The remuneration scale for the chairpersons of State bodies is decided by the Government. Essentially, the remuneration package is dependent on the size of the body. Because of its size and the importance of the services it provides, An Post is a category one State body and the fee level for the chairperson is €19,046 per annum.
However, on occasion a higher fee level than the norm can be approved for individual chairpersons. This tends to arise when a State body is facing particular challenges and the commitment required of the chairperson would be greater than the norm. The board of An Post would have no role in deciding the remuneration package for the chairperson.
In regard to the current chairperson of An Post, the appointment to this post was made in February, 2003 subject to payment of the normal fee for category 1 chairpersons. However, the chairperson in June 2003 sought an increased rate of remuneration arising from the significant time commitment, which the position involved. The fee sought was based on a rate per day which, when aggregated, amounted to an annual package of €50,000 approximately.
This request was comprehensively examined by my Department and the Department of Finance. By this time, it was clear that An Post was facing significant challenges both on the financial and industrial relations fronts and, as a result, the role of chairperson of An Post required a greater time commitment and personal involvement than the norm. The key role of the board was reiterated when my predecessor the Minister, Deputy, Dermot Ahern, met the board in October 2003 and reminded board members of their crucial oversight obligations in regard to the recovery strategy for An Post. To reflect the importance of the role of the chairperson in overseeing the recovery strategy, it was decided that the person in question would be offered a remuneration package of €50,000 per annum which she has accepted.
Payment of remuneration to chairpersons is not linked to national pay agreements and therefore, the inability to pay clause set out in Sustaining Progress would not apply.
