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Dáil Éireann Debate, Tuesday - 7 February 2012

Tuesday, 7 February 2012

Questions (151)

Thomas P. Broughan

Question:

200 Deputy Thomas P. Broughan asked the Minister for Public Expenditure and Reform if he has reviewed proposals to address excessive pay in the private and public sectors in the UK and other EU states; if he is considering any similar proposals including the establishment of a top pay commission to examine and invigilate pay in the private and public sectors; and if he will make a statement on the matter. [6848/12]

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Written answers

I have no plans to establish a commission to examine levels of pay in the private and public sectors of the economy. Apart from instances where statutory rates of pay apply, pay rates in the private sector are generally a matter for negotiation between individual employers and employees. My responsibilities in relation to pay extend to the public service where the Government has a direct role in the determination of pay rates as employer.

Pay rates in the public service have already been reduced by up to 15% and a progressive pension related reduction applied through the Financial Emergency Measures in the Public Interest Acts of 2009. In relation to the remuneration of senior positions in the public service and the Commercial State Companies, the Government accepted my proposals to introduce a general pay ceiling of €200,000 for future appointments to higher positions across the public service, a general pay ceiling of €250,000 for future appointments to CEO posts within Commercial State Companies and a voluntary waiver system of up to 15% for current post holders who have salaries in excess of the relevant pay ceiling. I have no plans to undertake further reviews of public service pay based on policy proposals in other jurisdictions at this time.

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