Michael O'Leary: I'd cut 20 billion

zootroid

Two of Ireland's most successful businessmen reckon that the Government could benefit from listening to the views of entrepreneurs in formulating next month's Budget.

As the Budget looms, Ryanair chief executive Michael O'Leary called on the Government to take "tough decisions" now to rescue the economy.

He said: "I have no confidence in this government. I think they are utterly useless. All they've done since the McCarthy report was published six months ago is talk about taking tough decisions in December. It's like breathing. You don't need to talk about tough decisions. Take tough decisions. You're a government, for Christ's sake, you're elected to lead. And what did they do? They fecked off on three months' holidays while this country borrows €500m a week."

Commenting on Finance Minister Brian Lenihan's much-discussed pledge to deliver cuts of €4bn in the Budget, Mr O'Leary said: "I've been asked if I were Minister for Finance, what I would do to reduce costs by €4bn. I wouldn't reduce them by €4bn. I'd reduce them by €20bn in one year. I would eliminate 20 per cent of the civil service by simple means of requiring them all to work a minimum of 40 hours a week from Monday to Friday, and take 20 days' holidays a year like everybody else in the bloody real world. And if you don't like it, leave."

Referring to the obstacles his own company faces in doing business in Ireland, the Ryanair boss added: "What mystifies me is the Government falls all over itself trying to attract the world's biggest companies to invest in this country. You have the world's biggest airline resident in this country, willing to invest in this country in an industry which, despite the recession, you can turn on growth straightaway: tourism, hotels, bars, restaurants, the works. We've been doing business here since 1986 and yet the Government has followed only two policies. One: pissing us off; and two: promoting and protecting what is clearly an incompetent monopoly at Dublin Airport."

Millionaire founder of Baltimore Technologies and former FAI chief executive Fran Rooney for his part believes that entrepreneurs will be the ones to lead Ireland out of the recession, with manufactured export-led growth being the key driver.

"Private enterprise is going to drive us out of this recession. How are we going to be successful driving this forward? The most essential statistic will be the increase in exports in the next number of years. We've got to create an environment where we have manufactured exports.

"That can only be created by entrepreneurs.

"Where the Government can help is in providing the stimulus for that. There's no point in creating jobs where we're just moving the money around. We've got to bring money in from overseas either through investment to create exports, or through exports themselves. Without that, there isn't going to be an improvement in this economy. We'll just be borrowing, taking money in from banks that has to be repaid," he said.

Mr Rooney says the Government must introduce imaginative policies to encourage people as the recession bites more heavily.

"We have a lot of people unemployed, and we're paying for those people to be unemployed, essentially. One very simple stimulus would be to pay companies to take them on board. We'd get two things out of that. We would take people off the live register and we'd also be putting them back into employment which will help to stimulate the economy," he said.

"Another great stimulus would be to match investment by private individuals.

"There was a lot of money spent on land.

"Now where did that money go? Unless it was spent again on other development land or outside the country, it's still in the country sitting in people's bank accounts.

"You're talking about a very aggressively sexed-up business expansion plan over one or two years where you're going to get a return of 'x' percent that will be matched by the Government or assisted by them.

"You would have the choice at the end of the term of leaving it in as equity, or taking it back at a premium," he added.

http://www.independent.ie/business/irish/oleary-83644bn-of-cutbacks-id-cut-836420bn-in-a-year-1950734.html

ei.sdraob

I would eliminate 20 per cent of the civil service by simple means of requiring them all to work a minimum of 40 hours a week from Monday to Friday, and take 20 days' holidays a year like everybody else in the bloody real world.

ouch

nail meet hammer

whatnext

ei.sdraob wrote: »

ouch

nail meet hammer

The thought of a 40 hour week and only 20 days leave would probably kill 20% of them before you got to implement it. Take away paid sick leave and the problem is sorted.

Genius

DeVore

The one point I would make which is very telling is that while some PS workers might die of shock at the idea of a 40-hour week, the frontline medical staff like junior doctors and nurses would be jumping for joy.

Other then that, yeah... nail on head.

DeV.

am i bovvered

DeVore wrote: »

The one point I would make which is very telling is that while some PS workers might die of shock at the idea of a 40-hour week, the frontline medical staff like junior doctors and nurses would be jumping for joy.

Other then that, yeah... nail on head.

DeV.

This point is getting very tiresome..... not one person I know in the private sector has a problem with frontline medical staff.
Everyone including them frontline staff know that the problem is the middle to upper management level, in most of the public sector, its time to stop all the bullsh*t debates we are all sick and tired of, the government and unions have a lot to answer for.

ntlbell

am i bovvered wrote: »

This point is getting very tiresome..... not one person I know in the private sector has a problem with frontline medical staff.
Everyone including them frontline staff know that the problem is the middle to upper management level, in most of the public sector, its time to stop all the bullsh*t debates we are all sick and tired of, the government and unions have a lot to answer for.

?

I think Devore was suggesting that front line staff would be over the moon if they only had to work 40 hours as they're usually worked to the bone.

I don't think Dev or o learly were having a go, seems like o leary was reffering to our over paid underworked educational staff

Zynks

I'd reduce them by €20bn in one year. I would eliminate 20 per cent of the civil service

Is the PS wage bill €100 billion? Not being smart, I just never saw a figure on the wages.

old boy

well he also rubbed sandpaper across the goverments ass, everyone knows of the changes required, everyone knows the political will is not there, also everyone knows the rain falls on the just and the unjust, also the farther schit falls the smellier it gets, in plain language the people in the bottom of each group will get hurt the most. one simple queston for each of you, how may politicians have taken a hit, either volentery or involentery, q.e.d.

zootroid

Zynks wrote: »

Is the PS wage bill €100 billion? Not being smart, I just never saw a figure on the wages.

I don't think he's meaning to be taken literally, it's just a rant about the public sector in the country as well as the government. He sees a huge amount of waste that needs to be tackled.

If the stories about short working weeks and a large number of holidays are true, then he's quite right to have a go.

doc_17

Zynks wrote: »

Is the PS wage bill €100 billion? Not being smart, I just never saw a figure on the wages.

I think that figure is the public sector pension liability going into the future. the PS wage bill is 20billion

erictheviking

:D:D Yeah right! Like O'Leary gives a **** about the people of Ireland. If he did he wouldn't have got rid of the Irish in Ryanair and replaced them with Eastern European cheap labour.
To people like O'Leary €€€€ >>> Irish people & Ireland

zootroid

erictheviking wrote: »

:D:D Yeah right! Like O'Leary gives a **** about the people of Ireland. If he did he wouldn't have got rid of the Irish in Ryanair and replaced them with Eastern European cheap labour.
To people like O'Leary €€€€ >>> Irish people & Ireland

I'd say he cares as much as any other citizen, and wants to see Ireland do well. But when it comes to Ryanair, the only interests he serves is that of the shareholders, and there's nothing wrong with that.

Paulzx

Its very easy saying you would save 20 billion when you know you will never have to. Sure why doesn't he say he would save 100 billion and the country would be on the pigs back:rolleyes:

_Kooli_

Michael O'Leary.
Great man for cutting costs to put money in his pocket.

Next you'll be having to pay for web checkin into A&E while you wait. And if you happen to be stuck in hospital you can starve or pay €100 for dinner.

Or what about if your house is on fire. Ryanfire will put out the fire for you €10k a room. How many rooms would you like.

Or teaching your kids. Ryanteach will teach your kids. You have to pay €25 extra for a desk and €10 for a seat. If you want a teacher for any special needs, that will cost you more too.

So as long as you dont have an accident, a fire, a flood or need kids taught, he's yer man. He'll save you a fortune. Anyone else, start saving for your new life.

Zynks

doc_17 wrote: »

I think that figure is the public sector pension liability going into the future. the PS wage bill is 20billion

Based on that figure, the scary part is that if they fired the entire public service, that still wouldn't cover the deficit :eek:

That can't be right, can it?

hinault

Zynks wrote: »

Based on that figure, the scary part is that if they fired the entire public service, that still wouldn't cover the deficit :eek:

That can't be right, can it?

Good point

erictheviking

_Kooli_ wrote: »

Michael O'Leary.
Great man for cutting costs to put money in his pocket.

Next you'll be having to pay for web checkin into A&E while you wait. And if you happen to be stuck in hospital you can starve or pay €100 for dinner.

Or what about if your house is on fire. Ryanfire will put out the fire for you €10k a room. How many rooms would you like.

Or teaching your kids. Ryanteach will teach your kids. You have to pay €25 extra for a desk and €10 for a seat. If you want a teacher for any special needs, that will cost you more too.

So as long as you dont have an accident, a fire, a flood or need kids taught, he's yer man. He'll save you a fortune. Anyone else, start saving for your new life.

That about sums him up!:D.....The working mans hero....NOT!

thebman

erictheviking wrote: »

:D:D Yeah right! Like O'Leary gives a **** about the people of Ireland. If he did he wouldn't have got rid of the Irish in Ryanair and replaced them with Eastern European cheap labour.
To people like O'Leary €€€€ >>> Irish people & Ireland

There are Irish people working in Ryanair, they also have people working in other countries.

At the end of the day its an airline, if they only did business with Irish people, they wouldn't get very far.

Dannyboy83

Zynks wrote: »

Based on that figure, the scary part is that if they fired the entire public service, that still wouldn't cover the deficit :eek:

That can't be right, can it?

http://www.rte.ie/business/2009/0716/spending.html
PS bill is €19.8 billion (35% & falling)
Social Welfare is €21.3 billion (37% & growing)
Other programmes €15.8 billion (25%)
==
Total: €57 billion
Exchequer at €30 odd billion (& recessing)

Reduce the first 2 by 50% and you'd cover most of the debt.
It can't be done by cuts alone tho, the economy also needs to grow.

pipelaser

erictheviking wrote: »

:D:D Yeah right! Like O'Leary gives a **** about the people of Ireland. If he did he wouldn't have got rid of the Irish in Ryanair and replaced them with Eastern European cheap labour.
To people like O'Leary €€€€ >>> Irish people & Ireland

What a comment! Its not as if hes banned Irish workers, the eastern europeans are just more willing to work under the conditions, although.... in general their customer service is shocking!

sold

I work 42.5 hour week, so I have no problem dropping to 40 hours! ;-)

Princess Consuela Bananahammock

pipelaser wrote: »

What a comment! Its not as if hes banned Irish workers, the eastern europeans are just more willing to work under the conditions, although.... in general their customer service is shocking!

If he were in power, we'd all be his 'customers' has has been pointed out.

musiknonstop

If you don't like the way Ryanair does business you can choose another airline. We are not so fortunate with the public service. And I'm fairly sure the staff were Irish on the last Ryanair flight I was on.

drkpower

DeVore wrote: »

The one point I would make which is very telling is that while some PS workers might die of shock at the idea of a 40-hour week, the frontline medical staff like junior doctors and nurses would be jumping for joy.

Other then that, yeah... nail on head.

DeV.

Not the nurses; most are on a standard 39 hour week (possibly less) with very structured and protected breaks.

ei.sdraob

DeVore wrote: »

The one point I would make which is very telling is that while some PS workers might die of shock at the idea of a 40-hour week, the frontline medical staff like junior doctors and nurses would be jumping for joy.

Other then that, yeah... nail on head.

DeV.

isnt there some EU directive ensuring new doctors dont work too much?

Poccington

whatnext wrote: »

The thought of a 40 hour week and only 20 days leave would probably kill 20% of them before you got to implement it. Take away paid sick leave and the problem is sorted.

Genius

I had worked 48 hours by Thursday morning this week.

Bring on a 40 hour week.

mrgaa1

In principle what they are saying is right. No point cutting 4 billion this year - waste of time. A severe cut needs to be done. 10-15-20billion now and stimulate the economy.
But that would take initiative and that aint going to happen. Take the pain now and make it short and sharp.

am i bovvered

DeVore wrote: »

The one point I would make which is very telling is that while some PS workers might die of shock at the idea of a 40-hour week, the frontline medical staff like junior doctors and nurses would be jumping for joy.

Other then that, yeah... nail on head.

DeV.

am i bovvered.....This point is getting very tiresome..... not one person I know in the private sector has a problem with frontline medical staff.
Everyone including them frontline staff know that the problem is the middle to upper management level, in most of the public sector, its time to stop all the bullsh*t debates we are all sick and tired of, the government and unions have a lot to answer for.

ntlbell.....

?
I think Devore was suggesting that front line staff would be over the moon if they only had to work 40 hours as they're usually worked to the bone.

I realise that, the point was that nobody has any problem with the frontline HSE workers, but everytime there is a discussion on cutting pay, they are brought up time and time again as a reason not to tackle the inefficiencies in the public service.

MG

Zynks wrote: »

Is the PS wage bill €100 billion? Not being smart, I just never saw a figure on the wages.

The OP quote is from the Indo and is confusing because it's badly edited (the article, not the OP)

A fuller test is here from the Tribune....http://www.tribune.ie/news/article/2009/nov/22/fantasy-finance/

I would require all public-sector employees (including the Dáil and Seanad) to work a minimum 40 hour week, with a maximum of 20 days annual leave. No public-sector basic pay would be cut, but all other allowances would be withdrawn. Public-sector pensions would all become defined contribution from 1 January 2010 as well. Any public-sector employee who doesn't like it, could resign, effective from 1 January and get a job in the private sector instead, where all of these terms are standard. Since this would improve productivity in the public sector by at least 20%, every fifth public servant would be made redundant and this would save €5bn

Fix Irl inc

No one has any problem with frontline staff - however if they keep allowing themselves to be used as muppets by middle / top management, I am afraid we will have to tar them all with the same brush. Why don't all the frontline staff continue and let the middle management and top management go on strike - will anyone notice ?? We may even get a better service without all their interfeerances about who is allowed to change a lightbulb etc

_Kooli_

mrgaa1 wrote: »

In principle what they are saying is right. No point cutting 4 billion this year - waste of time. A severe cut needs to be done. 10-15-20billion now and stimulate the economy.
But that would take initiative and that aint going to happen. Take the pain now and make it short and sharp.

10% levy on the entire population. Including those on the dole and multi millionaires.

Then fire 25% of the public sector and we'll just middle through without them.

That should do it. Proper pain for all. It will hurt for a while but we'll get used to it.