Dáil Éireann Debate, Wednesday - 15 April 2015
196. Deputy Billy Timmins asked the Minister for Public Expenditure and Reform the cost of restoring the public sector pay cuts that took place over a number of budgets, by each Government Department; and if he will make a statement on the matter. [14928/15]
Amharc ar fhreagraThe Haddington Road Agreement (HRA), underpinned by the Financial Emergency Measures in the Public Interest (FEMPI) Acts 2009-2013, contains a number of measures directly affecting the pay of staff, with an estimated €2.2bn of direct reductions in public service remuneration and pensions, in addition to the savings achieved through the reduction in numbers employed in the public service. Notwithstanding our improving economy, because of the magnitude of these reductions, the Exchequer could not sustain the immediate restoration of such reductions.
I have indicated that, following receipt of the 1st Quarter Exchequer returns and engagement with my Government colleagues, it is my intention to engage with Public Service Unions regarding the gradual unwinding, in parallel and consistent with our improving economy, of the emergency measures implemented under the FEMPI Acts. Any discussions on pay will, of course, take place in the context of the State's fiscal position and the pace of financial recovery for this year and 2016. Any proposed changes to the FEMPI legislation will be subject to Government approval and will be brought before the Houses of the Oireachtas.
Public service pay rates will continue to be frozen in 2015 the 7th consecutive year in which there will have been no pay increases for public servants and, as we know, there have been 2 or 3 actual cuts in wages over that period. The Government is now planning for the development of a sustainable public service pay and pensions policy that will continue to support our ongoing economic recovery over the medium term.
