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

I wish to correct a point I had made to Deputy Calleary. I should have said "when the agreement is due to expire" as opposed to "when the current agreement has expired".

The FEMPI measures were enacted by the Oireachtas and remain in place until their repeal. Under section 12 of the FEMPI Act 2013, I am obliged to review and report to the Houses of the Oireachtas on the operation, effectiveness and impact of the relevant Acts and consider whether any of the provisions of the relevant Acts continue to be necessary having regard to the purposes of those Acts, the revenues of the State and State commitments in respect of public service pay and pensions.

The report on the review undertaken was laid before both Houses of the Oireachtas on 29 June in accordance with the provisions of the Financial Emergency Measures in the Public Interest, FEMPI, Act 2013. Among the considerations which informed the determination by me of the necessity for the continuing application of the measures provided for under the Acts were the instability in the international economy, including risks posed by Brexit, the still fragile nature of our economic recovery, the need to protect hard won competitiveness gains, the high level of debt, our continuing need to borrow, the obligation to comply with the Stability and Growth Pact and the need to balance competing demands within the available resources.

The terms of the Lansdowne Road agreement reducing the impact of the pay reductions are being implemented through the FEMPI Act 2015 through a three year programme at a full year cost of €844 million in 2018 with additional provisions providing for a similar programme of reductions in the impact of the public service pension reduction at a full-year cost of €90 million in 2018.

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