Reg Rumney
Labour leaders seem satisfied about the Budget deficit, the figure symbolic of “fiscal discipline”, according to a survey by the Community Agency for Social Enquiry of fifty-five union leaders.
This could signal that government leaders, principally Deputy Finance Minister Alec Erwin and Reconstruction and Development Programme Minister Jay Naidoo, have done a good job of selling the concept to union leaders.
The survey shows that many unionists are satisfied the deficit has been cut enough — and many think it could have been cut further.
Almost half of the union respondents thought more could have been done to cut the deficit, notably through reducing further the amount devoted to defence.
Otherwise, unionists were notably less positive about the Budget than business (47 percent as opposed to 73 percent for business).
Those in favour mentioned similar factors to business, such as responsible government and higher social spending.
Of those against, equal proportions mentioned unaddressed problems, inadequate commitment to the RDP and high defence spending.
Forty percent of unionists were in favour of increased Value Added Tax. This was less than the business respondents, 56 percent of whom were in favour — but not as big a difference as one would have supposed, given the vociferious union opposition to the introduction of VAT.
Those against were concerned that it would exacerbate the plight of the destitute. In this they largely agreed with black business people, far fewer of whom thought more emphasis on indirect tax was a good idea than whites.