Michael McGrath (Cork South Central, Fianna Fail) | Oireachtas source

I thank the Minister for his reply. We had an exchange on this matter during our last session of finance questions. I am not naive enough to believe that there would not be pain for all bank employees. Clearly, there has already been pain and there will be more. In particular, difficult decisions about pension schemes have been made. In the case of Permanent TSB, for example, these decisions are pending the outcome of Labour Court negotiations. People acknowledge that the banks need to reduce their cost bases but they want a key principle to be observed, namely, those at the top should lead by example and the impact of the reduction should be graduated accordingly.

I sought this commitment from the Minister previously. He has used some of the terms that arose during our previous exchange. For example, he stated that he was neither neutral nor prescriptive. I respect that a process is ongoing, although I would take issue with the manner in which some of the banks have proceeded, namely, making unilateral decisions in the absence of agreement and pending the outcome of the industrial relations machinery.

Will the Minister insist that middle and senior ranking executives lead by example - the Taoiseach gave this commitment in the House some months ago - and that the impact of the reduction in the cost base be graduated accordingly? Can we take it that this will be the abiding principle used in the implementation of the Mercer report?

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