Appointments to State Boards

Dáil Éireann Debate, Thursday - 29 September 2016

Thursday, 29 September 2016

Ceisteanna (180)

Willie Penrose

Ceist:

180. Deputy Willie Penrose asked the Minister for Public Expenditure and Reform his views on whether the reappointment of the chief executive officer of Horse Racing Ireland clearly breached the Government guidelines as set down by the Department of Public Expenditure and Reform, which specified strict time limits of the duration for time in which the CEO of a commercial semi-State body should serve; if, in the context of the reappointment of the chief executive officer for Horse Racing Ireland, this was clearly breached insofar as at the end of this contract period they would have served in excess 19 years, which is clearly not in accordance with the prescribed guidelines; and if he will make a statement on the matter. [27948/16]

Freagraí scríofa

Minister for Public Expenditure and Reform

I refer the Deputy to my answer to PQ Ref 25170/16 on the 15.09.2016.

Generally, the Chief Executive Officer of commercial state bodies is appointed by the Board and holds office on terms and conditions determined by the Board with the consent of the relevant Minister and the Minister for Public Expenditure and Reform.

The Guidelines on Contracts, Remuneration and Other Conditions of Chief Executives and Senior Management of Commercial State Bodies issued in 2006 provided general guidance at that time on remuneration, contracts, performance related pay and related matters for newly appointed Chief Executives of commercial state bodies. However, terms and conditions of appointment remain a matter in each case for consent by the line Minister and the Minister for Public Expenditure and Reform in the context of policy developments on the remuneration and conditions applicable to CEO appointees the terms of which have been revised significantly from the 2006 guidelines in light of the national financial constraints.

The recently published (effective 1 September 2016) updated Code of Practice for the Governance of State Bodies includes current guidelines on the contractual terms and conditions of appointment for CEOs in commercial state bodies.  The Code provides that the term of a contract of a CEO in such bodies is normally limited to a single contract period of between five and seven years. Notwithstanding this provision there is however no maximum length of service specified for CEOs in such contractual arrangements.