On Sunday, public transport users are facing industrial action by hard-pressed Bus Éireann workers. As the Tánaiste knows, this action has arisen after 11 long months of deliberations, negotiations and protracted discussions between management, the Labour Court and workers. An impasse has now been reached. State subvention is down by about 15% of the company's turnover, cut dramatically under the Tánaiste's stewardship. It is the lowest level of subvention of any major national public bus company in Europe.

Workers should not be expected to subsidise the cut to the Bus Éireann subvention, and I and most people would have thought Labour in government would ensure this did not happen. The Tánaiste knows that strike action will cause considerable inconvenience to the travelling public who depend on Bus Éireann to get to work, to school and to college. The public is shocked at the apparent approval by the Minister of Bus Éireann's intention to unilaterally impose severe cuts in the pay and conditions of its workforce from Sunday next. Bus Éireann has outlined that it intends to target some €9 million of its €20 million savings target from the pay and conditions of its workforce. While Bus Éireann needs to make savings, the savings sought weigh far too heavily on the workers, who earn on average €33,000 a year. They have families and mortgages, and, like many in society, they are struggling. The Labour Court has stated that the very viability of the transport operator is under threat if something is not done, and that is accepted on this side of the House.

We know Fine Gael wants to privatise our public transport service, of which Bus Éireann is a constituent part. Where does the Labour Party stand on the privatisation of Bus Éireann?

What about Eircom and Aer Lingus?

It is estimated that approximately 114,000 secondary and college-going students will be affected if the dispute spreads to the school transport network. That should bring into stark focus for the Government the seriousness of this issue and demonstrates that action needs to be taken by the Government. Where do the Tánaiste and the Government stand on this issue? Does the Government have a strategy to ensure the public transport network will not let down those who cannot afford private transportation during this impasse? Does the Government intend to intervene between management and staff to try to avoid a strike in the first instance?

Bus Éireann is in a very difficult financial position. It has incurred accumulated losses of €27 million in the past five years, a position which is unsustainable and which places the viability of the company at risk.

Timmy was not looking after them well enough.

According to the Labour Court and the trade unions' own independent financial assessors, Bus Éireann is in a precarious financial situation with the very viability of the company under threat. According to the Labour Court, significant reductions in the company's cost base, including payroll costs, are essential to ensure its future and protect employment within the company. The issues involved have been the subject of deliberations for 11 months and have been the subject of a Labour Court adjudication. Following this adjudication, there was further engagement with the Labour Relations Commission.

The future of the company needs to be secured for the public who depend on its services and for the benefit of its employees. Bus Éireann runs commercial expressway services, which are currently loss-making, and, legally, the State cannot support these services. The viability of these services can only be secured if these savings are achieved. Bus Éireann has confirmed to the Minister, Deputy Varadkar, and the Minister of State, Deputy Kelly, that the company remains open to engaging with the unions. I very much hope the management and the unions use the period between now and Sunday to engage in further dialogue which can ensure the necessary savings are introduced and the provision of bus services for the public is protected.

I thank the Tánaiste. He has set out the company position. One would have thought the Labour Party in government would have looked at the workers' situation.

The Deputy has a brass neck.

It is all right to talk about the Labour Court and the Labour Relations Commission but, effectively, what is being unilaterally imposed on the workers, who are on an average of €33,000 a year, is a hit of €3,000. That is a phenomenal amount from the pay packets of these individuals and their families. It is not bonus pay. It is all right to talk about core pay, overtime, time and a half and all that goes with it. However, a €3,000 cut to the core pay of these individuals is not sustainable. Does the Tánaiste want to put more people into hock by saying "We have to protect the company"? He should go back and fight the case at Government for increased subvention, if the Labour Party believes in the public service obligation and in the principle of an appropriate transport network.

It is Fianna Fáil that put the country into hock.

They did it at Aer Lingus.

We know where Fine Gael stands. It looks after the people over €100,000.

We know where Fianna Fáil stands.

It is Fianna Fáil that ruined the country.

I would have thought the Labour Party in government would look after those on €30,000 a year but the Tánaiste seems to have just bought the company line, and he is prepared to come in here and trot it out, with no reference whatsoever to the workers.

I look across the line of Labour people here. Many of them have worked as trade union officials-----

Will the Deputy please put his question?

They have turned their back on the workers and on the trade union movement. It is a disgrace they are not prepared to fight for a greater level of investment for the company to ensure it can continue to provide a public transport service.

They put the country into hock.

Will the House settle down and listen to the reply?

This Government is committed to the public transport service.

Privatised or public.

Public. That is why we want to keep Bus Éireann in existence. Does the Deputy understand that?

I do, but who does the Tánaiste expect to drive the buses?

Deputy Dooley should come down off his soap box.

The viability of the company is at risk-----

What about the viability of the workers?

The Deputy should listen to the answer.

Deputy Dooley should fall off his soap box.

Will the Deputies quieten down? I would like to hear the answer as well as everybody else. We have just one minute for the reply.

The viability of Bus Éireann is at risk. It is losing money. It has lost €27 million in the past five years and that cannot continue.

If Bus Éireann does not continue to exist, the people who work in it will not have jobs. We want to protect the company, the services it provides and the employment it provides to those who work in it. In order to achieve that, the company must be secured. This has been the subject of discussion and negotiation for 11 months and is now the subject of a Labour Court recommendation. What the company is doing is implementing the Labour Court recommendation, which has been the subject of discussion over a long period of time. This is now about the viability of the company. The question of the viability of the company is itself accepted by the assessors engaged by the trade unions to look at this.

We have a period of time between now and the weekend in which further discussions can take place. The company has made it clear that it is available to have those discussions either directly with the unions or with the assistance of the Labour Court or the Labour Relations Commission. I hope such discussions will take place and that industrial action can be averted, but we all need to understand that what is at stake here is the continued existence of Bus Éireann. Deputy Dooley coming in here and crying crocodile tears will be no use to anybody if this company fails and the people in it lose their jobs.