Under the Defence (Amendment) Act, 1990, matters relating to pay and allowances come within the scope of representation of the Representative Association of Commissioned Officers (RACO and Permanent Defence Force Other Ranks Representative Association (PDFORRA) and may be processed through the conciliation and arbitration scheme for the permanent Defence Force which was established in agreement with the associations. Sub-committees of the conciliation council were established to review, in the context of the PCW, the question of pay and allowances payable to the ranks represented by the representative associations. Discussions have been ongoing at subcommittee level and it is anticipated that they will be finalised shortly. I can confirm that offers have been made to both associations for a range of increases which will amount to around 4 per cent of the payroll cost, in addition to the earlier increase of 3 per cent. The combined increase falls within the parameters of the PCW. While the final acceptance of the offers will depend on a ballot of members, I understand that the executive committee of both the associations are recommending acceptance.