Paschal Donohoe (Dublin Central, Fine Gael) | Oireachtas source

As this is my first opportunity to take questions as Minister for Public Expenditure and Reform, I look forward to working with Deputies Dara Calleary and David Cullinane. I especially acknowledge the contribution of the former Minister, Deputy Brendan Howlin, who conducted himself in this role and led the Department for many years. I always had an appreciation of the great contribution he made to restoring the country's fortunes and now that I find myself in the place where I am taking on the role he played, that appreciation is even greater. I will always hold to this when he uses his expertise to put questions to me about what I am doing.

Moving on to Deputy David Cullinane's question, under section 12 of the Financial Emergency Measures in the Public Interest, FEMPI, Act 2013, the Minister for Public Expenditure and Reform is required to review the necessity to have the FEMPI legislation annually and cause a written report on the findings to be laid before each House of the Oireachtas. The most recent report made under the 2013 Act was laid before both Houses of the Oireachtas by the then Minister on 29 June last year. In that report the Minister found that, having regard to the purposes of the relevant Acts, the overall economic conditions in the State, national competitiveness and Exchequer commitments in respect of public service pay and pensions, the measures put in place by the FEMPI Acts 2009 to 2013 continued to be needed in 2015. However, the review also noted that for 2016, out to September 2018, the Government had approved proposals which subsequently gave rise to the Lansdowne Road agreement. The FEMPI Act 2015 included a series of measures, including the gradual unwinding of the pay reduction measures as they applied to public servants in line with the Lansdowne Road agreement and the amelioration of public service pension reductions applying to retired public servants.

Additional information not given on the floor of the House

The estimated costs of the measures which are being implemented from 1 January 2016 in respect of public service pay and pensions on a full year basis in 2018 are €844 million and €90 million, respectively.

As Minister for Public Expenditure and Reform, I am required to undertake a further review of the necessity to have the FEMPI legislation and report to the Oireachtas before 30 June. That report is being prepared to be laid before both Houses of the Oireachtas.

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