Pat Rabbitte
Ceist:44 Mr. Rabbitte asked the Minister for Finance the progress made to date on objectives for public service reform as set out in the Programme for Prosperity and Fairness; and if he will make a statement on the matter. [4682/01]
Other Questions. - Public Service Reform.
The following are the achievements in progressing the objectives of public service reform as set out in the Programme for Prosperity and Fairness. Work is well advanced in the preparation of the next round of departmental strategy statements and new customer service action plans. A performance management and development system, PMDS, for the Civil Service was launched in May 2000 and is now being implemented in Departments and Offices. Achievements in the human resources management area include a programme to tackle short-term staffing problems and a modernised approach to human resource management. A new model of Civil Service recruitment is being developed and the necessary legislation is expected to be published by early 2002. In line with the commitment in the PPF, expenditure on training and development is being increased and in the Civil Service is expected to reach the target of 4% of payroll by 2003. The implementation of a package of measures to promote gender equality, including targets for the representation of women at higher management grades, is being discussed with the Civil Service unions.
A number of changes in budgetary and expenditure management arrangements are in place and these are creating an environment favourable to the development of a new management information framework which is at an early stage of development. A package of measures on regulatory reform is being developed to reduce the compliance burden on the business sector and provide easier access and transparency for all citizens. There are a number of initiatives under way to effectively tackle cross-cutting issues, for example, the national anti-poverty strategy, the national children's strategy and the REACH unit to oversee the development of electronic services for the public.
In the area of electronic service delivery via the Internet, a number of services are now available, for example, the Revenue on-line filing system, a system for access to Land Registry information, a system for accessing job opportunities in FÁS. As part of this ongoing public service IT programme, further developments are planned over the remaining two years of the information society action plan. E-strategies are being prepared by Departments and Offices. These strategies will identify and prioritise the services which will be provided electronically during the lifetime, up to end 2002, of the action plan for the information society. A fund of some £55 million for 2001 is in place to support initiatives that progress the action plan.
In July 2000 the Government approved the establishment of the new National Centre for Partnership and Performance and, as provided for in the PPF, a review of the partnership process will commence shortly. The Public Service Benchmarking Body was established in July 2000 to examine public service pay and jobs, by comparison with the private sector, and to make recommendation thereon by June 2002.
The PPF provides for external verification of progress in the modernisation programme. Sectoral quality assurance groups, including external business-customer representation, are in the process of being established for the purpose of providing independent verification of progress of the various strands of the modernisation programme. Progress achieved by 1 April 2002 at individual organisation level is to be reported on and assessed by the relevant quality assurance groups by 1 October 2002 and payment of the final phase of 4% under the PPF will be conditional on satisfactory progress being made in achieving key objectives. These objectives are being agreed at the appropriate organisational level prior to being submitted to the relevant sectoral quality assurance group.
I will focus on one or two aspects of the Minister's reply. I understood him to say that a performance management system was in place in relevant Departments and offices. Will he confirm that is the case? Does he agree the performance management system was considered a prerequisite for putting in place some form of gain-sharing, of performance related pay within the Civil Service? What is the current state of play in negotiations with the trade unions in that regard?
We launched the performance management and development system in May 2000 and it is being implemented in Departments and offices. Successive Ministers have tried to progress the system as the foundation stone of a possible performance pay system. It would be difficult to have one without the other. Slow progress has been made over a number of years on the matter. I would not like to link the development of the performance management system to the question of gain-sharing. While it may be linked in some people's minds, I do not consider that that necessarily will be the case. As I indicated in my press release on the Finance Bill last Thursday, I am well disposed to the idea of gain-sharing in all quarters.
My Department and the social partners are trying to get some workable definitions to ensure gain-sharing would not be used as a bonus system and a tax avoidance mechanism. Hopefully we will progress the gain-sharing option in the future.
The absence of a gain-sharing system in the public service, and the absence of a profit-sharing system which would apply to the bulk of Irish firms not publicly quoted, means the scheme the Minister announced last week will be seen as focused on a small number of already well paid workers, most of whom work for multi-national corporations. That is not a good thing.
As far as I am aware, Deputy McDowell was very supportive of the ideas put forward by the Irish software association some months ago regarding share options and developments that might occur in the Finance Bill.
I am in favour of a broad based system, not something that targets only a small number of workers, as is the case with the Minister's proposal.
The scheme I announced last week proposes that at least 70% of a share option scheme must be available to all employees on similar terms. This will ensure such schemes are available to everyone, from the man or woman at the door with the lowest paid job to the person paid at the highest level in the firm.
This question has been concluded.