Seanad debates

Wednesday, 7 December 2011

Financial Emergency Measures in the Public Interest (Amendment) Bill 2011: Committee and Remaining Stages

 

2:00 pm

Photo of Jim WalshJim Walsh (Fianna Fail)

I support the right of Senator Cullinane to table an amendment such as this and it is appropriate that we discuss it. He is correct in focusing on issues of privilege. Those of us in this House are fortunate enough to have jobs which are fairly decently paid. Equally, we have to be balanced in what we say. The crisis means people have lost their jobs. Their livelihoods have been decimated. Those in political life have given a lead. The then Taoiseach and former Deputy, Mr. Brian Cowen, reduced his pay by 25%, the Taoiseach, Deputy Enda Kenny reduced the salary of a Taoiseach by 30% on taking office. The salary of the Tánaiste and Ministers was reduced likewise. We have taken a very significant drop in salary.

The issue of suspending the payment of increments in the public service has given rise to a great deal of discussion. I fully agree with that. We lost our increments and did not have a say in the matter. They were abolished and were taken from those who had accrued them. Politicians have played their part. It is a mistake to drive things into the ground. We must be fair and balanced. A significant correction has been made to the salary of politicians. Senior staff in the public service have not suffered anything to compare with the decrease that politicians at the senior level have, that is, Ministers, the Tánaiste and the Taoiseach. That should be recognised.

It should be acknowledged that some people in the public service, such as some judges, are paid in excess of the Taoiseach. That is wrong. In considering the pecking order, in terms of importance to our society, the leadership of the Taoiseach - I might have a view on that - has the most important position and I do not think others should be paid in excess of the Taoiseach's salary. I have raised this point on a number of occasions on the Order of Business.

I acknowledge the fact that reductions have been made and it is correct that it has been done. If we drive down the salaries of politicians to the extent that they must have an outside income in order to do their jobs, one would then have a system that is very susceptible to influence and so on. Politicians should be paid commensurate with their duties and responsibilities, and compared to and benchmarked against the rest of society.

The late Deputy Brian Lenihan, when Minister for Finance undertook a process in the second half of 2010 of benchmarking all senior office holders in the State across a range of other similar countries. I have no recollection of seeing the outcome of that benchmarking publicised. It should be published. I went to the trouble of urging the then Minister for Finance and the then Taoiseach to make corrections across all of the public service, based on an analysis l had done of public service pay in western European countries. If we do not recognise these issues, we will not make the necessary correction.

The reason I am so critical of the Minister for Public Expenditure and Reform, Deputy Howlin is because of his failure to do his job and get the essential savings and make the corrections in our fiscal position. If we fail to do that we will not be able to rescue this economy. It is a very serious matter. Having said that, we must acknowledge what has been done.

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