Public Sector Staff Remuneration

Dáil Éireann Debate, Wednesday - 10 October 2012

Wednesday, 10 October 2012

Ceisteanna (106)

Michael Creed

Ceist:

106. Deputy Michael Creed asked the Minister for Public Expenditure and Reform further to Parliamentary Question No. 221 of 2 October 2012, if he will provide a breakdown of the €810 million reduction in the public sector pay bill for the first two years under the Croke Park agreement; if he will outline the amount of this wage reduction that was achieved by way of reduction of pay in the public service prior to the commencement of the Croke Park agreement; if he will provide further information regarding the increase in the public sector pay bill for employees remaining within the public service for the duration of the Croke Park agreement when the reductions due to voluntary redundancy and the embargo on recruitment are factored out; and if he will make a statement on the matter. [43607/12]

Freagraí scríofa

Minister for Public Expenditure and Reform

Under Paragraph 1.16 of the Public Service Agreement, the Implementation Body is required to undertake an annual review of the sustainable savings generated from the implementation of the Agreement and of the agreements in each sector. Two such reviews have been carried out to date. In the course of these two annual reviews, the Implementation Body has found that €810m in sustainable savings have been achieved in the first two years of the Agreement. This comprises €289m in respect of the first year of the Agreement and €521m in respect of the second year. Full details of these figures, as well as a breakdown by sector, are available in the two Annual Progress Reports published by the Body to date. These reports are available on its website at www.implementationbody.gov.ie/publications.

The pay bill savings reported by the Body are calculated on average annualised savings per employee arising from the reduction in public service staff numbers during the relevant review period. It encompasses savings due to numbers reductions and other reductions in the cost of the public service pay bill (e.g. in overtime, allowances etc). Accordingly, the €810m relates to savings that have been achieved during the lifetime of the Public Service Agreement. There has been no increase in the public sector pay bill since the commencement of the Agreement.