Simon Harris (Wicklow, Fine Gael) | Oireachtas source

I propose to take Questions Nos. 41, 63 and 85 together.

I thank the Deputy for his question and acknowledge the fact that he has raised this matter on a number of occasions. He will be aware that in February an agreement was reached at the Workplace Relations Commission, WRC, between my Department, the HSE and health sector trade unions on a process aimed at resolving the pay restoration issue for staff employed by section 39 bodies in 50 pilot organisations. The 50 organisations included were agreed to at the WRC by all parties, including the unions.

I asked the HSE to engage with the section 39 organisations to establish the facts which varied from organisation to organisation in regard to what cuts had been applied and how and when they had been implemented. The HSE has completed the first phase of its work on the agencies identified as part of the WRC process. This exercise has shown that, of the agencies which returned data, a majority applied pay reductions of some form. It also shows that some agencies made provision for some form of pay restoration between 2016 and 2018.

Following constructive engagement, with the assistance of the WRC which I thank for its work, an agreement was reached on 2 October between all parties. Pay restoration will commence, with an annual pay increase of up to €1,000, in April 2019 for those employed by the 50 organisations involved in the pilot programme. Any outstanding balance will be paid in two equal amounts in 2020 and 2021. The cost of this phase of pay restoration will be €7.7 million.

The HSE is undertaking a validation exercise in respect of those 50 pilot organisations and their funding requirements to ensure pay restoration. Further information was requested from them in November and the returns are either being assessed by the HSE or, in some cases, still being worked on by the organisations. I urge those organisations to provide the necessary information as a matter of urgency.

In respect of the organisations which did not form part of this phase, it is recognised that some of them will also have pay restoration issues and a process of engagement to address the issue will commence in 2019. We have agreed a way forward between all parties. Phase one of restoration will proceed in 2019. We will then move on to the other organisations.

See this speech in context