Dáil Éireann Debate, Tuesday - 2 December 2014
504. Deputy Lucinda Creighton asked the Minister for the Environment, Community and Local Government his views on the bonus system which has been introduced in Irish Water; the measures he will take to remove the bonus culture from Irish Water; and if he will make a statement on the matter. [45955/14]
View answerThe pay model applicable to Irish Water is a matter for the Board of the company. I understand that the pay model is not a new model put in place by Irish Water but was inherited from the parent company Ervia. My Department sought clarification on the Ervia pay model and I understand that it is a competitive market based model comprising two key elements – a market based pay range for all employees and a Performance Related Award (PRA) which is at risk. The total of these two elements add up to the external market pay level for any given job. Performance pay under this system is based on a structured performance review and requires company performance, business unit performance and individual performance metrics to have been met. The Chairman of Ervia has indicated to me that the company has decided that the Performance Related Awards will not apply in Irish Water for 2013 and 2014. Furthermore, an independent review of the pay model for Irish Water is being undertaken with a view to making a recommendation to the new unitary Eriva Board on the appropriate pay model for Irish Water.
