Martin Conway (Fine Gael) | Oireachtas source

To be fair to all parties concerned and put it bluntly, it is a little silly to be nitpicking about Hallowe'en.

I commend the Minister for his contribution, in which he provided a comprehensive review of what was happening in the context of public expenditure reform. We are dealing with a crisis and it is always worth bearing in mind that Ireland is operating within the confines of a programme. We do not have economic independence at present and we are not our own paymaster. Unfortunately, we are operating at the behest of others. The Government has responsibility for getting the country's house in order in respect of a crisis it did not create. Fine Gael and the Labour Party were obliged to do this when they were in government in the 1980s and 1990s and they will do so again in the interests of the people.

There has been a great deal of discussion about the Croke Park agreement. There are elements of it with which everyone has an issue. However, is anyone in a position to offer an alternative to it which would ensure industrial peace? Despite the difficulties we are experiencing, there has been an unprecedented period of industrial peace which is essential in ensuring competitiveness and efficient performance. We are enjoying such a period which is largely down to the Croke Park agreement.

I commend the Minister and the Taoiseach for meeting the implementation body recently and encouraging the various stakeholders to fast-track reform. Such reform is happening and a great deal of work is being done in various Departments and agencies in order to ensure the pace of such reform will be accelerated. As the Minister rightly pointed out, it is estimated that by 2015 the ball-park figure for public sector pay savings will be ¤3.5 billion. That will be a significant achievement. As stated, it is being facilitated by the fact that we are in an extended period of industrial peace. As a country, we must do our business differently and ensure the money we expend on behalf of the people is spent wisely.

I commend various Government Ministers for the initiatives they have taken. Most recently, the Minister for the Environment, Community and Local Government Reform announced significant local government reform. As a result of what he is doing, in the region of ¤400 million in cost savings will be made at local government level. In addition, there will be a reduction of 700 in the number of town and county councillors. As a result, local government is going to work effectively on behalf of the people. The Minister is responsible for what is the most significant reform of local government in the history of the State, for which he must be commended. If he does nothing else during his five years in office other than spearheading the reform to which I refer, he will still have achieved a great deal. Local government has not been working. One of the Minister's predecessors introduced the Better Local Government legislation in 2002. In my humble opinion, that legislation was bad for local government because it created an entire layer of middle management operatives and directors of services within local authorities which cost too much and were not effective.

Under the old system of local government, there was a county manager, a county secretary, a head of finance and a county engineer who ran the county councils. Town councils were run by town clerks and their assistants. I live in County Clare and in my local authority there are between seven and ten people at director of service level. They are each paid in excess of ¤100,000 per annum, while the county manager is paid ¤150,000. I have no intention of impugning their integrity and I am sure they are doing an exceptionally good job in difficult circumstances. However, one must ask the question as to whether we require that level of bureaucracy within local authorities. The Minister for the Environment, Community and Local Government and his Government colleagues are determined that this matter will be dealt with and redundancy packages will be offered to between 500 and 600 senior local authority officials. In addition, the number of regional authorities is going to be reduced from eight to three. This means that there will be three effective regional authorities which will be based in populated areas but which will take a broad regional approach. They will do the same work as that being done by the eight existing authorities. They will be effective and efficient in their operation. These are some of the changes, alterations and improvements taking place at local government level.

Senator Thomas Byrne referred to Seanad reform. The Taoiseach is committed to holding a constitutional referendum on the future of this House in the latter part of 2013.