Vol. 495 No. 2
136 Mr. Noonan asked the Minister for Finance the steps, if any, he has taken to ensure that the pay guidelines in Partnership 2000 are not breached; the recent discussions, if any, he has had with the ICTU on this matter; and if he will make a statement on the matter. [19699/98]
I am satisfied that the pay terms of Partnership 2000 are, in general, holding in the private sector. I recognise that there are pressures on pay, particularly in the construction industry, possibly reflecting sectoral labour shortages in some instances. Government policy is directed at ensuring that skilled labour supply is maintained and, thus, that sectoral strains do not become serious and do not spill over into the economy generally.
As regards the public service, my Department has issued guidelines to all Departments concerning the management and control of public service pay during the period of the Partnership 2000 pay agreement. These guidelines emphasise the absolute necessity for strict compliance with the pay terms of Partnership 2000 in the public service.
Departments have also been instructed, in the context of preparing the multi-annual estimates for the period 1999-2001, to include in their Estimates the cost of the pay terms of Partnership 2000 and it has been made clear to them that no provision will be made for any increase in excess of these terms. Accordingly, the full cost of all Partnership 2000 pay increases, including the 2 per cent local level negotiations increase, will be incorporated into each Department's Estimate for 1999 and beyond, and each Department will be required to live within this provision.
My most recent contact with the social partners, including ICTU, on Partnership 2000 was at the plenary meeting on 28 July 1998 to monitor progress on Partnership 2000. In my address to the meeting, I emphasised the need for strict compliance with the pay terms of Partnership 2000. We are not going to countenance a repetition under Partnership 2000 of the drift which occurred under the PCW.
In general, therefore, while there is no evidence that the pay guidelines in Partnership 2000 are not being maintained, neither is there any room for complacency. All parties to Partnership 2000 must remain vigilant in ensuring that the commitments entered into continue to be observed.
