Dáil Éireann debate -
Tuesday, 10 Dec 2002

Vol. 559 No. 1

Written Answers. - Benchmarking Report.

Joe Sherlock

Question:

112 Mr. Sherlock asked the Minister for Finance the Government's views on the final report of the public service benchmarking body; if the Government intends to implement the recommendations of the body; and if he will make a statement on the matter. [25571/02]

Pádraic McCormack

Question:

113 Mr. McCormack asked the Minister for Finance if he has made arrangements to pay the first phase of benchmarking in 2002 according to the backdating arrangements agreed. [25611/02]

Minister for Finance (Mr. McCreevy)

I propose to take Questions Nos. 112 and 113 together.

The public service benchmarking body was established as an independent body in July 2000 under the terms of the PPF to examine public service pay and jobs by comparison with the private sector. The body reported in June 2002 and recommended varying level of pay increases for the grades examined.

It was agreed, as part of the adjustment to the PPF, that there would be discussions about the implementation of the report between public service employers and the public services committee of ICTU and also that one quarter of any increases recommended would be paid retrospectively from 1 December 2001. Talks on the implementation of the recommendations of the public service benchmarking body are currently under way in the context of negotiations on arrangements to follow the PPF. The cost of implementing the recommendations of the report is estimated to be €1.1 billion in a full year. Account will have to be taken of the impact this will have on the public finances.

In my recent budget I provided for the payment in 2003 of the first phase of the increases arising from benchmarking. However, payment of the increases will be dependent on agreement, amongst other things, on the full implementation of the benchmarking body's report including the need for the delivery of real and verifiable changes. As I have indicated previously there is also a relationship between any new general round that might be agreed under a new programme and the benchmarking payments and this must be considered in the context of the budgetary pressures facing us.