Brian Cowen (Laois-Offaly, Fianna Fail)

The situation that arose relates to the implementation of the independent review body on higher remuneration in the public sector. It was established in 1969 as an independent standing body, whose primary function was to advise the Government on the general levels of remuneration appropriate to higher public servants in the Civil Service, local authorities, former health boards, non-commercial State bodies, the Garda Síochána, the Defence Forces, hospital consultants, members of the Judiciary and holders of political office. It is established Government policy to accept the recommendations of this independent review body. It has been accepted by successive Governments.

In its report the review body set out the basis for its decisions. The Government has decided to phase in the increases over an 18-month period over three payments. The payments are based on comparing public sector posts to private sector posts where the duties and responsibilities are comparable. The recommendations are based on the lower quartile of the private sector rates and have been further reduced by 15% to allow for the superior value of public sector pensions relative to the private sector.

I am mindful of the fact that the findings of the review body will inevitably attract adverse criticism, in terms of public service and national pay policy. There is never a time when increases for top public service posts or the public service worker in general can be approved without attracting some adverse criticism.

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