IRELAND
Emergency legislation that reduced the pay of Irish Public Servants and cut fees for contractors should be retained, Minister for Public Expenditure, Paschal Donohoe (pictured) says.
However, in an annual review of the legislation, known as Fempi, the Minister also said it was appropriate to unwind the measures over the coming years in line with provisions on pay and pensions agreed last year with workers’ representatives.
Mr Donohoe said repealing the various pieces of financial emergency legislation, introduced in 2009, in one go would “exceed available additional resources, violate the terms of the European Union stability and growth pact, broaden the deficit, and increase the national debt”.
The Minister said that under the Fempi legislation provisions and an accompanying reduction in Public Service staffing levels, the Exchequer’s gross pay bill fell by about €3.7 billion (A$5.8 billion).
Mr Donohoe said in his review that the country’s economic recovery was at an advanced stage and the labour market was fast approaching full employment.
However, he warned that “considerable vulnerabilities remain”, pointing to the UK’s pending exit from the European Union as well as a potential trade war.
Meanwhile, Government figures show that just 24 PS employees were sacked in the past four years despite a range of scandals surrounding Government Departments.
Eleven Departments, including Finance, Public Expenditure, Housing, Health, Children, Education and Transport, had not dismissed any staff.
The Department with the highest rate of attrition was Social Protection, from which 13 staff were fired.
A further staff member was transferred.
Dublin, 3 July 2018
