Oireachtas Joint and Select Committees

Thursday, 13 October 2016

Joint Oireachtas Committee on Finance, Public Expenditure and Reform, and Taoiseach

National Economic Output: Director General, Central Statistics Office

10:00 am

Mr. Brian Ring:

I will revert to the Deputy on the issue. I believe, however, that he is referring to outputs from the earnings, hours and employment costs, EHEC, survey. Specifically, it shows an average weekly earnings figure in quarter one of 2016 of €713 and in quarter two of €703. Perhaps these are the figures to which the Deputy is referring. While there has been a positive annual change of 0.5% in the headline figures, the quarterly change was -0.13%.

The Deputy referred to new employment. There can be compositional impacts on some of the figures because the EHEC survey is broad. The overall average figure can be distorted by compositional impacts.

The CSO, like many public sectors bodies, has begun to recruit people again as the moratorium has been lifted. In terms of new rules this is a public sector example but it can relate to many other industries. People who started in recent years were at the bottom of pay scales, etc., and, therefore, there can be compositional impacts on the overall average figures.

The figures for the second quarter of 2015 and the first and second quarters of 2016 are not seasonally adjusted and, therefore, there can also be seasonal impacts on the broad figures. Average weekly earnings are impacted by the number of hours worked. Earnings have been relatively sticky over recent periods. The biggest thing I would be aware of in that regard is an impact of compositional changes.

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