TU's Rinne wants support to Ireland conditioned
by higher company tax
Antti Rinne, the President of the Union of Salaried Employees TU, rejects
the plan to bail out Ireland without an assurance that Irish corporation tax
Finnish tax-payers should not be expected to allow Ireland to
continue, after the bailout operation, its economic policy that is unfair
and dangerous towards European wage and salary earners. Ireland has to bring
its corporate tax back into line with the average level of the EU Member
- Ireland has succeeded in garnering foreign investments by means of
unhealthy tax competition. One has to remember that employees lost jobs and
states lost tax incomes in countries from where, for example, IT jobs were
transferred to Ireland.
In Ireland the company tax base is 12.5, in Finland 26 and on average in the
EU Member States 23 per cent.
Rinne is highly critical of the view of Ireland expressed by Jussi Mustonen
as a director of the Confederation of Finnish Industries EK. According to
Mustonen the most vigorous impact of Ireland's bank crisis on other European
countries is primarily indirect. In such a situation no financial support
from abroad would be needed in Ireland, Rinne states. He regards EK's
comments on Ireland as lobbying for a lower company tax in Finland.