Michael D Higgins (Galway West, Labour)
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Question 99: To ask the Minister for Finance the terms of reference for the next round of work to be undertaken by the benchmarking body; when the process is likely to begin; when it is likely to be completed; if the members of the body have now been appointed; and if he will make a statement on the matter. [13344/05]

Brian Cowen (Laois-Offaly, Fianna Fail)
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In the first public service pay agreement under Sustaining Progress, the parties agreed that the benchmarking process was the appropriate way to determine public service pay rates. They committed themselves to engage in consultation about the terms of reference, modus operandi, establishment and timescale of a further benchmarking exercise. In the pay agreement reached in June 2004 under the mid-term review of Sustaining Progress the parties agreed that the benchmarking body will commence the next benchmarking review in the second half of 2005 to report in the second half of 2007.

Under the agreement the parties agreed to review the operation of the first benchmarking exercise and consider ways in which, based on experience gained in the last exercise, the process can be improved and streamlined. It was also agreed that the membership of the benchmarking body and its terms of reference will be agreed between the two parties not later than July 2005. Discussions between the public service employers and unions on the terms of reference are continuing. Membership of the benchmarking body has not yet been decided but consideration and consultation by the parties is taking place.