted on by
1

Screen-Shot-2015-05-31-at-02.29.362An article in the ‘Village’ magazine presents the argument that the Left has missed the opportunity to translate widespread opposition to water charges into a significant challenge to the status quo in the coming general election.

As a hard fact that must be faced, the author of it notes that it’s now possible to imagine not only a Fine Gael and Fianna Fail coalition but even the re-election of a Fine Gael/Labour Party Government.  What a kick in the teeth that would be!  Rather like the re-election of the Tories in Britain.  “It’s time for some serious self-criticism” he says.

The conclusion drawn, although it remains totally unexplored, is that the people “have found the alternatives unconvincing.”  That is, they have found the left alternative unconvincing.

It’s not clear to me from the argument of the article that many ever did but I’m not going to go very far in this post in looking at this either.

Instead I want to reflect on the response that the article has evinced from the Socialist Party TD Paul Murphy.  While there appears to be a debate here the grounds of it are very narrow indeed.

In his call for self-criticism Ronan Burtenshaw first points to opinion polls which showed a rise in support for independents during 2014, from 18% or 22% (depending on the poll) to 32% and 30%.  Support for the two established right-wing parties on the other hand had fallen from 30%/28% and 22%/22% for Fine Gael and Fianna Fail respectively to 19%/21% and 21%/19%.

The problem he points to is that in May this year one poll showed support for independents down to 24% and another back down at 22%.  Since he explains the original increase as a result of a series of mass mobilisations against water charges he argues that the effect of this “has evaporated pretty much completely.”

Paul Murphy argues that Ronan’s conclusion is wrong –

“His conclusion, that the fall in opinion polls is because people looked at the alternatives and found them to be unconvincing, simply does not flow from the data, or his preceding analysis. Instead, I would contend that the opinion polls worsened primarily because of the decline of major mobilisations as well as because the low point for the government wasn’t fully capitalised on by a sufficiently authoritative force to consolidate the indicated trends.”

The second part of this explanation is part-admission of Burtenshaw’s case – his argument that the alternative was not convincing might be seen as just another way of saying that there was no sufficiently authoritative force to consolidate gains.

Of course what Paul Murphy is arguing is that if the forces arguing for the left alternative were bigger its alternative would have been accepted by more people and there is nothing inherently unpersuasive about the left alternative.  But this leaves aside the problem why the left was not bigger and why its argument, if it was persuasive, did not lead to further growth than it did, or rather did not allow growth to be maintained.  If it was persuasive would it not also have been authoritative and, if authoritative is a euphemism for being bigger, how did being persuasive not lead to this increased size?

Paul Murphy argues that Burtenshaw’s case has two flaws, the first of which is that it ignores the temporary impact on the popularity of the governing parties of victory in the referendum on marriage equality.  He says that this allowed the Labour Party in particular “to wrap itself in a rainbow flag and present itself as socially progressive . . . I think much of that can be reversed as people are reminded by the real role of the Labour Party”, which includes further privatisation of Aer Lingus.

By the way, Murphy accuses Burtenshaw of ‘confirmation bias’.  That is the tendency to interpret new evidence as confirmation of one’s existing beliefs or theories.  But Murphy is guilty of this himself, no more obvious than when he dismisses the Labour Party’s role in the marriage equality referendum.  The “real role of the Labour Party” that Murphy wishes to counterpose to its progressive role in the recent referendum includes support for such liberal measures as marriage equality.

But Paul Murphy’s bigger argument is that the decline in opinion poll ratings was due to the absence of visible mass mobilisations around water charges such as the huge demonstrations that started in Dublin and around the State in the last quarter of 2014.  There is no doubt some merit in this argument but it is not as strong as it is presented and does not bear the weight he places on it.

But he also acknowledges two things which again support Burtenshaw’s argument about the weakness of the Left’s alternative.  The first is admission that the role of the leaders of the Right2Water campaign cannot be substituted by the campaigns of the Left, (which calls into question the creation of separate campaigns by the Left groups).

Second is the acknowledgement that protest demonstrations cannot in themselves be the answer.  They cannot substitute for a movement, one that is organised with permanent structures, which provide it with a life of its own outside the calls of unelected leaders to come onto the streets.  So Murphy admits that “It may not be the case that the same level of mobilisation could be achieved now.”

So if the decline in poll ratings is at least partly due to the decline in mass protest and the decline in mass protest is at least partly unavoidable this looks very much like another admission of the weakness of the Left alternative.  Even with support from the Right2Water leaders a series of mass protests could not continue to have the same effect as the first demonstrations that were such a shock to the political system.

Partly this is because the political consciousness of many participants does not go beyond protest politics, involving illusions that the Governing parties will listen, content that they have protested, or simply unable to find a way to turn anger and protest into an alternative.

Less importantly, but necessary to learn, the decline is due to the excessive weight put on the tactic of non-payment by some on the Left.  This tactic might be helped by regular mass demonstrations of opposition but this is not an absolute requirement.   It does not justify a separate campaign with this tactic as its raison d’etre, with its necessary downgrading of creation of a genuine democratic and united campaign that the Right2Water should have been and should still become.

So another illustration of weakness is the inability of the Left to effectively challenge the Right2Water leadership to create a genuine democratic campaign.

The weight put on the tactic of non-payment can be interpreted to mean that more or less on its own it will deliver victory, so why be so concerned about anything else?  But this anything else, as I have noted before, includes the opposition responding to a particular tactic with one of its own such as deducting payment out of incomes.

The Government has also responded by major concessions in terms of the amount to be paid.  As I have also noted before with the carrot comes the stick and shortly after the carrot came the attempts to criminalise and intimidate opposition activists through arrests.

So no tactic by definition is a guarantee of success.

The anything else also involves the whole austerity offensive to which non-payment is so clearly not relevant.  Cuts in services, unemployment, increases in taxes and wage cuts are not going to be prevented or reversed by non-payment so an anti-austerity campaign that features so heavily on non-payment as the key to success has a big question to answer about how success will be achieved in all the other, bigger areas in which austerity has bitten into workers’ living standards.  How if only non-payment works can we fight back in these other areas?

The biggest challenge to the Left which the anti-water charges campaign cannot by itself answer is the seeming success of the governing parties in implementing austerity and now being in a position to claim success.

The upturn in economic fortunes is real.  Unemployment has fallen, the series of major cut-backs has ended and new increases in public spending, cuts in taxation and pay Increases are promised.

The contribution of Eoin Ó Broin from Sinn Fein makes a number of correct points in relation to this:

“Trying to read the poll-on-poll movements against specific political events is always speculative.

Fine Gael’s poll decline in the second half of 2014 was as much to do with the controversies surrounding medical cards, penalty points and Garda Ombudsman as it was to do with the politics of water.

Indeed middle class discomfort with water charges during 2014 had more to do with the initial charging regime, the handing over of PPS numbers and the excessive costs of Irish Water than with principled opposition to the charges and privatisation.

It is not at all clear that the Right2Water mobilisations had any material impact on Fine Gael’s poll numbers or standing with the electorate during 2014.

Replacing Shatter and Reilly with Fitzgerald and Varadkar coupled with the impact of job growth and tax cuts on middle class voters is clearly driving the Fine Gael poll recovery.

Alan Kelly’s revised water package will also have eased the concerns of some middle class voters.”

While one can argue that it is very unlikely that the protests had no impact on the polls, it would be hardly deniable that both the polls and the protests flowed from the same anger at austerity and the charges in particular.  As I have pointed out before, the fact that there appears a clear way of defeating them, through non-payment, has been a big spur to mobilisation.

Also suspect is Ó Broin’s focus on the influence of the events he mentions on the middle class.  There is no reason why changed economic conditions will not have influenced many working class voters as well

Finally, there are two other aspects upon which those involved in this debate are not really so very far apart.   Regardless of the recent movement in the polls, they all note positively the long-term decline in the support levels of the three establishment parties (Fine Gael, Fianna Fail and Labour).

Burtenshaw points out that these parties received over 90% of the vote in every election from 1965 to 1989 while he quotes one recent poll that now puts their support at 57%.

However the participants to the discussion acknowledge, but refuse to digest, the reality that the majority of the electorate have not broken from the politics that delivered them austerity.  The evidence for this is pretty clear – from the 57% figure just quoted, to the election of a Fine Gael Government in 2011, the passing of the austerity referendum in 2012 and the character of much of the opposition to the established parties today.

The biggest and most coherent bloc of this opposition is Sinn Fein, which only the politically naïve could believe will oppose austerity in any comprehensive way.  The experience in the North is well known to political activists on the Left, while workers supporting Sinn Fein will take it at its word, and will then judge it on its actions.  Sinn Fein is no more than a more modern version of the old populist Fianna Fail and neither its nationalism nor its political practice is left wing, never mind socialist.

Meanwhile the Left has collapsed its political judgement and political practice into seeking a ‘left’ alternative instead of a socialist one.  It moved from an analysis based on some version of socialism to one in which the alternative must be ‘left wing’, to one that is simply termed ‘anti-establishment.’  But much of this anti-establishment vote is not even left-wing never mind imbued with any sort of socialism.

As Burtenshaw states:  “In the vast majority these new independent voters weren’t defining as Left but were a nebulous grouping, supporting a wide variety of positions, who found a degree of representation in being “independent” of established politics or wanted an alternative to “party politics” as practiced in Ireland.”

Of independents he notes that “this category, of course, included People Before Profit and the Anti-Austerity Alliance, though neither registered more than one percent at any stage.”

No one disputes this, but it rather puts into perspective any illusion of a Left Government after the next election.

Burtenshaw is right that the Left needs to be self-critical.

The spontaneous outburst of anger that arose in the anti-water charges demonstrations and the organisation of it thereafter will not of itself create the working class movement that is needed.

It will not be a question of surfing the wave of working class struggle; not a question of seizing some short term opportunity that will render history the long term weakness of Irish workers’ political consciousness, and it is not a question of what the Left does or does not do before the next election.

In the next post I’ll look at the most important aspect in which the contributors to the discussion are more or less agreed – the political programme to be advanced as the solution, whether currently estimated to be convincing and authoritative or not.

Austerity and Sinn Fein

Posted on by
Reply

sfdownloadThe strike by public sector workers in the North of Ireland on March 13 was significant because the two major parties, including Sinn Fein, were a target of the strike, whether Sinn Fein or even some of the strikers liked it or not.  Sinn Fein obviously didn’t like it because it damaged its posturing as an anti-austerity party and trade union leaders didn’t like it because their strategy is to persuade the parties responsible for austerity to change their minds and try to get more out of the Treasury in London.

The latest multiyear budgetary programme of the Stormont administration is the second austerity programme which Sinn Fein has jointly authored while in office.  The first did not see the job losses witnessed in England, Wales and Scotland but it did see a reduction of around 14,000.  Pay and pension entitlement for public sector workers were also cut.  Along with almost every other public sector worker I have suffered two years of a pay freeze while inflation consistently exceeded the supposed target of the Bank of England and my pension contributions increased, while my benefits were reduced and I will have to work longer to get them.

The much vaunted protection of welfare in the new budget, whatever coverage it eventually has, will come from money taken from other public services, including cuts to education.  As one local newspaper columnist put it – these will include an end to free books for pre-school children, making Northern Ireland the only part of the UK that will not have the scheme.  This will save £250,000 a year, or one third of the £750,000 that 36 Sinn Fein politicians at Stormont paid to a party research company that was unable to show any research.

As also remarked, Sinn Fein’s often boasted politician’s salary at the industrial wage includes industrial scale expenses.  Widespread cynicism exists in ‘republican’ areas at the rise to riches of leading figures identified with the movement.

The much vaunted financial deal that saved the Stormont administration, before the latest crisis, was hailed for delivering an extra £2 billion to the Northern Ireland budget, except that it didn’t.  Only a third of it could be called new, which spread over 10 years is less than a third of 1% of what is spent each year.

The rest is loans or ‘flexibility’, which means that money that is for capital investment can be incurred on day-to-day expenditure.  You don’t have to be an accountant to realise that relying on loans and investment funds to pay for on-going expenses is not sustainable.  Further expenditure is allowed if funded by asset sales, which again is not sustainable, and raises a green light for privatisation.

Such privatisation would leave the lefty credentials of Sinn Fein wearing even thinner.

Not all the capital money will be spent on recurring expenses.  £700m can be spent (in fact must be spent or it won’t be spent at all) on paying off around 20,000 public sector employees through a voluntary exit scheme.  This is a major plank in the opposition of the trade unions but it is not clear that many workers themselves will not take the money and run.  Unfortunately the old union maxim that the job is not yours to sell is long forgotten.  It is obviously completely unknown to Sinn Fein who talk of losing only ‘posts’ as if this is not what is actually wrong about what they are doing.

It is claimed that there will be no compulsory redundancies but the NIPSA trade union has drawn attention to advanced plans to cut 50 jobs, or over half the workforce, from the Northern Ireland Association for the Care and Resettlement of Offenders (NIACRO).  As NIPSA points out, when NIACRO works with prisoners on release reoffending rates drop from over 50% to less than 25%. This has all the hallmarks of the stupid and counter-productive cuts often condemned by Sinn Fein.

The claim to be protecting the vulnerable now doesn’t look so strong.

An amount of £350m will go to capital investment in integrated education, which at least sounds progressive until it’s understood that this doesn’t involve Catholic and Protestant children being educated in the one classroom but actually often means two sectarian-denominated schools being put on the one campus.  The move towards a shared campus simply reflects the fact that sectarianism is becoming expensive.

Rather than signalling the end of sectarian schooling it shows the lengths that will be gone to in order to preserve this apartheid system.  But the sectarian education system also has the support of Sinn Fein.  It would appear that apartheid can be supported in this case if the justification  given for the original South African variety – separate but EQUAL – can be adhered to.

This isn’t even progressive never mind left wing or socialist.

That the new deal means no rejection of the previous imposition of reactionary Tory-Lib Dem policy is shown by the fact that the fines of £114m that had to be paid for not implementing the welfare cuts in 2014-2005 must be paid now, and the £100m loan required to balance the books in the same year must also be paid.

Last but not least the new financial arrangement allows the local administration to lower corporation tax, once again supported by Sinn Fein.  Their thread bare justification for this is the harmonisation of an all-island economy.  In fact, along with many republicans’ support for Scottish independence, it involves mutual competition of small states in a race to put more money into the fat pockets of mainly US multinationals.  Were the policy to succeed the London Treasury has stated clearly that the Stormont regime will have to pay it for its losses.

All of this passes Sinn Fein by.  It clings to its claims to be anti-austerity purely on its partial opposition to cuts in welfare benefits.  Its populist politics is revealed by its approach that workers are victims and its most vulnerable members should be given some form of protection by a benevolent state.

The effect of privileging one section of the working class above another is always to undermine and weaken its potential political unity.  In this case the potential unity of the working population and those on benefits, who are always the subjects of divisive attack by right wing forces.   By limiting its proclaimed anti-austerity agenda to support to some on benefits it plays into the divisive claims of these right wing forces.  Sinn Fein appears happy to see austerity delivered to those in work while proclaiming great concern for those who are unable to or cannot work.

The interests of the working class as a class and as a political force independent and opposed to the state are alien ideas to a purely nationalist movement.

Unfortunately it is also alien to the leaders of Ireland’s trade unions and their new proclaimed support for Sinn Fein is proof of this.  At the Sinn Fein Ard Fheis – that is even before Sinn Fein’s renewed expressions of concern for welfare claimants – the Irish Congress of Trades Unions President, Jack Douglas, extolled Sinn Fein’s adherence to the union cause.  That is after the austerity budget the Northern unions were calling a strike against!  A week or so earlier the leader of Ireland’s biggest union SIPTU, Jack O’Connor, hailed Sinn Fein as a potential partner of the Labour Party in Government. The same Labour Party that has been implementing the Troika austerity agenda it was elected promising to oppose.

The performance of Sinn Fein in office in the North is a stark warning of its future role in the South but the record of Sinn Fein in the South is ample demonstration itself.  It was Sinn Fein who voted for the bank bailout that made the debts of the speculators the millstone round the neck of the workers.  Its ‘leading role’ in the resistance to austerity today is to identify itself with the campaign against water charges while seeking electoral advantage from it.  Beyond seeking votes from the campaign it has no strategy to make the campaign a success.

A couple of weeks ago an economist from Goldman Sachs claimed that the biggest threat to the Irish economy was that Sinn Fein would keep its promises on its opposition to austerity.  He needn’t have worried.

I remember around twenty years ago attending a meeting in Conway Mill on the Falls Road during which time Sinn Fein was trying to get into talks with the Unionists, who were refusing to engage. I asked Gerry Adams what he expected to achieve from such negotiations when the Unionists wouldn’t even talk to him.  A United Ireland he said.

Well we all know how that worked out.

Workers strike against austerity in the North of Ireland

Posted on by
2

20150313_130323-1Tens of thousands of workers went on strike across the North of Ireland on March 13 in protest against cuts in jobs and services implemented by the devolved administration in Stormont.  The local administration is imposing the austerity agenda dictated by the Tory-Lib Dem coalition in London.  The strike was particularly successful because transport workers, including on the buses and trains, took part as well as those in the civil service, health and education.

Observance of the strike was good and pickets and rallies had respectable turnouts.  Workers have suffered a long period of declining living standards and are clearly willing to declare their opposition.  It would be a mistake however to exaggerate the stage we are at in the development of this struggle.  A glance at the numbers voting for strike action in a couple of the biggest unions involved shows the distance yet to go to build a strong and active movement.

In the trade union NIPSA, covering staff in Government departments and other bodies as well as admin and clerical staff in the health service, 52.9% or 4,201 voted for strike action in the civil service side out of a membership of around 20,600, with the health service side having an even lower turnout.  Not all of the membership was called upon to strike but the vast majority of members were affected.  In UNISON, with a membership mainly in the health service and some in education ,3,181 voted for strike action in a membership of around 40,000, again not all of whom would have been called upon to vote but a majority of whom would have been affected.  The strike had sympathy among the wider population but this finds no expression in organisation.

Many on the left have demanded another strike and have claimed that the recent ostensible U-turn by Sinn Fein on welfare cuts is a result of the strike.  However this would be to take the Sinn Fein position at face value, or rather take them at their word, and exaggerates the effect of the strike.  While it focused opposition to austerity, and can lay the grounds for a deeper campaign against it, the actions of Sinn Fein are not so much a reaction to the strike but the wider feeling of opposition to cuts.

The strategy of the trade union leaders is to lobby and put pressure on local political parties so that if the next Westminster election results in a hung parliament local politicians can demand and negotiate an end to, or at least an amelioration of, austerity imposed in the Northern Ireland.  It therefore takes as given the continued position of these parties and resists any project of setting up a political rival.  This is on the basis that to do so would inevitably require a position to be taken on the constitutional position of the Northern State.

Such a party would inevitably have Keynesian policies of greater state activity in taxing and spending.  In other words salvation would be presented as arriving from the state, so the programme of any such labour or workers’ party would very quickly run up against this challenge.  No autonomous development of the party would be possible.  It is now some years since a labourist project was attempted and the last one that set up the current political arrangements was an embarrassing failure.

The strike was however noteworthy because it was carried out explicitly against the policies of the local Stormont Executive, the centre piece of the peace process and the ‘new’ political settlement.  It also took place against the background of another ‘crisis’ in the process, with the whole financial arrangements of the local administration thrown into doubt by a late Sinn Fein withdrawal of support for the budget because the deal to preserve it did not fully cover the cuts in welfare that were to mirror ‘reforms’ in Britain.

Sinn Fein therefore paraded its anti-austerity credentials, which the media took to be another late intervention by Gerry Adams to shore up the anti-austerity stance of the party in the South of Ireland.  Sinn Fein faces a general election in the South within the year.  The party is riding high in the polls on the basis of this perceived position and it would not look good if it were seen to be implementing austerity in the North while claiming to oppose it in the South.   Sinn Fein therefore ‘supported’ the strike even if the strike was clearly against the budget it had just approved as a major part of the local administration.

This support was invisible in the well-attended rally in Belfast city centre on 13th and is based on the party once again talking out of both sides of its mouth.  A long established practice.

This most recently saw an outing through Sinn Fein’s vocal support for the Catholic teacher training college St Mary’s, which was threatened with cuts by the local administration.  The cuts were proposed by the Alliance Party Minister responsible who was simply implementing the reduced budget given to him by Sinn Fein and its Democratic Unionist Party partners.  The sectarian aspect of this support was lost on no one as similar cuts were to be made to the ‘Protestant’ teacher training college at Stranmillis.  In the end the two biggest sectarian parties – Sinn Fein and the DUP – got together to overrule the Alliance Party Minister.

The last minute opposition to the welfare arrangements therefore doesn’t inspire the view that Sinn Fein are a principled opponent of austerity but rather smack of an opportunist change of tack.  At their Ard Fheis in Derry the weekend before they dropped their bombshell the leader of Sinn Fein in Stormont, Martin McGuinness , was proclaiming great satisfaction with the deal and congratulating the party on how well it had done in the re-negotiated financial settlement with the British Government.

At the very best their new found concern means that they hadn’t done their sums right or had been rather easily hoodwinked by the DUP; or perhaps that they had re-evaluated the calculus of staying with the welfare cuts programme as it was going to develop – thus facing the flak when it was put into practice – as against provoking another ‘crisis’ and the fall-out that would then ensue.

That this was all a bit last-minute became clear from the Sinn Fein media performances to explain its change of approach.  One prominent spokesperson on local radio refused to say it was a question of money when it could hardly be anything else; then it was claimed that it would cost over £280m to put right before this became translated into a round figure of £200m when the round figure it would appear closest to would be £300m.  Unionist claims that it was clear in the deal that not all the benefit cuts would be covered by mitigation measures in the budget, and would not be permanent for new claimants, seemed more convincing.

Nevertheless, the row over the extent of the funds to cover cuts in welfare matters to those welfare recipients affected who are indeed, as Sinn Fein says, some of the most vulnerable. It doesn’t in the least affect the fraudulent nature of Sinn Fein’s anti-austerity posturing.

To be continued

Syriza and Ireland

Posted on by
1

syrizaimagesThis Sunday the Greek people will go to the polls in an election that could see the beginning of the end of austerity in Europe.  That anyway is the view of some on the left across Europe.

The potential election of a Coalition of the Radical Left (Syriza) Government, promising a radical reduction in the debt burden, has the potential to galvanise and set an example to the rest of the PIIGS.  It could incite a combined movement in Portugal, Ireland, Italy, Greece and Spain that would reduce the debt of these countries which has been a prime driver of austerity.  Through radically reducing the requirement to service and pay down enormous debts such a step could launch a definitive movement away from neoliberalism towards a radically different Keynesian social democratic alternative.

The elections in Greece will be followed this year by elections in Spain, in which a like-minded Podemos movement has grown, and in Portugal, and may also be joined by an election in Ireland despite the claims of the current Government that it will run in office until 2016.  Of the five PIIGS therefore at least three and possibly four may see elections this year.  Even elections in Britain could see the ousting of the Tory devotees of austerity and neoliberalism.  In fact the policy that might inspire the PIIGS is not confined to them but might apply right across Europe.  And Syriza is in the vanguard of this movement.

Is such a scenario a real possibility?

Let us notice what makes such a claim plausible.

Firstly the proposals of Syriza are not solely on behalf of the Greek people although as a Government it will be able to negotiate only on their behalf.  Syriza proposes a European Debt Conference modelled, with delicious irony, on effective debt forgiveness of (West) Germany in 1952.  This was carried out explicitly in order, or so it was claimed, to normalise relations between Germany and its creditors and to promote economic development.   That deal wrote off half of the debt, stretched repayment of the rest and for the first few years provided only for payment of interest, which was also limited.

Syriza proposals are more limited. Their policy could be based on an academic paper which proposes that half of the debt would be bought up by the European Central Bank (ECB) with either an interest holiday or interest charged on the remaining debt at a low rate.  The debt taken on by the ECB would not be written off but would be paid back only when the remaining debt left to the country had been reduced to 20 per cent of Gross Domestic Product (GDP).  In effect economic growth and inflation will have eroded the real value and real impact of debt repayment.

However in one very important sense the proposals are much more radical than the German precedent, because the Syriza proposal is that this plan applies to every country in the Eurozone with debt over 50 per cent of GDP (all but three countries).  The Irish state for example would see its debt reduced from 108 per cent of GDP to 50 per cent, saving €3.7 billion each year in interest payments, so reducing the need for cuts or tax rises and facilitating greater state spending and investment.[i]

It has been estimated that this would reduce sovereign debt in the Eurozone area by about €4.5 trillion.  It is asserted that this would not risk inflation because the ECB debt purchases would be funded by massive borrowing from private banks.  There would be no money printing since the money is borrowed.  And sure why worry about inflation when deflation is so clearly the enemy?  And who pays the interest on these loans?

Well, it is recognised that there will be losses in paying back the private banks, between €50bn – €60bn in each of the first 5 years, and €1trilion over 40 years, but it is argued that the borrowing costs of the ECB would be low and that renewed economic growth would compensate.  It would be cheaper than the current policy of austerity and expansion of the ECB balance sheet required to bail out the banks.

It is recognised that this may not be enough in the short term for some countries so that, for example, in order to prevent continued austerity in Greece the ECB would have to take over the debt that would be required to be issued in the next five years.  This would also be required because over 50% of outstanding debt has to be paid back within the next 5 years in Italy, Spain, France, Holland and Belgium and to cover this new debts would have to be taken on.

For Marxists the point is not that some monetary scheme has been devised that will solve capitalisms’ problems.  Nor is it the point that Syriza will go into negotiations and cannot expect, as in all negotiations, to get its original plan agreed, even discounting some conscious intention to betray the hopes of its supporters in order to accept the logic of capitalism.

The significance of the proposals is that it provides a concrete platform around which workers across Europe can organise and struggle together, and a series of elections that can be a focus for such struggle.  This is not to invest illusions in either elections or Syriza, who are condemned by some for having shifted from a policy of debt repudiation to one of simply extending repayment under more favourable terms.   If a practice of simply condemning the limitations of reformist politics were the answer we would no longer have the problem.

The Syriza programme is one that workers and socialists can support because it reduces the burdens they face and would deal a big political and ideological blow to austerity and the parties who have peddled it.  It would deal a real blow to reactionary political parties seeking nationalist or fascist solutions.  Through a successful campaign workers could gain strength and confidence to build up their organisations, their own social and political power and their own confidence and class consciousness.  The latter is the role that Marxists can play by advancing a programme that does all these things.

The victory of Syriza would allow an opportunity to directly organise workers on an international programme on an international basis.  It is remarkable that this significance has been somewhat missed.  So, for example, the call promoted by the Fourth International correctly argues that “their victory will be ours, but their defeat too” but appears to fail to appreciate that this can be so because other European workers will not just be in solidarity with Greek workers but can actually be part of the same struggle, demanding the same deal for their country, so that “our victory will be ours and our defeat will be ours too.”

This is made tactically easier by Syriza not proposing either to leave the Euro or leave the EU.  There can be no pretext that the demands of Syriza can be dismissed because they no longer want to belong to the club.

These policies have been condemned as examples of betrayal of earlier more radical promise but they are not just tactically recommended.  As argued before in the various posts on ‘The Left Against Europe’, the growing unity of capitalism provides the material basis for the international unity of the working class.  This is why a united international struggle against austerity is more immediately and concretely possible in the Eurozone than one against similar policies pursued more or less independently by separate capitalist states each with their own currency.

So to return to our question – is such a scenario possible?

It is possible to argue that it is, for the simple reason that the Greek debt is too big to be paid back anyway.  Some means of addressing it is required and the Syriza route is eminently preferable for workers than the slow death march of austerity and repeated minor debt ‘haircut’ so far embarked upon.

The second is that by the very fact that the Syriza plan is reformist there is no necessity for a life and death struggle by the forces of capitalism to defeat it.  The Syriza plans do not call the system into question, which both sets limits to what it can achieve but also provides scope for negotiations between a Syriza Government (and other PIIIGS Governments should they be elected or so inclined) and the IMF/ECB /EU/German State alliance.

The rallying of the Greek workers behind Syriza is one of many proofs that a revolutionary overthrow of Greek capitalism is not currently on the cards and is not therefore a realistic immediate alternative.  The revolutionary alternative today consists of preparing for such an eventuality tomorrow.

Not by either passively or even ‘aggressively’ preparing for socialist revolution but by the cumulative development of the power of the working class suggested above, with the certain knowledge that a revolutionary break with the capitalist state and system will be required.

To condemn Syriza for negotiating with capitalism when it cannot be overthrown is a bit like condemning trade unions for negotiating a pay award when they should be overthrowing the wages system.

The third has been pointed out here – Syriza will be damned if it does not get some sort of result and the executor of that judgement may be the fascists of New Dawn.  It is not only Syriza who has an interest in ensuring this doesn’t happen.

‘Ireland is not Greece’ we have been told repeatedly over the past five years or so.  If Syriza is anyway half successful Ireland will look pretty stupid if it isn’t.

[i] It is interesting that the authors go beyond the argument that this is some sort of socialism saying that “The left ought to be strategically against privatizations, having at the same time as an ultimate target the gradual historical replacement of “state control” by democratic forms of social control (unfortunately this type of discussion has not been adequately developed within the left).”

The next step in the campaign against water charges?

Posted on by
3

Screen Shot 2014-12-10 at 01.50.42_0The Right2Water Campaign posted a message at the very end of 2014 setting out the tasks for 2015:

“So where to now? If we are to elect people who enact the laws we, the people, need in the next election to continue to unite on what we agree on and not sow division and discord over tactical approaches as some are currently endeavouring to do. We need to grow and develop the unity that has rocked the establishment and the media – not splinter in 100 different directions as Irish people have (to their great cost) many times before thereby allowing an elitist minority to reap and sow at great cost to the common good. It’s been the way of it for much too much of our history. Can we unite and through solidarity fundamentally change how our water, our housing, our jobs, our education and our health services are paid for and delivered in all our interests?”

The statement, and let’s leave aside the exact status of it for the moment, has been criticised on the Revolutionary Programme blog.  The criticism of ‘electoralism’ is correct in my view but the first problem is not the desire to somehow, in some way, at some time, lever the people mobilised by the campaign into support for some electoral initiatives, alliances or whatever.

There will be elections at some point not too far away and those opposed to water charges and austerity in general would be remiss in not seeking to utilise them to advance their struggle. Of course critics will claim, with previous ‘form’ for justifying such claims, that elections are typically used not to advance the struggle but the struggle used to advance elections.

For Marxists like the Revolutionary Programme blogger and myself the road to change, even for any significant reforms, never mind revolutionary change, will come primarily  from the actions of working people themselves and not from legislators “that enact laws that are wanted and needed by the people they are elected to represent, not Corporations and their cronies.”

Our view comes from our understanding of how the state works and how the nature of the state is such that it cannot fundamentally change society or challenge the priorities set by the corporations and their cronies.  This is because power and resources are distributed and reproduced by an economic system over which the Dail has little, and certainly no fundamental, control.  In Ireland this is much more obvious since the most dynamic sector of the economy is that controlled by US multinationals and Irish people are used to accepting that neither they nor their legislators control these multinationals.

To fundamentally challenge the priorities of the capitalist economy would mean either putting the system in crisis or compelling more radical transformation to a new system.  It stands to reason that if people are put before profit in a system that puts profit before people that the system will start to malfunction or at the very least not function as well – through capitalists taking their money out of the country, failing to invest or simply stirring up political opposition to change.  Alternatively, a completely new system requires something much more fundamental than changing the 166 people sitting in the chamber of the Dail.

This doesn’t mean nothing can be done short of some revolutionary change but it does mean that certain limits are put on such change; the fundamental driver for it will exist outside the Dail; such change can only be temporary if more fundamental change is not made and essential change requires action by the working class itself and not by people elected by it to do it on their behalf.

At the very least those advocating the election of those who will “enact the laws we, the people, need” are required to explain what will be done, who will do it and how it will be done.

If this really is the way forward there can be no objection to debating it.  If Marxists lose the debate and such a reformist road is carried then that will be accepted because it is only by changing workers’ minds that the Marxist alternative can come alive anyway.  Marxists are not opposed to reforms, we are in favour of them, strongly in favour of them, especially when they are posed as a real alternative not to revolution but to no change at all.

What’s more we do not believe that no reforms are possible, just that they will be contested, limited and will not conflict fundamentally with putting profit before people.

What Marxists might really object to now is that such top-down politics is often advanced in a top-down way by those most loudly proclaiming their bottom-up politics.

In Britain a working class party, at least in terms of support, exists in the form of the Labour Party through which the struggle to advance such reforms can be made.  In Ireland the Irish Labour Party excites the hopes of a smaller or larger minority of workers at various times, only for it to betray those hopes.  But it does not retain workers’ allegiance so that some continuing struggle within it can form the basis of advancing Irish workers political consciousness and organisation.

So no obvious candidate for the party needed to fulfil the perspectives of the Right2Water Campaign’s authors exists.  For many people newly drawn into political activity against the water charges this will be an obvious difficulty.  But it is not the most immediate.

The most immediate is the fact that what exists is a campaign against water charges that has no structure, or rather no democratic structure, so that it cannot decide whether any of the ideas put forward in the statement should be supported, because ‘it’ – a campaign – does not exist in any sort of form that could make a decision.  Nor is there any proposal in the statement to bring one into existence through, for example, a national conference and a democratically elected leadership accountable at all times to campaign supporters.

In a previous post I noted that it would be necessary to develop the scope and demands of the campaign but that this would need to be prepared.  Such preparation involves creating arrangements that allow people to discuss what they think collectively, whether they think the campaign should adopt additional objectives to that of opposing charges, and whether certain tactics should be promoted or not.  Even the statement leaves open the reality that the charges still exist, have not been killed off, and have a zombie-like existence – being half-dead and half-alive.  We have all seen enough zombie movies to know they keep on coming back to life to bite us.

Finally, but perhaps firstly, those involved in the campaign could hardly do better than follow the advice, once given by Tony Benn, and ask five questions of the campaign leaders: “what power do you have; where did you get it; in whose interests do you exercise it; to whom are you accountable; and, how can we get rid of you? Anyone who cannot answer the last of those questions does not live in a democratic system.”

This is all very simple.  If someone thinks the campaign should support certain candidates in an upcoming election they must be able to answer these questions when anyone in the campaign asks them.