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LENIN’S TOMB: The going rate of exploitation

Posted by Graham on July 4th, 2008

–Our provincial government likes to point to Ireland as an example that we should pursue (not around zero tuition fees but around taxation). Have a read of this:

“…(A) little beauty from the Irish Times. It tells us that the average Irish worker produces 48,500 euros of profit per year for the owners. These figures were produced by the Unite union to disprove the idea that profits for Irish capitalists are somehow ‘too low’ or being squeezed by unjustifiably higher wages. Actually, it suggests an extraordinary rate of exploitation. According to the Industrial Development Agency [pdf], the average wage in Ireland was 627.24 euros per week in 2007, which is just over 32,000 euros per year. This figure is offered by the IDA as an instance of how competitive the Irish labour market is for foreign direct investors. It boasts of a skilled, educated labour force capable of the production of a great deal of value at lower cost than German or Dutch workers (but, interestingly, a bit more expensive than the average UK worker). According to Unite: “In total terms, profits in the sector increased by over €5.6 billion in the five-year period [2000 - 2005], while total wages – despite a substantial increase in employees [over 50,000] rose by well under half”. Some industrial sectors experienced a rate of profit as high as 40%, which is well above average, comparable to the UK Continental Shelf (north sea oil) in recent years.”

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