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 Brian HayesBrian Hayes (Dublin South West, Fine Gael)

Thank you, Senator. My second point on the amendment is that Senator Cullinane has excluded the Cathaoirleach, which is probably sensible on his part but it means that the Cathaoirleach would have a larger salary than the Ceann Comhairle. The Ceann Comhairle is a very reasonable man but I wonder would it go that far?

In regard to the internal consistencies in the proposed amendment, because the Senator has not referred to Secretaries General, it means that their pay would be twice that of the Taoiseach's. Their pay would remain at €200,000, whereas that of the Taoiseach would be €100,000. I am pointing out the problem with the amendment. It is not well thought out. It is not consistent and others will determine why it was tabled, but I am not going to go there.

The point made by Senator Walsh is very sensible in this regard. The previous Government and this Government have taken substantial reductions in pay. The greatest reductions in pay in the Civil Service have also been across the Secretaries General grade where on a voluntary and on a real basis, significant reductions have been seen in their gross pay. The first decision this Government implemented on taking office was to reduce the salary of the Taoiseach to €200,000, with a proportionate reduction across the Cabinet and those at the rank of Minister of State. The decision we took on day one was the right decision. Will that issue be reviewed again? I do not think anybody can say with consistency that the issue is off the table, it depends on where things are. The salary of a Taoiseach has fallen from €280,000 when the former Taoiseach, Mr. Brian Cowen reduced it and it was further reduced by Deputy Enda Kenny on taking office to €200,000 with an appropriate reduction across the other grades.

There has been very significant reductions in salary and that is appropriate. When I put forward the argument of take home pay, most workers do not look at gross pay because we have such a high marginal tax rate. I know that in the view of Sinn Féin, 75% of the adjustment should by way of further taxes

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