Brendan Howlin (Wexford, Labour)

I propose to take Questions Nos. 13, 30 and 39 together.

In April 2009, the then Minister for Finance requested the Review Body on Higher Remuneration in the Public Sector to undertake a review of top-level public service pay, to take account of the changed budgetary and economic circumstances and developments in the private sector pay environment and by reference to pay rates for similar posts in the eurozone. This review formed the basis for the reduction of the pay of the Taoiseach by 20% with effect from January 2010 and subsequently a cumulative reduction of 25% with effect from January 2011.

The current Government considered that the reductions adopted did not go far enough and decided on its first day in office in March to reduce the salary of the Taoiseach further by adopting a cumulative reduction of almost 30% bringing the annual salary of the Taoiseach to €200,000 in accordance with commitments in the party manifestos. Pro rata reductions for Ministers and other officeholders were also adopted. These reflect the Government's policy of salary reduction and restraint for higher earners in the public sector.

More recently, in line with the decision to reduce the salary of the Taoiseach, Ministers and senior officeholders, the Government accepted my proposals to introduce a general pay ceiling of €200,000 for future appointments to higher positions across the public service, a general pay ceiling of €250,000 for future appointments to CEO posts within commercial semi-State companies and a voluntary waiver system of up to 15% for current post holders who have salaries in excess of the relevant pay ceiling.

Following the adoption by the people of the recent referendum on the remuneration of judges, I considered it more appropriate and expedient to provide for the new statutory provisions for the remuneration of judges together with the necessary legislative provisions giving effect to the administrative reductions applied to the Taoiseach and other senior officeholders through a single dedicated enactment rather than providing for the latter in the Public Service Pensions (Single Scheme) and Remuneration Bill 2011, the Second Stage of which this House has already passed. Accordingly, as I indicated previously, it is my intention to delete the remuneration provisions from that Bill on Committee Stage and to incorporate them into a new Bill providing for the remuneration of judges and senior officeholders, which I intend to publish later this week. This approach will ensure the statutory requirements on remuneration will secure early passage through the Oireachtas.

Since 1973, the personal remuneration of the President has been set in the Presidential Establishment (Amendment) Act 1973 at the rate paid to the Chief Justice plus 10%. Consistent with this legislation, the proposed new salary rate for the President of €249,014 per annum equates to the proposed new rate for a future new entrant Chief Justice at €226,376 plus 10%.

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