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A Bus Éireann bus outside the main bus terminal Busaras in Dublin Barry Cronin/PA Wire

Bus Éireann warns: bring in pay cuts or we could end up breaking the law

A spokesperson for Bus Éireann said the company’s future is at risk if it can’t bring in major changes to pay and conditions for employees.

BUS ÉIREANN HAS warned that a controversial cost-cutting plan at the company need to be implemented as soon as possible or the company is ‘highly likely’ to end up breaking the law.

Unions at the company have rejected the proposed changes to pay and conditions, but Bus Éireann said tonight if it does not implement the new plan, it is ‘highly likely’ to breach company law within one month because of its ‘precariously low level of net assets’.

The new financial proposals were set out in a recent Labour Court recommendation aimed at resolving the ongoing dispute at the company as management battle to cut costs but workers fight against cuts to their pay.

The company said it may be required to call an Extraordinary General Meeting to deal with the situation if it isn’t allowed to cut pay.

“The likely need to call an EGM is a further demonstration that the future of Bus Éireann is clearly at risk,” said a spokesperson.

The company has said it. The Labour Court has said it. The trade unions’ own independent financial assessors have said it.
The payroll savings from the Labour Court recommendation are vital to Bus Éireann’s survival.

The Labour Court recommended a range of measures to save around €5 million from the payroll . The company says it plans to implement the changes from this Sunday. If it doesn’t bring in the changes, Bus Éireann says it faces annual losses of more than €11 million, which it says are not sustainable.

Unions have said they will take industrial action from this Sunday if the changes to pay and conditions go ahead. When strikes were threatened in January, Bus Éireann warned employees that their jobs could be at risk if they took industrial action.

Among the changes recommended by the Labour Court are:

  • An increase in the working week for clerical and executive staff from 36 hours to 39 hours
  • Reduction in premium payments (such as Sunday payments) to be x1.5 payments rather than double payments
  • Reduction in annual leave entitlement by 3 days for the next three years
  • Reduction in allowances and expense payments by 20 per cent

Bus Éireann said its low level of assets means any more losses from not bringing in the payroll savings set out in the Labour Court recommendation means it could breach Section 40 of the Companies (Amendment) Act 1983.

This means that shareholder funds no longer exceed 50 per cent of the called-up share capital, requiring the company to hold an Extraordinary General Meeting to deal with the situation.

Read: Bus Éireann, unions to appear before Labour Relations Commission >

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46 Comments
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    Mute Unconvertible Rebel
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    Apr 1st 2020, 5:21 PM

    Well that’s what happens when you run a public health system on the brink of collapse for 9 years. Soon as there’s unforeseen extra load placed on it, you’re in trouble.

    338
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    Mute Breda Kelly
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    Apr 1st 2020, 5:27 PM

    @Unconvertible Rebel: Get a grip. Government doing a fantastic job, look across the water both ways.

    667
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    Mute Ben Calton
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    Apr 1st 2020, 5:29 PM

    @Unconvertible Rebel: Bit of a difference between an extra load and a global pandemic. Health services all over the world are struggling to deal with this issue

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    Mute DK
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    Apr 1st 2020, 5:29 PM

    @Unconvertible Rebel: Ah stop, I agree our public health service was under performing but nobody could have imagine a health emergency of these proportions.

    133
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    Mute Tony Lyons
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    Apr 1st 2020, 5:29 PM

    @Unconvertible Rebel: no country in the world has been able to cope with it

    122
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    Mute 2thFairy
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    Apr 1st 2020, 5:30 PM

    @Unconvertible Rebel: a ridiculous comment. You can’t run a health service for a pandemic that might happen every hundred years. It’s not feasible and definitely not necessary.

    131
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    Mute Irene Mc Hugh
    Favourite Irene Mc Hugh
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    Apr 1st 2020, 5:30 PM

    @Unconvertible Rebel: oh ,just go away please -I am sick and tired of the same old BS being trotted out here every day – If you have nothing positive to say just keep quiet .

    131
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    Mute halfmanhalftea
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    Apr 1st 2020, 5:30 PM

    @Unconvertible Rebel: There’s no hospital system in the world that would have the capicity we’ll need in the coming weeks. By the way, our health system has been unslder resourced for much longer than 9 years, not sure where you’re getting that time frame from!

    77
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    Mute Niamh Ní Shúilleabhàin
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    Apr 1st 2020, 5:32 PM

    @Unconvertible Rebel: my sentiments exactly, as much as they appear to be doing all they can, there has been fundamental problems that have gone unsolved in the HSE for years which has then caused this enormous pressure on the service. I wonder statistically speaking if you contract serious complications with covid-19 in which areas of the country are you most likely to die, such as it is with heart attacks etc due to lack of services and resources? Morbid but true.

    32
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    Mute John Considine
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    Apr 1st 2020, 5:35 PM

    @Unconvertible Rebel: Look if you’re going to use this epidemic to score political points the *least* you could do is actually expand on the topic in some kind of meaningful or useful way.

    For example, as a country we are in the Top 10 worldwide in terms of spending per capita on health. As such we don’t have a spending (ie political) issue, we have a management (ie civil-service) issue. So the reality is it doesn’t really matter who gets elected in terms of our health service since our civil service is entrenched in their position like it’s the Somme and the year is 1916.

    And if you ask a politician what they think they can do about this they will just stare at you as if you just asked them to fly. So not only does the actual problem get almost no recognition, it’s further compounded by the fact that our health service is treated like a political football come election time. Unless we solve these structural blockers actual reform is borderline impossible. You might as well be trying to learn how to fly.

    74
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    Mute G Row
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    Apr 1st 2020, 5:39 PM

    @Breda Kelly: Ablab alamas Canadian eh?

    3
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    Mute Yggr of Asgard
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    Apr 1st 2020, 5:48 PM

    @Tony Lyons: much like the Who and its Chinese masters you seem to overlook Taiwan

    6
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    Mute Fred the Muss
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    Apr 1st 2020, 5:59 PM

    @Unconvertible Rebel: Sit down in a dark room you fool.

    31
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    Mute Eugene Conroy
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    Apr 1st 2020, 6:00 PM

    @Breda Kelly: me ass doing a great job

    16
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    Mute Fergal Doyle
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    Apr 1st 2020, 6:11 PM

    @Unconvertible Rebel: clown

    24
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    Mute milton friedman
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    Apr 1st 2020, 6:29 PM

    @Breda Kelly: another North-South polist among us. Shameful.

    5
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    Mute John O Brien
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    Apr 1st 2020, 6:37 PM

    @Breda Kelly: I’m don’t seem to be buying into this government doing a great job.. the government are simple taking orders from the health professionals. And why is Leo Varadkar posing for photos. Seems every opportunity is a photo shoot for them..

    18
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    Mute Paul O'Sullivan
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    Apr 1st 2020, 7:04 PM

    @Unconvertible Rebel: Sinn Fein troll. You are doing more damage to the party with your rubbish on herd than their elected members singing IRA songs drunk in bars.

    27
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    Mute We Love Katamari
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    Apr 1st 2020, 7:25 PM

    @Paul O’Sullivan: oh look, another brand new faceless twitter account calling anyone who isnt singing leos praises SF trolls.

    the spin unit is back

    12
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    Mute Declan Edward
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    Apr 1st 2020, 7:47 PM

    @Breda Kelly: per percentage of population, the UK are faring both better and worse than us in Ireland, so it’s a fairly uninformed argument that they are faring much worse than us. Better In UK: 0.0449% as of population who are infected as to Ireland’s 0.0714%. However, deaths in UK 0.00354% compared to Ireland’s 0.00176%. Median age in Ireland is 36.5years while in the UK it is 40years, so you should statistically see more deaths there than here as a % of population. What I’d love to compare are the number of beds and ICU beds, ventilators and testing kits

    7
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    Mute Maria
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    Apr 1st 2020, 7:55 PM

    @John O Brien: the sign of a good leader is listening to the experts. Look at the 2 countries either side of us!

    17
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    Mute Coole Swan
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    Apr 1st 2020, 8:13 PM

    @Irene Mc Hugh: Irene it would be very boring here if people cannot say what they want. Be more open minded to a variety of comments & opinions. Adds variety.
    If u can’t take it deactivate your account.

    3
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    Mute johnny onion eye
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    Apr 1st 2020, 8:21 PM

    @Declan Edward: you haven’t taken into account that we had tested I’ve twice as many per head on the positive numbers

    4
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    Mute Declan Edward
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    Apr 1st 2020, 8:28 PM

    @johnny onion eye: didn’t take it into account! We’re pretty much on the same playing field so. I did expect UKs numbers to be much worse considering that 83% live in urban areas compared to Ireland’s 63%.

    4
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    Mute miju irl
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    Apr 1st 2020, 8:54 PM

    @Breda Kelly: delays in carrying out testing and test results government claim shortage of supply yes other countries dont have same problems.

    Yes doing amazing job alright

    3
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    Mute Paul Reid
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    Apr 1st 2020, 10:08 PM

    @Unconvertible Rebel: shut up with your pander you can see the whole world is suffering. Please stop with wrongful propaganda. God bless

    5
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    Mute John O Brien
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    Apr 2nd 2020, 6:57 AM

    @Maria: Dustin would look good in comparison to those two as apes

    1
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    Mute John R
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    Apr 2nd 2020, 9:26 AM

    @Declan Edward: I’m sorry Declan but you can’t draw meaningful comparisons with the U.K. in terms of the numbers of infected. They aren’t testing serious numbers of people. Proportionately, Ireland is testing far more people. The U.K. stats are internationally accepted as unreliable. Moreover, where deaths occur outside of the hospital environment due to Covid they are not included in the U.K. figures at the moment as I understand it.

    1
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    Mute John R
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    Apr 2nd 2020, 9:30 AM

    @John O Brien: Another person who thinks, conveniently, that the Govt are taking orders from civil servants. The legal of ignorance amongst a cohort of certain Journal commentators about how democratic Government works is illuminating. The Govt takes advice from civil and public servants. Advice. All key decisions are taken by Government and nobody else. They are them accountable for those decisions. The Govt don’t follow “orders” from the unelected. They are not SF for goodness sake.

    2
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    Mute Colette Kearns
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    Apr 1st 2020, 5:28 PM

    Harris telling us the HSE is under pressure! Yes Simon we’ve been telling you that for years now!

    200
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    Mute John Devaney
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    Apr 1st 2020, 5:36 PM

    @Colette Kearns: I remember visiting hospitals be in the 1970s when religious orders were in charge. Everything was spotless. You could smell the antiseptic in the air. There wasn’t any huge waiting lists. A first world health service at time when we were economically poor. It seems like our liberal “progression” has regressed our health system to that of a 3rd world nation. Bring back the nuns!

    182
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    Mute James Fox
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    Apr 1st 2020, 5:37 PM

    @Colette Kearns: thanks Colette for your intelligent input to the unforeseen problem Ireland and the whole world are experiencing at this moment in time. When this is all over run for the elections and you can show us all the expert you are while running the health service in this country.

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    Mute halfmanhalftea
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    Apr 1st 2020, 5:38 PM

    @John Devaney: Yeah, I used to live it when they beat the snot out of us when they ran the schools. But sure at least they were spotless schools

    58
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    Mute Steve O'Reilly
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    Apr 1st 2020, 5:38 PM

    @Colette Kearns: maybe you should run the health service so?. We can all complain. Unfortunately the HSE isn’t a quick fix. Increase in funding has been allocated in the last few budgets, but it is once of those areas that every country find it hard to run effectively.

    32
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    Mute Fiona Fitzgerald
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    Apr 1st 2020, 5:51 PM

    @John Devaney: no. Nostalgia isn’t what it used to be. My grandmothers used to say that you only go into hospital to die. Nuns or no nuns, we didn’t have a wonderful health system. There was a very recent modern push to reform it, by which I mean shake off the abusive practices that other countries had successfully reformed from 1964 onwards. You were far too young to realise how many women were literally crippled by an outdated system; nor how many men died before their time. Oh, and the clean smell of antiseptic was applied by enslaved pregnant women, conned into believing they deserved to work for a pittance, while their children were being starved in orphanages. Stop sniffing the air and support the health service staff working in this century.

    75
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    Mute Eugene Conroy
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    Apr 1st 2020, 6:04 PM

    @John Devaney: in the 1970s DOBwas bearly out of short pants

    4
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    Mute Laughable
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    Apr 1st 2020, 6:40 PM

    @John Devaney: Was that when you were out pulling women? Looking back is great, the good times ehhh…. except medicine has moved on quite a bit, costs a fortune and we can treat way more illnesses…..

    12
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    Mute Toon Army
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    Apr 1st 2020, 7:27 PM

    @Steve O’Reilly: BS very few developed countries in Europe have a similar shambles of a health service as ours.

    3
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    Mute James Gorman
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    Apr 1st 2020, 7:47 PM

    @John Devaney: that’s a common misconception. Hospitals nowadays are just as clean. Its the superbugs you can’t see due to decades of over prescribing which are the problem in controlling infections.

    10
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    Mute Coole Swan
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    Apr 1st 2020, 8:16 PM

    @John Devaney: leave them where they are. That was the time where u would be two weeks in hospital if u were having your appendix out.

    6
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    Mute Albert Brennerman
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    Apr 1st 2020, 8:52 PM

    @Colette Kearns: Very true. Its what happens when you initiative something to Death. The money can spread over far far too much and not enough Butter. Scale back protect the core services.

    1
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    Mute brian reid
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    Apr 1st 2020, 5:47 PM

    Will you all stop bashing Unconvertible Rebel..and look at the photo…Leo will want to practice what he preaches…He is NOT 2 metres away

    54
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    Mute Fiona Fitzgerald
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    Apr 1st 2020, 5:55 PM

    @brian reid: I see that. It might be the camera angle, it’s hard to judge with foreshortening. They certainly don’t look as if they’re 2 metres apart. We can’t tell but let’s assume for the sake of thinking it through that they have both been tested recently and aren’t carriers, because they have essential roles.

    16
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    Mute brian reid
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    Apr 1st 2020, 6:26 PM

    @Fiona Fitzgerald: Silly statement..( they have been tested )does not stop them from catching it in the future…this virus does not distinguish what job you do..

    12
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    Mute Paul O'Sullivan
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    Apr 1st 2020, 7:06 PM

    @brian reid: no fear he wont go near her.

    5
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    Mute brian reid
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    Apr 1st 2020, 7:12 PM

    @Paul O’Sullivan: maybe she would just to let him see what he is missing

    2
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    Mute Christine Hanway
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    Apr 1st 2020, 8:20 PM

    This has publicity stunt wrote all over it. How in the midst of the worse pandemic we have seen in our lifetime is he going round smiling in these pictures like its something to be proud of. I really dont understand this man at the best of times in the riddles and smoke screens but these pics are like a bloody advert!

    28
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    Mute Steph
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    Apr 1st 2020, 9:33 PM

    @Christine Hanway: reminds me a bit of when he saw what way the wind was blowing & jumped on the Repeal bandwagon. Everything is calculated PR opportunity with him

    15
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    Mute Gasher
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    Apr 2nd 2020, 5:53 AM

    @Christine Hanway: did he not advise us to NOT make any non essential journeys? Did he not advise us to stay at home where possible? Was this really an essential journey, did both himself and Harris really have to be there? Another photo opportunity and a chance for them to tell us how wonderful they are.
    His ego is out of control!!!

    7
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    Mute Marg FitzGerald
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    Apr 1st 2020, 7:40 PM

    Very hygienic, park your ar#e on the treatment couch. The hired help will deal with it.

    14
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    Mute Richard Carroll
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    Apr 2nd 2020, 8:54 PM

    Government doing a good job. We are lucky we are not in the UK or the US. EU overlords doing sod all for anyone.

    1
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