The Government pay cap was introduced on 21 June 2011 on foot of a Government Decision (S180/20/10/1333) when it adopted a general policy of a €200,000 annual salary pay ceiling for new appointees to Senior Positions across the Public Service. This equalled the then Taoiseach's annual salary of €200,000 which was reduced under the FEMPI Act 2013 to €185,350 from 1 July last, a figure which now acts as the pay cap. Similarly in June 2011, a pay ceiling of €250,000 was adopted for future appointees to CEO positions in the Commercial State Companies.
No formal pay cap existed for the Public Service prior to the June 2011 decision. No employee in the Department of Finance is being paid in excess of the Taoiseach’s salary or in excess of the Government's pay cap.