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

I thank Deputy Ryan. As we stand here today in the Chamber, the officials from my Department are in negotiations with the public services committee of the Irish Congress of Trade Unions to see if new pay arrangements can be agreed. I do not want to say anything that would be unhelpful to that process. I hope it comes to a successful conclusion. We are entering a critical phase in those discussions now.

The aim here is to strike the right balance. We must be fair to public service workers and recognise the impact of inflation on their living standards. We also must recognise the needs of the State generally. We are now in an environment where the global economic outlook is increasingly uncertain. There is no sign, unfortunately and tragically, of the war in Ukraine ending any time soon. Obviously, the inflationary environment is having a direct impact on workers and on the State generally. It is about striking the right balance. I believe we stand a good chance of reaching agreement but this will require goodwill and co-operation from all parties. We will know shortly whether that is possible.

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