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Tuesday, 31 May 2016

Written Answers Nos. 47 - 66

Budget Consultation Process

Questions (47)

David Cullinane

Question:

47. Deputy David Cullinane asked the Minister for Public Expenditure and Reform the status of implementing equality and poverty proofing of budgets; and if he will make a statement on the matter. [12990/16]

View answer

Written answers

The Programme for Government commits to ensuring that institutional arrangements are in place to support equality and gender proofing.

Cabinet procedures require a whole range of impacts to be covered in every decision proposed to Government. This ensures that the impact of policy proposals on gender equality, rural communities, North-South/East-West Relations, employment, persons experiencing or at risk of poverty or social exclusion, people with disabilities and industry costs are taken into account.

In addition, the Department of Finance carries out distributional analyses of budget tax options using the ESRI SWITCH model. For Budget 2016, the Department produced analysis of the distributional impact of tax measures. These are contained in the Tax Strategy Group papers and inform the budgetary decision process. Further distributional analyses in relation to expenditure measures are carried out by my Department and the Department of Social Protection including distributional analysis of Budget measures and social welfare changes.

Overall, the analysis and transparency of the decision making process has been undergoing constant improvement over recent years and I envisage this continuing.

In order to facilitate a more comprehensive assessment of the impact of budget measures on household living standards, my Department is currently developing a new Social Impact Assessment ("SIA") Framework designed to focus on policy areas that cannot easily be incorporated into the existing SWITCH model, for example the impacts of spending on service provision expenditure on recipient households. The framework aims to complement existing processes with additional information on where Government resources are spent and who the key beneficiaries are. It is intended to reflect the Programme for Government commitment to develop a process of budget and policy proofing as a means of advancing equality, reducing poverty and strengthening economic and social rights within this framework.

Public Sector Staff Recruitment

Questions (48)

Richard Boyd Barrett

Question:

48. Deputy Richard Boyd Barrett asked the Minister for Public Expenditure and Reform the status of recruitment in the public service since the moratorium was lifted; the number of persons who have been recruited across each section; the procedures management has to follow to obtain sanction to recruit; and if he will make a statement on the matter. [13010/16]

View answer

Written answers

Since the ending of the Moratorium on Recruitment in 2015, each Government Department has been given delegated authority to manage staff numbers. Under the delegation, Departments can recruit and promote in grades up to and including Principal Officer or equivalent. Delegation is contingent on Departments remaining with the overall pay ceilings (as agreed at Budget time and voted by the Dáil); on them complying with monthly and quarterly reporting on numbers and pay; and on adherence to workforce planning. Departments may also institute similar delegated arrangements with agencies or bodies under their aegis. This new approach provides more local control of recruitment and staff allocation generally, giving managers the means to respond to service needs as they arise

Under this arrangement then, my Department is no longer directly involved in the direct sanction of recruitment or promotion to posts (up to PO level). At an overall Budget level however, in both the 2015 and 2016 Budgets, provision was made for additional staff in the Health Sector (including student nurses and interns); more teachers, Special Need Assistants and Resource teachers in the Education sector; and additional Gardaí. Across the Public Service as a whole, following the lifting of the Moratorium, numbers increased by 8,600 in 2015, and by more than 2,000 so far this year.

As I have referred to, it is still the case that approval must be sought for posts at more senior levels (above Principal Officer level) and for new State bodies. The number of such requests, over and above those announced by the Government in the Budget, is less than 100. The most notable request and approval, in respect of new State bodies, was for 21 staff for the new Policing Authority, which was established on 1 January this year. In terms of the process for seeking and gaining sanction, it falls to the line Department to make the business case for the additional posts, including outlining the benefits and costs. Proposals are then examined by my Department with regard to the strength of the business case made and in the context of overall budgetary affordability.

Up to date information on public service numbers can be found on my Department's website at http://databank.per.gov.ie.

Public Sector Staff Remuneration

Questions (49)

Marc MacSharry

Question:

49. Deputy Marc MacSharry asked the Minister for Public Expenditure and Reform his plans for the phased repeal of the financial emergency measures in the public interest legislation; and if he will make a statement on the matter. [13063/16]

View answer

Written answers

The Government has, through the negotiation and agreement of a financially prudent public service agreement on pay and related issues, provided for a gradual unwinding of the FEMPI measures as they apply to public servants. The terms of this agreement, the Lansdowne Road Agreement, are being implemented under the Financial Emergency Measures in the Public Interest Act 2015 with effect from 1 January 2016 at a full year cost of €844m to 2018. Provision has also been made for an amelioration of the PSPR for public service pensioners at an additional full year cost of €90m in 2018. This approach has also enabled additional resources to be assigned for the ongoing recruitment of additional front line public service staff such as Gardaí, Teachers and Health professionals to support the delivery of our vital public services.

Under section 12 of the FEMPI Act 2013, I am required to review the necessity of FEMPI legislation annually and cause a written report of my findings to be laid before each House of the Oireachtas. In that context, economic progress and fiscal consolidation in the years ahead will determine the scope and timing of the possible further scale-back or repeal of the measures provided for under the legislation.

Freedom of Information Legislation

Questions (50)

Niall Collins

Question:

50. Deputy Niall Collins asked the Minister for Public Expenditure and Reform the actions his Department has taken to resolve the disagreement on the interpretation of the Freedom of Information Acts between the Central Bank of Ireland and the Office of the Information Commissioner; and if he will make a statement on the matter. [13082/16]

View answer

Written answers

As the Deputy is aware, a partial exemption is provided in Schedule 1 Part 1 of the Freedom of Information Act for the Central Bank. I understand that the Central Bank considered that any records or parts of records which it believed were comprehended by the partial exemption were excluded with no right of appeal.

When the Office of the Information Commissioner brought the interpretation of the Act by the Central Bank to the attention of my Department, the advice of the Attorney General's office was sought. On foot of that advice, my Department issued a Guidance Note clarifying that there is a right of appeal to check whether records sought are in scope and that failure to comply would constitute a breach of the legislation.

My Department wrote to the Central Bank in February 2016 providing it with a copy of the Guidance Note and asking it to confirm that it will provide requesters with a right of internal review and accept the Information Commissioner's role in relation to appeals in accordance with the legislation. The Central Bank confirmed in writing to my Department that they are fully committed to the FOI principles of openness, transparency and accountability and will comply with FOI obligations. I understand that the Central Bank also informed the Information Commissioner and that discussions are taking place between them. My Department has also kept the Department of Finance informed and they remain fully supportive.

As the Deputy will be aware, compliance and enforcement of the Freedom of Information Act is a matter for the Information Commissioner, who is independent in the performance of his functions.

Public Sector Staff Remuneration

Questions (51)

Joan Collins

Question:

51. Deputy Joan Collins asked the Minister for Public Expenditure and Reform when he will end the two-tier pay scales in the public service. [12535/16]

View answer

Written answers

The issue of addressing the difference in incremental salary scales between those public servants who entered public service employment since 2011 and those who entered before that date was addressed with the relevant union interests under the provisions of the Haddington Road Agreement (HRA). Any further consideration of remuneration for any group of public servants, including issues relating to more recently recruited public servants, will fall to be examined within the provisions of the Public Service Stability Agreement 2013 -2018 (Lansdowne Road Agreement). It will also of course have to comply with the terms of the Financial Emergency in the Public Interest Acts 2009 - 2013 (FEMPI), as well as its affordability being underpinned through delivering enhanced work place practices and productivity.

It is particularly worth noting that under the Lansdowne Road Agreement (LRA) the process of restoring public service pay is commencing. An important feature of this process is the flat rate increases which are being implemented and which are proportionately more valuable to those public servants who are at an early stage in their careers.

The Programme for Government also states that Government will establish a Public Service Pay Commission to examine pay levels across the public service. The precise structure of such a commission and the technical aspects as to how it would operate have yet to be decided upon and would require broad consultation, including engagement with staff representatives as was committed to in the Lansdowne Road Agreement. My officials have begun to review international best practice in respect of public service pay determination models. This will help frame the Government's thinking on how to establish a fair, transparent and accountable process for determining public service pay, taking into account the views of all stakeholders.

Public Sector Staff Remuneration

Questions (52)

Ruth Coppinger

Question:

52. Deputy Ruth Coppinger asked the Minister for Public Expenditure and Reform to bring forward the restoration of pay and pay equality for public servants; and if he will make a statement on the matter. [12995/16]

View answer

Written answers

From the period 2009 to 2013 the Financial Emergency Measures in the Public Interest (FEMPI) Acts introduced pay reduction measures. These measures, together with the Public Service Pension Reduction (PSPR) implemented in January 2011, are estimated to have resulted in over €2.2bn in direct reductions in public service remuneration and pensions.

In relation to pay equality the issue of addressing the difference in incremental salary scales between those public servants, who entered public service employment since 2011 and those who entered before that date was addressed with the relevant union interests under the provisions of the Haddington Road Agreement (HRA). More recently the Government has, through the negotiation and agreement of a financially prudent public service agreement on pay and related issues, provided for a gradual unwinding of the FEMPI measures as they apply to public servants. The terms of this agreement, the Lansdowne Road Agreement, are being implemented under the Financial Emergency Measures in the Public Interest Act 2015 with effect from 1 January 2016 at a full year cost of €844m to 2018. Additional provision has also been made for an amelioration of the PSPR for public service pensioners at an additional full year cost of €90m in 2018. This approach has also enabled additional resources to be assigned for the ongoing recruitment of additional front line public service staff such as Gardaí, Teachers and Health professionals to support the delivery of our vital public services.

Under section 12 of the FEMPI Act 2013, I am required to review the necessity of FEMPI legislation annually and cause a written report of my findings to be laid before each House of the Oireachtas. In that context, economic progress and fiscal consolidation in the years ahead will determine the scope and timing of the possible further scale-back or repeal of the measures provided for under the legislation.

Public Sector Allowances

Questions (53)

Joan Collins

Question:

53. Deputy Joan Collins asked the Minister for Public Expenditure and Reform when he will reinstate the allowances to new-entry teachers. [12536/16]

View answer

Written answers

The issue of addressing the difference in incremental salary scales between those public servants, including Teachers, who entered public service employment since 2011 and those who entered before that date was addressed with the relevant union interests under the provisions of the Haddington Road Agreement (HRA). Any further consideration of remuneration for any group of public servants, including issues relating to more recently recruited public servants, will fall to be examined within the provisions of the Public Service Stability Agreement 2013 -2018 (Lansdowne Road Agreement). It will also of course have to comply with the terms of the Financial Emergency in the Public Interest Acts 2009 - 2013 (FEMPI), as well as its affordability being underpinned through delivering enhanced work place practices and productivity.

It is particularly worth noting that under the Lansdowne Road Agreement (LRA) the process of restoring public service pay is commencing. An important feature of this process is the flat rate increases which are being implemented and which are proportionately more valuable to those public servants including Teachers who are at an early stage in their careers. Furthermore and specifically in respect of Teachers the restoration of the Supervision and Substitution payment is also provided for under the LRA subject to there being compliance on the part of the relevant unions with the provisions of that Agreement.

The Programme for Government also states that Government will establish a Public Service Pay Commission to examine pay levels across the public service. The precise structure of such a commission and the technical aspects as to how it would operate have yet to be decided upon and would require broad consultation, including engagement with staff representatives as was committed to in the Lansdowne Road Agreement. My officials have begun to review international best practice in respect of public service pay determination models. This will help frame the Government's thinking on how to establish a fair, transparent and accountable process for determining public service pay, taking into account the views of all stakeholders.

Legal Costs

Questions (54)

John McGuinness

Question:

54. Deputy John McGuinness asked the Minister for Public Expenditure and Reform the status of his Department's discussions with the Bar Council on the demand for a fee increase from the Director of Public Prosecutions; and if he will make a statement on the matter. [13079/16]

View answer

Written answers

My Department has met representatives of the Bar Council in relation to a submission it made seeking restoration of reductions in the level of fees payable by the Office of the Director of Public Prosecutions to counsel. The submission is being examined in the Office and in my Department.

Public Sector Staff Remuneration

Questions (55)

Jackie Cahill

Question:

55. Deputy Jackie Cahill asked the Minister for Public Expenditure and Reform when and how he will address the unequal pay situation for teachers who entered the system post 2011-12; and if he will make a statement on the matter. [12975/16]

View answer

Written answers

The issue of addressing the difference in incremental salary scales between those public servants, including Teachers, who entered public service employment since 2011 and those who entered before that date was addressed with the relevant union interests under the provisions of the Haddington Road Agreement (HRA). Any further consideration of remuneration for any group of public servants, including issues relating to more recently recruited public servants, will fall to be examined within the provisions of the Public Service Stability Agreement 2013 -2018 (Lansdowne Road Agreement). Any such consideration will also of course have to comply with the terms of the Financial Emergency in the Public Interest Acts 2009 - 2013 (FEMPI), as well as its affordability being underpinned through delivering enhanced work place practices and productivity.

It is particularly worth noting that under the Lansdowne Road Agreement (LRA) the process of restoring public service pay is commencing. An important feature of this process is the flat rate increases which are being implemented and which are proportionately more valuable to those public servants including Teachers who are at an early stage in their careers. Furthermore and specifically in respect of Teachers the restoration of the Supervision and Substitution payment is also provided for under the LRA subject to there being compliance on the part of the relevant unions with the provisions of that Agreement.

The Programme for Government also states that Government will establish a Public Service Pay Commission to examine pay levels across the public service. The precise structure of such a commission and the technical aspects as to how it would operate have yet to be decided upon and would require broad consultation, including engagement with staff representatives as was committed to in the Lansdowne Road Agreement. My officials have begun to review international best practice in respect of public service pay determination models. This will help frame the Government's thinking on how to establish a fair, transparent and accountable process for determining public service pay, taking into account the views of all stakeholders.

Public Sector Staff Recruitment

Questions (56)

Paul Murphy

Question:

56. Deputy Paul Murphy asked the Minister for Public Expenditure and Reform if he has consulted with other Government Departments on the difficulties that have become apparent in recruiting and retaining certain types of public servants, arising from the two-tier pay system and other pay reductions applied during the course of the crisis and the resultant impact it is having on sectors including health and education; and if he will make a statement on the matter. [12998/16]

View answer

Written answers

Based on the evidence available, and engagement with relevant Departments and agencies, of recruitment of new entrants to the public service, measured by number of applications received, number of appointments made and the overall growth in numbers, the public service continues to provide an attractive occupation and career choice for job seekers in most professional and administrative grades.

Agreements made in relation to addressing the difference in incremental salary scales between those public servants, who entered public service employment since 2011 and those who entered before that date under the provisions of the Haddington Road Agreement (HRA) and the amelioration of the impact of the pay reductions effected under the terms of the Lansdowne Road Agreement from 1 January 2016, also support the attractiveness of public service careers.

Since the beginning of 2014 thousands of additional teachers, special needs assistants, Garda, doctors and nurses have all been recruited. There has also been successful recruitment to civil service entry level and senior grades. Overall public service numbers have increased by just over 12,000 with the largest increases in the Health and Education sector. Actual recruitment levels would be higher in order to cover replacement demand (retirements and leavers).

With the improving economy and job market and where the public service is competing nationally or internationally for specialist skills, we will continue to review issues that may inhibit recruitment into the public service. In conjunction with the wider public service, my Department will continue to provide solutions to recruitment issues, where that is necessary to ensure the public service remains an attractive option for job seekers, and while being mindful of the necessity to secure fair value for the tax payer.

Public Expenditure Policy

Questions (57)

Bernard Durkan

Question:

57. Deputy Bernard J. Durkan asked the Minister for Public Expenditure and Reform if public expenditure projections are on course and likely to remain on course in 2016; to examine areas of vital infrastructure which require extra expenditure; if this expenditure is possible while maintaining prudent management principles and objectives; and if he will make a statement on the matter. [12991/16]

View answer

Written answers

Public expenditure has been managed in line with key fiscal targets over the last number of years. Managing the delivery of public services within budgetary allocations is a key responsibility of each Minister and their Department, and measures are in place to help ensure that our key fiscal targets continue to be met. My Department is in regular communication with all Departments and Offices to ensure that expenditure is being managed within the overall fiscal parameters. The drawdown of funds from the Exchequer is monitored against the published expenditure profiles. There is regular reporting to Government on these matters, and information is published monthly, as part of the Exchequer Statement.

The end-April Exchequer returns show that most Departments continue to manage expenditure within profile. However, these returns provide some indications of areas where there may be some pressures. As outlined in the analysis of Gross Voted Expenditure published with the Exchequer Returns, Health gross current spending was over profile by €78 million (1.7%) at the end of April.

As outlined in the 2016 Stability Programme Update (SPU) it was estimated at that time, on the technical no policy change basis on which the SPU was prepared, that over the course of the year, voted spending pressures amounting to c. ¼ per cent of GDP could materialise. Given the potential upside to the revenue projections it is envisaged that additional spending of this level can be accommodated within the fiscal rules.

In relation to investment in infrastructure, the Programme for Government commits to protecting the existing capital investment plan published in September 2015. In addition, the Government will look to take advantage of the recent change to the Medium Term Objective, set out in the SPU, to propose a cumulative additional €4 billion in Exchequer capital investment up to 2021. The specific areas to be targeted for additional capital investment will be outlined following the mid-term review of the Capital Plan which, as outlined in the Programme for Government, is expected in mid-2017.

Public Sector Staff Remuneration

Questions (58)

Fiona O'Loughlin

Question:

58. Deputy Fiona O'Loughlin asked the Minister for Public Expenditure and Reform when he will end pay inequality for new entrants into the public service; and if he will make a statement on the matter. [12602/16]

View answer

Written answers

The issue of addressing the difference in incremental salary scales between those public servants who entered public service employment since 2011 and those who entered before that date was addressed with the relevant union interests under the provisions of the Haddington Road Agreement (HRA). Any further consideration of remuneration for any group of public servants, including issues relating to more recently recruited public servants, will fall to be examined within the provisions of the Public Service Stability Agreement 2013 -2018 (Lansdowne Road Agreement). Any such consideration will also of course have to comply with the terms of the Financial Emergency in the Public Interest Acts 2009 - 2013 (FEMPI), as well as its affordability being underpinned through delivering enhanced work place practices and productivity.

It is particularly worth noting that under the Lansdowne Road Agreement (LRA) the process of restoring public service pay is commencing. An important feature of this process is the flat rate increases which are being implemented and which are proportionately more valuable to those public servants who are at an early stage in their careers.

The Programme for Government also states that Government will establish a Public Service Pay Commission to examine pay levels across the public service. The precise structure of such a commission and the technical aspects as to how it would operate have yet to be decided upon and would require broad consultation, including engagement with staff representatives as was committed to in the Lansdowne Road Agreement. My officials have begun to review international best practice in respect of public service pay determination models. This will help frame the Government's thinking on how to establish a fair, transparent and accountable process for determining public service pay, taking into account the views of all stakeholders.

Public Sector Staff Recruitment

Questions (59)

Ruth Coppinger

Question:

59. Deputy Ruth Coppinger asked the Minister for Public Expenditure and Reform if he has consulted with Government Departments, including the Department of Health, the Department of Education and Skills and the Department of Justice and Equality, on difficulties in recruiting and retaining certain types of public servants arising from the two-tier pay system and other pay reductions applied during the economic crisis; and if he will make a statement on the matter. [12996/16]

View answer

Written answers

Based on the evidence available, and engagement with relevant Departments and agencies, of recruitment of new entrants to the public service, measured by number of applications received, number of appointments made and the overall growth in numbers, the public service continues to provide an attractive occupation and career choice for job seekers in most professional and administrative grades.

Agreements made in relation to addressing the difference in incremental salary scales between those public servants, who entered public service employment since 2011 and those who entered before that date under the provisions of the Haddington Road Agreement (HRA) and the amelioration of the impact of the pay reductions effected under the terms of the Lansdowne Road Agreement from 1 January 2016, also support the attractiveness of public service careers.

Since the beginning of 2014 thousands of additional teachers, special needs assistants, Garda, doctors and nurses have all been recruited. There has also been successful recruitment to civil service entry level and senior grades. Overall public service numbers have increased by just over 12,000 with the largest increases in the Health and Education sector. Actual recruitment levels would be higher in order to cover replacement demand (retirements and leavers).

With the improving economy and job market and where the public service is competing nationally or internationally for specialist skills, we will continue to review issues that may inhibit recruitment into the public service. In conjunction with the wider public service, my Department will continue to provide solutions to recruitment issues, where that is necessary to ensure the public service remains an attractive option for job seekers, and while being mindful of the necessity to secure fair value for the tax payer.

Public Sector Staff Remuneration

Questions (60)

Thomas P. Broughan

Question:

60. Deputy Thomas P. Broughan asked the Minister for Public Expenditure and Reform his proposals for a public service pay commission and for the early restoration of public service pay levels, especially for young entrants to teaching, An Garda Síochána and other sectors; and if he will make a statement on the matter. [12978/16]

View answer

Written answers

The Programme for Government commits that the Government will establish a Public Service Pay Commission to examine pay levels across the public service. The precise structure of such a commission and the technical aspects as to how it would operate have yet to be decided upon and would require broad consultation, including engagement with staff representatives as was committed to in the Lansdowne Road Agreement.

The Programme for Government also contains a strong commitment to fully implement the Public Service Stability Agreement 2013 - 2018 (Lansdowne Road Agreement) in accordance with the terms and timelines agreed with staff representatives. This sets out a framework and agreed pathway for pay restoration to 2018 for public servants that is affordable and achievable on a fiscally sustainable basis.

Teachers' Remuneration

Questions (61)

Clare Daly

Question:

61. Deputy Clare Daly asked the Minister for Public Expenditure and Reform if he is aware of reports that teachers who commenced employment in 2011 will earn between €200,000 and €300,000 less over their careers than teachers who commenced employment before 2011 as a result of measures introduced in the Financial Emergency Measures in the Public Interest Acts 2009 to 2015; and if he will repeal these Acts, given the gross inequity of this situation. [12498/16]

View answer

Written answers

The issue of addressing the difference in incremental salary scales between those public servants, including Teachers, who entered public service employment since 2011 and those who entered before that date was addressed with the relevant union interests under the provisions of the Haddington Road Agreement (HRA). Any further consideration of remuneration for any group of public servants, including issues relating to more recently recruited public servants, will fall to be examined within the provisions of the Public Service Stability Agreement 2013 -2018 (Lansdowne Road Agreement). Any such consdieraton will also of course have to comply with the terms of the Financial Emergency in the Public Interest Acts 2009 - 2013 (FEMPI), as well as its affordability being underpinned through delivering enhanced work place practices and productivity.

It is particularly worth noting that under the Lansdowne Road Agreement (LRA) the process of restoring public service pay is commencing. An important feature of this process is the flat rate increases which are being implemented and which are proportionately more valuable to those public servants including Teachers who are at an early stage in their careers. Furthermore and specifically in respect of Teachers the restoration of the Supervision and Substitution payment is also provided for under the LRA subject to there being compliance on the part of the relevant unions with the provisions of that Agreement.

The Programme for Government also states that Government will establish a Public Service Pay Commission to examine pay levels across the public service. The precise structure of such a commission and the technical aspects as to how it would operate have yet to be decided upon and would require broad consultation, including engagement with staff representatives as was committed to in the Lansdowne Road Agreement. My officials have begun to review international best practice in respect of public service pay determination models. This will help frame the Government's thinking on how to establish a fair, transparent and accountable process for determining public service pay, taking into account the views of all stakeholders.

Programme for Government

Questions (62)

Thomas P. Broughan

Question:

62. Deputy Thomas P. Broughan asked the Minister for Public Expenditure and Reform the levels of Government expenditure, including tax expenditure, consequent on the proposed implementation of the programme for Government in 2016 and 2017; and if he will make a statement on the matter. [12977/16]

View answer

Written answers

The Programme for a Partnership Government sets out the ambition to build a strong economy and to deliver a fair society. The Programme identifies a number of policy challenges and for each of these challenges a clear unambiguous high-level ambition is also identified.

As stated in the Programme for every policy challenge, the new Government will ensure that a balance is struck between addressing urgent priorities - utilising the action plan framework set out in the Programme document - and engaging in long-term planning and thinking, so that lasting solutions with broad based support are implemented. In this regard, the Programme for Government sets out certain priorities for the first 100 days of the Government. These priorities include the drawing up and publication of an Action Plan on the housing crisis. The priorities in this key area and any funding requirements in 2016 and 2017 will be addressed in that context.

The need for enhanced engagement by the Oireachtas in the budgetary process is highlighted in the Programme for Government, with a number of specific commitments aimed at ensuring the Oireachtas has a more participatory role in the budget process and can contribute their views to the formulation of budgetary policy.

Having regard to the current stage of the budgetary cycle, the first element of the proposed new approach for 2016 is the publication of the Government's Summer Economic Statement ("SES") in June. This statement will provide an updated assessment of the macro-economic and fiscal prospects. The intention is that the SES would include an updated forecast on the available fiscal space to enable the Oireachtas Committees to conduct fully informed discussions on budgetary priorities for 2017.

As part of the proposed new arrangements in respect of the budget process, it is also proposed that the Government publish a Mid-Year Expenditure Report. It is envisaged that this Report would set out revised end-year outturns for 2016 outlining the impact of any additional expenditure this year on Ministerial Expenditure Ceilings for 2016 and 2017. This, along with the detail on fiscal space provided in the SES, will support Oireachtas consultation and engagement on the costing of specific measures intended to respond to particular Programme for Government priorities. Details in relation to tax issues are a matter for my colleague the Minister for Finance.

Public Expenditure Policy

Questions (63)

Mick Wallace

Question:

63. Deputy Mick Wallace asked the Minister for Public Expenditure and Reform if he has raised concerns with the Department of Finance regarding the tax cuts promised over the next five years; his views on the ratio of tax cuts to public investment promised in budget 2016, particularly given that Ireland has the third lowest level of public expenditure in the Eueopean Union; and if he will make a statement on the matter. [12598/16]

View answer

Written answers

As outlined in the Programme for Government, the Government is committed to boosting public expenditure in a sustainable way and will introduce budgets that will involve at least a 2:1 split between investment in public spending and tax reductions. This will allow expenditure to be increased to meet the additional costs arising from an ageing and growing population and to provide for targeted improvements in public services.

The Programme for Government recognises that economic and social progress go hand in hand. Only a strong economy supporting people at work can pay for the services needed to create a fair society. The Programme for Government, therefore, sets out a clear strategy for increasing spending in a sustainable way built on stable revenues. A key focus of the Government is on providing the best environment for job creation. Much progress has been made in recent years with significant growth in the numbers at work. Unemployment has fallen from a peak of over 15% to a seasonally adjusted unemployment rate for April this year of 7.9%. The Government's ambition is to help create 200,000 new jobs by 2020, including 135,000 outside of Dublin.

When comparing investment in public services relative to the rest of the European Union, account needs to be taken of the impact the economic crisis had on the public finances. In addition, the Deputy will also be aware that the basis for the comparison can have a significant impact. Expenditure compared against GDP, GNP or a hybrid of the two may give different results and, given Ireland's relatively young population, adjusting for the demographic profile of the population can also impact on the comparisons.

Public Sector Staff Remuneration

Questions (64)

Mick Barry

Question:

64. Deputy Mick Barry asked the Minister for Public Expenditure and Reform to expedite the restoration of pay and pay equality for public servants; and if he will make a statement on the matter. [12993/16]

View answer

Written answers

From the period 2009 to 2013 the Financial Emergency Measures in the Public Interest (FEMPI) Acts introduced pay reduction measures. These measures, together with the Public Service Pension Reduction (PSPR) implemented in January 2011, are estimated to have resulted in over €2.2bn in direct reductions in public service remuneration and pensions.

The Government has, through the negotiation and agreement of a financially prudent public service agreement on pay and related issues, provided for a gradual unwinding of the FEMPI measures as they apply to public servants. The terms of this agreement, the Lansdowne Road Agreement, are being implemented under the Financial Emergency Measures in the Public Interest Act 2015 with effect from 1 January 2016 at a full year cost of €844m to 2018. Additional provision has also been made for an amelioration of the PSPR for public service pensioners at an additional full year cost of €90m in 2018. This approach has also enabled additional resources to be assigned for the ongoing recruitment of additional front line public service staff such as Gardaí, Teachers and Health professionals to support the delivery of our vital public services.

Under section 12 of the FEMPI Act 2013, I am required to review the necessity of FEMPI legislation annually and cause a written report of my findings to be laid before each House of the Oireachtas. In that context, economic progress and fiscal consolidation in the years ahead will determine the scope and timing of the possible further scale-back or repeal of the measures provided for under the legislation.

Public Sector Staff Remuneration

Questions (65)

Thomas Pringle

Question:

65. Deputy Thomas Pringle asked the Minister for Public Expenditure and Reform the status of the establishment of a public service pay commission; when it will be fully operational; and if he will make a statement on the matter. [12600/16]

View answer

Written answers

As noted in my reply to PQ 10976/16 of the 19th of May, the precise structure of the Pay Commission and the technical aspects as to how it would operate have yet to be decided upon and would require broad consultation, including engagement with staff representatives as was committed to in the Lansdowne Road Agreement.

Garda Remuneration

Questions (66)

Jackie Cahill

Question:

66. Deputy Jackie Cahill asked the Minister for Public Expenditure and Reform when and how he will address the unequal pay situation for members of An Garda Síochána who entered the system in recent years; and if he will make a statement on the matter. [12976/16]

View answer

Written answers

The issue of addressing the difference in incremental salary scales between those public servants including Gardai who entered public service employment since 2011 and those who entered before that date was addressed with the relevant staff interests under the provisions of the Haddington Road Agreement. Any further consideration of remuneration for any group of public servants including issues affecting those most recently recruited will fall to be examined within the provisions of the Public Service Stabilty Agreement 2013-2018 (Lansdowne Road Agreement) provided the staff interests concerned are in compliance with the terms of that Agreement.

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