Brendan Howlin (Wexford, Labour)

The Deputy has misunderstood. The cap for the commercial semi-state sector is €250,000. I have appointed no one above that except the ESB chief executive, and I explained that to the House. We had to offer a multiple of that to get someone to run ESB.

I am anxious to significantly reduce top-level pay and I must do it in a structured way. We looked at the Hay rates and reduced them proportionately to maintain the differential between the different State companies. Without disrespect to Bord na gCon, the chief executive of Bord na gCon is not being paid the same as the chief executive of Bord Gáis Éireann or the ESB because their responsibilities are different. However, the Hay rate was not a fixed point; there was flexibility. I have always said that if a business case is made to me in an individual case and it is in the public interest for a company facing significant challenges to get the right person, I will adhere to that. We must have a debate on the issue. It amuses me when I read one newspaper in particular that pays fantastic sums to its chief executive commenting on the pay of people who are running extraordinarily complicated companies within the State sector. We saw one departing chief executive of a newspaper recently getting an enormous sum of money and regarding that as acceptable and yet being able to comment on salaries in the State sector.

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