Dáil debates

Thursday, 18 December 2014

Appropriation Bill 2014: Committee and Remaining Stages

 

11:30 am

Photo of Simon HarrisSimon Harris (Wicklow, Fine Gael) | Oireachtas source

I reject the assertion that the Minister, Deputy Howlin, is hostile in regard to the provision of information. He has done a lot to ensure there is more information available than there was, including in regard to freedom of information and has rowed back on the curtailment introduced by Fianna Fáil. He has enhanced the legislation to ensure there is more openness in regard to government. I do not think the Deputy's criticism is fair.

I do not propose to accept this amendment. The Minister for Public Expenditure and Reform has previously announced the intention to publish an annual report on public service reform, including the issues addressed in the Haddington Road agreement, in early 2015, in line with the commitment in the Government's public service reform plan 2014-2016. I understand this commitment was previously conveyed and confirmed to the Deputy in response to a parliamentary question in October. It should also be noted that the Financial Emergency Measures in the Public Interest Act 2013 obliges that a statutory report be made on the requirement for and effectiveness of the legislation. The Minister for Public Expenditure and Reform will make a further report to the Oireachtas in June 2015 in line with these statutory obligations.

The Haddington Road agreement, which came into effect on 1 July 2013, is underpinned by the Financial Emergency Measures in the Public Interest Act 2013 and forms the cornerstone for public service policy over a three year period. Over the first 18 months of its lifetime, the agreement has been a key in enabling reduced costs in the public service pay and pensions bill. The impact of the 2013 Financial Emergency Measures in the Public Interest Act 2013 and the Haddington Road agreement has been to deliver cost reductions and substantial productivity increases. The additional hours which the agreement has facilitated have allowed the Government the scope to reinvest in key front line services by recruiting additional staff and we are now moving into that space. The demonstrates that the agreement is delivering and contributing to achieving the Government's fiscal target of bringing the deficit target below 3% GDP by end 2015.

It is important to differentiate when trying to calculate the benefits of the Haddington Road agreement versus the Croke Park agreement and previous agreements. It is quite different.

The agreement provided for a number of pay cuts for people at the higher end of the public sector pay scale. As a result, the effects were fed into the system immediately. That was quite different from the Croke Park agreement, under which there was a thorough implementation process and a need to scrutinise whether various reforms or objectives had been met. The Haddington Road agreement was clear-cut in terms of what it did and the pay cuts it implemented. It was a fairer agreement than previous ones in respect of where it tried to strike the balance in savings. We do not propose to accept the amendment because we do not believe this is the legislation under which a report should be provided within 12 days. This is technical legislation. The Minister has given a commitment to publish a public service reform annual report in 2015, which will address key issues, including issues under the Haddington Road agreement. He has reiterated that commitment to the Deputy in the House. Thankfully, we are moving into a space in which we can look at engaging on the future of public sector pay and working conditions and recruitment to key front-line services. Therefore, the amendment is not necessary.

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