Seanad debates
Thursday, 9 February 2012
Croke Park Agreement: Statements
1:00 pm
Brian Hayes (Dublin South West, Fine Gael)
I will do my best. This has been a most interesting and useful debate, regardless on one's perspective on the Croke Park agreement. It has been a very useful exercise and I genuinely thank all the contributors.
Our public sector is not big by international standards. Those in many European countries are much bigger. We are engaging in very substantial change. Approximately 12% in total will be taken out. I concede that, in the good years, public pay was ramped up at an unsustainable level. In the period 2000 to 2010, public pay virtually doubled. In Germany, it rose by approximately 15%, thereby demonstrating the problem. There were ridiculous benchmarking exercises where double-digit growth in public sector pay was allowed allegedly to deal with the disparity in wages. We are dealing with that fundamental mistake, a political mistake in which unions were bought off and on foot of which no substantial efficiencies were delivered. A merry-go-round was established which is now at an end. We must now move on from that appalling political legacy and do so in partnership.
Senator O'Brien and others asked me what occurs if there is no money. If it is not available, it is not available and we will have to change accordingly. I remarked earlier this year that the question of increments is fundamental. I said quite bluntly to the public sector unions, as did other Ministers, that we want genuine buy-in and support for the very radical sectoral plans that we want to get over the line in the early period of 2012. These plans will make a difference regarding rostering, premium payments and a host of other areas. This is the kind of buy-in we need.
I was asked about the transitional teams in health, education, local government, justice, defence and the civil service. Since the autumn, we have been working on these teams. They have been putting together plans because they have recognised that, between 1 January and the end of February this year, very substantial numbers of people will leave the public sector. There are many opportunities for young people who will suddenly be employed in the public sector. Many young teachers will get jobs this year who would not get them otherwise because staff in their early 60s and late 50s have decided to leave early. The young teachers will be entering the public service on a different pay scale and will be replacing staff at the top of their pay scales. This will result in substantial savings and a considerable opportunity for schools. Many highly educated and motivated staff will be coming into the system.
We will be getting rid of approximately 9,000 staff but, because of the gaps in the front line, approximately 3,000 additional appointments will be made in specialist areas. Most of the appointees will be young. They will be getting opportunities and filling in gaps, and they will have a motivational effect. The transition teams are in place.
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