Brian Lenihan Jnr (Dublin West, Fianna Fail)

Deputy Burton's contribution was interesting and constructive. The Government would be prepared to re-engage with the social partners in respect of how the burden of adjustment which we must all shoulder — there is no point pretending that one or two individuals can carry it — might be fairly distributed. One of the crucial elements in reassuring friends of and investors in Ireland from overseas that we are in charge of our affairs is to show that we can, as a Government and a Parliament, send a clear message that we are prepared to bring public expenditure under control and stabilise it. Any change in the measure before the House would send out an entirely wrong signal regarding the determination of the Government to effect savings in respect of the public sector pay bill.

Non-pensionable payments represent a significant element of the public service pay bill. In light of the absolute necessity to reduce public pay costs by approximately €1.35 billion in a full year, they cannot be ignored. If we were to remove non-pensionable pay from the equation, we would be obliged to increase the deduction from the pensionable elements proportionately.

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