Written answers

Tuesday, 28 March 2006

11:00 pm

Photo of Olivia MitchellOlivia Mitchell (Dublin South, Fine Gael)
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Question 202: To ask the Minister for Finance if, in view of the recent arbitration board decision not to permit outsourcing of the driving test, he is considering renegotiating section 21 of the national pay agreement to allow for outsourcing of public services in times of emergency and crisis; his views on whether it is appropriate for the power of the State to outsource existing public services be prevented due to the constraints of the partnership agreement; and if he will make a statement on the matter. [11591/06]

Photo of Brian CowenBrian Cowen (Laois-Offaly, Fianna Fail)
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Most services provided by Government Departments and other public service agencies are best provided directly by the staff of the Departments and agencies. There is, however, a variety of situations where work can be carried out or services delivered more effectively or efficiently by contracting out of work. There are various instances across the public service where work is contracted out at present.

The current driver testing backlog is unacceptable and must be eliminated as quickly as possible. My colleague, the Minister for Transport, has gone to exceptional lengths to maximise the contribution that can be made to reducing this problem from within the existing system. As well as additional recruitment and redeployment of existing civil servants the measures proposed included bonus payments for the existing staff. These measures, however, would still not be sufficient to clear the backlog quickly enough. It is for this reason that the temporary contracting out of some of the work was proposed.

Agreement could not be reached with the relevant unions either directly or through the services of the Labour Relations Commission, despite the special incentive arrangements that had been put in place for the driver testers. It is disappointing that such agreement could not be reached particularly given what should be the normal partnership approach to addressing pressing issues of public interest. In the absence of agreement the matter was referred to the Civil Service arbitration board, acting in an ad hoc capacity. The finding of the arbitration board turned in particular on the interpretation of paragraph 21.9 of Sustaining Progress. It was the clear intention and understanding of the public service employers when Sustaining Progress was negotiated that the effect of this paragraph, which forms part of the section of the agreement that deals with modernisation and flexibility, was to provide greater rather than less scope for contracting out of work where it made sense to do so. The arbitration board has interpreted this paragraph more narrowly.

The arbitration board's finding was concerned solely with the strict interpretation of the relevant paragraph in Sustaining Progress. The board in its adjudication pointed out repeatedly that it was not concerned with the merits of the dispute as to how the backlog of driving tests should be solved. However, it felt its continuance represents a potential threat to road safety. The board urged a resumption of discussions at which all options — and they emphasised all options — should be considered, with a view to ensuring that such a solution is implemented without delay. I understand that there have since been discussions between the Minister for Transport and the main union concerned. I hope a satisfactory outcome will emerge.

One of the central themes of the ongoing agenda for modernisation of the public service is the need to increase flexibility in working arrangements and to eliminate rigidities and restrictive practices, with a view to enhancing the efficiency and effectiveness of the services being delivered. In appropriate circumstances contracting out of work is one of the tools which can make an important contribution in this regard. This issue will have to be addressed again in discussions on the arrangements to follow Sustaining Progress, which expires at the end of June 2006 in the public service, in order to ensure that barriers to best practice in the delivery of public services are eliminated.

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