Leo Varadkar (Dublin West, Fine Gael) | Oireachtas source

I do not propose to accept the amendment at this time. The amendment proposes that the class K contribution of 4% made by a range of public officeholders, including the President, Members of both Houses of the Oireachtas and members of the Judiciary, be abolished. Class K contributions were introduced at a time when the State was experiencing an unprecedented financial crisis. Payment of class K contributions was one of the measures that ensured public officeholders made their contribution to the resolution of that crisis. In particular, the introduction of these contributions meant that officeholders, in general, pay the same marginal rate of all statutory deductions from their salaries as most employees. The Bill before the House provides for the abolition of class K contributions for local authority members from 2017.