Written Answers Nos. 19-27
19. Deputy Barry Cowen asked the Minister for Public Expenditure and Reform if he is satisfied that value for money has been achieved by the Office of Public Works in respect of expenditure incurred to date in relation to Ireland's EU Presidency; and if he will make a statement on the matter. [2807/13]
Amharc ar fhreagraThe Office of Public Works is responsible for providing logistical support for Ireland's EU Presidency. The use of Dublin Castle primarily, together with a number of other State-owned venues mainly in Dublin, for the hosting of events related to the Presidency has obviated the need for venue hire and has reduced set-up costs.
OPW has procured a number of services on the basis of open market competition. The Commissioners of Public Works are satisfied that value for money has been achieved in the procurement of facilities and services related to the event hosting of the E.U. Presidency.
20. Deputy Gerry Adams asked the Minister for Public Expenditure and Reform the measures he will take to open up public procurement to small companies. [3068/13]
Amharc ar fhreagraIn relation to improving access for SMEs to public procurement opportunities the Department of Public Expenditure and Reform has issued guidelines (Circular 10/10) that require public bodies to promote participation of small and medium-sized enterprises in the award of public contracts. These guidelines set out positive measures that contracting authorities are to take to promote SME involvement in a manner that is consistent with the principles and rules of the existing public procurement regulatory regime. The guidance also highlights practices that are to be avoided because they can unjustifiably hinder small businesses in competing for public contracts. The key provisions of the guidance include: supplies and general services contracts with an estimated value of €25,000 or more to be advertised on the www.etenders.gov.ie website; less use of “restrictive” tendering procedures and greater use of “open” tendering; ensuring that the levels set by contracting authorities for suitability criteria are justified and proportionate to the needs of the contract; and sub-dividing larger requirements into lots where this is practical.
Circular 10/10 has been in place for just over two years. It is clear that there is a need to ensure greater consistency in relation to the implementation of this circular. In this regard, the National Procurement Service (NPS) established its 'Working Group to assist Small and Medium Enterprises' in February 2012 to facilitate open discussion on the issue of public service procurement. The Working Group consists of representatives from the NPS, the Health Service Executive, the Irish Business and Employers Federation, the Irish Small and Medium Enterprises Association, Chambers Ireland, and the Small Firms Association. The Group has met on a number of occasions and has raised many issues relating to procurement and particularly how these issues impact on SMEs. Resulting from these discussions the NPS has issued two circulars to all buyers in, and suppliers to, the public service with the aim of improving practice in the procurement arena.
21. Deputy Jonathan O'Brien asked the Minister for Public Expenditure and Reform the action he will take to ensure that the principle of equal pay for equal work in public sector pay is not undermined. [3080/13]
Amharc ar fhreagra46. Deputy Micheál Martin asked the Minister for Public Expenditure and Reform his views on whether the public service is experiencing difficulties in intra staff relations and service delivery arising from the reduced pay scales that have been imposed on new recruits; and if he will make a statement on the matter. [2814/13]
Amharc ar fhreagraI propose to take Questions Nos. 21 and 46 together.
The reduction by 10% of the salary scale and fixed allowances for new entry grades to the public service was implemented by the previous government with effect from 1 January 2011 and remains in place. The stated purpose of the measure was to achieve a medium term structural reduction in the pay bill cost of the public service, and as a contribution towards improving Ireland’s competitiveness. The measure also had regard to the Public Service Agreement 2010-2014 (Croke Park Agreement) which provides for no further reduction to the rate of pay of serving public servants.
The application of reduced scales contributes to the necessary sustainable reduction in the public service pay bill required in a period where pressure on the public purse and the need for cost reduction and containment measures is unprecedented. While recruitment to the public service is limited, the available evidence from recent recruitment campaigns indicates that employment in the public service continues generally to attract large numbers of well qualified applicants while there have been no reported difficulties in intra staff relations or service delivery.
Discussions are currently underway between public service employers and the Public Services Committee of the Irish Congress of Trade Unions in relation to an extension of the Public Service Agreement with the stated intention to reach agreement on securing overall savings of an additional €1 billion from the public service pay bill by 2015. Pay rates for all employees including those subject to the 10% reduction will form part of those discussions.
22. Deputy Thomas P. Broughan asked the Minister for Public Expenditure and Reform if he is reviewing any new proposals to address excessive pay in the public and private sector; and if he will make a statement on the matter. [2834/13]
Amharc ar fhreagraApart from instances where statutory rates of pay apply, pay rates in the private sector are generally a matter for negotiation between individual employers and employees and I have no proposals which would impact on that relationship.
My responsibilities in relation to pay extend to the public service where the Government has a direct role in the determination of pay rates as employer. Pay for all public servants has already been reduced by an average of 14% through pay cuts and a progressive pension related reduction applied through the Financial Emergency Measures in the Public Interest Acts of 2009, with more severe pay cuts to members of the Government and senior public servants of up to 30%. In relation to the remuneration of senior positions in the public service and the Commercial State Companies, the Government has applied a general pay ceiling of €200,000 for future appointments to higher positions across the public service and a general pay ceiling of €250,000 for future appointments to CEO posts within Commercial State Companies.
Discussions are currently underway between public service employers and the Public Services Committee of the Irish Congress of Trade Unions as representatives of public servants in relation to an extension of the Public Service (Croke Park) Agreement with the stated intention to reach agreement on securing overall savings of an additional €1 billion from the public service pay bill by 2015. This will involve reductions in payroll costs for serving staff as well as significant productivity and workforce reform measures, in addition to those already achieved under the current Croke Park Agreement.
23. Deputy Thomas P. Broughan asked the Minister for Public Expenditure and Reform if he is considering reviewing the blanket moratorium on recruitment in the public sector in view of the staffing needs of different sections of the public sector; and if he will make a statement on the matter. [2833/13]
Amharc ar fhreagraThe Government is committed to delivering the pay saving as set out in the EU/IMF Programme of Financial Support. Continued reductions in public service numbers in line with Government policy will go a considerable way towards achieving this saving. Significant progress has already been made in this regard.
End 2012 preliminary returns show that serving numbers in the Public Service were some 290,300, some 30,000 below the 2008 levels. I wish to point out to the Deputy that there is no blanket moratorium on recruitment in the public sector. There are always certain limited exceptions for example in relation to some frontline posts, or statutory positions, etc. where a sufficiently strong business case is made. When any vacancy arises the first issue to be considered must always be if the post still needs to be filled, or if the work can be discharged in any other way.
In the Health and Education sectors in particular special arrangements are in place for exemptions to the moratorium on recruitment for specified grades or positions. However, it is part of the day to day function of the Boards and Management of all public bodies to assess, budget and plan for current and ongoing staffing requirements within existing resources.
The operation of the moratorium is under constant review by my Department and where it is considered prudent it may be adapted. However, if the general moratorium on recruitment and promotion was lifted and numbers were allowed to return to their former levels the paybill would also increase over time and accordingly a substantial part of the current, hard won savings would be lost. For instance if Public Service Numbers were allowed to return to 2010 levels the increase in the paybill would be in the region of €500m.
26. Deputy Clare Daly asked the Minister for Public Expenditure and Reform his plans to privatise semi-State companies in the course of 2013. [3055/13]
Amharc ar fhreagraThe House will be aware from my announcement last February of the shape and scale of the State asset disposal programme that is to be pursued. In brief, the State asset disposal programme that the Government has agreed consists of: the sale of Bord Gáis Éireann’s energy business (but not including BGÉ’s gas transmission or distribution systems or the two gas interconnectors, which will remain in State ownership); the sale of some of ESB’s non-strategic power generation capacity; disposal of the State’s remaining shareholding in Aer Lingus, when market conditions are favourable and in circumstances that accord with Government transport policy and at an acceptable price to Government; after further consideration, and having ruled out the sale of Coillte’s land holdings, the Government has also determined that a concession for the harvesting rights to Coillte forests will be proposed for sale. It is intended that progress will be made on all of these proposed transactions during the course of 2013, as circumstances allow.
27. Deputy Sandra McLellan asked the Minister for Public Expenditure and Reform in the context of his commitment to reform, if he will consider setting up a unit within his Department with responsibility for integrating equality horizontally across all Departments with regards to public expenditure decisions. [3072/13]
Amharc ar fhreagraThe Programme for Government contains a clear commitment that all public bodies would take due note of equality and human rights in carrying out their functions. The State and its bodies must, of course, comply with all provisions of equality legislation in the development and delivery of policies and services.
When focusing on the primary objectives of reducing the deficit and returning sustainability to the public finances, it has been of vital importance to the Government to spread the burden of the adjustments in as fair and equitable a manner as possible, while also seeking to minimise their negative impact on economic growth. The Government must ensure that the available resources are spent in the best possible way and that critical services continue to be delivered.
On a Departmental level, it is the responsibility of individual Ministers and their officials to manage expenditure whilst also ensuring that appropriate consideration is given to matters of equality.
