Thousands expected to protest over Ireland austerity plans

Tens of thousands of demonstrators are expected to oppose the government's harsh austerity plan in Dublin, aimed at slashing the country's budget deficit to meet the terms of a bailout.

The labour union-organized rally follows Irish Prime Minister Brian Cowen's announcement Wednesday of a four-year package to cut spending, raise taxes and cut down thousands of state jobs.

The announcements herald the toughest budget measures in the nation's history.

In his announcement, Cowen acknowledged that living standards will fall, but insisted action is needed to tackle a 2010 deficit running at 32 per cent of GDP, the highest in Europe since World War II.

His government is expected to unveil an emergency annual budget on Dec. 7, which must be passed to allow a €85 billion loan from the European Union and the International Monetary Fund (IMF).

Ireland's Congress of Trade Unions — an umbrella group which represents labour unions with about 832,000 members — said the protest would be a final chance to influence the budget.

"It's difficult to see any justification — either economic, social, or indeed moral, for what the government proposes to do, and we'll oppose them in every way we can," said general secretary David Begg.

Cowen's 2011 budget will seek €4.5 billion in spending cuts and to raise an extra €1.5 billion in taxes.

Cowen has vowed to call a national election after the 2011 budget is passed into law.