Willie Penrose (Longford-Westmeath, Labour)
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Question 75: To ask the Minister for Health and Children if she has requested a reduction in the money spent on advisers, media consultants, bonuses and other costs associated with senior management in the Health Service Executive; if so, the response she has received; the action she is taking; and if she will make a statement on the matter. [26329/09]

Mary Harney (Dublin Mid West, Progressive Democrats)
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Clearly, the current fiscal position demands the most careful control of public expenditure and the Government is strongly of the view that account needs to be taken of all opportunities for efficiencies. I am very conscious of the need to make savings where possible without impacting on service levels and have consistently communicated this need to the HSE and other health agencies.

As part of a multi-annual approach to value for money announced by the Minister for Finance in the context of the budget, a range of value for money measures has been outlined in the HSE National Service Plan 2009, of which consultancy is just one element. In line with the Government decision on the matter of July 2008, the HSE is required to reduce expenditure on advertising, public relations and consultancy by at least 50% in 2009 as against 2007 expenditure levels. I have requested the HSE to report on this under section 10(2) of the Health Act as part of the monthly Performance Monitoring Reports on the National Service Plan.

It is critical that the HSE exercises the same level of prudence and scrutiny in relation to these costs, as is being required by the Government across the entire public sector. The HSE has indicated that it is determined to achieve a significant reduction in management consultancy costs generally.

With regard to advisers, the terms and conditions of contracts for these individual advisers are already public knowledge. All payments made are for work done under the provisions of their contracts. These advisers have reduced their fees by 10% , following the Government decision taken regarding the pension levy.

My Department recently wrote to the Chairperson of the HSE Board about Performance Related Award payments. While acknowledging that the role of the board in relation to these payments, it was also highlighted that no performance-related awards have been approved in the Civil Service in respect of 2008, and that consideration is being given to the future position in relation to such awards in the public service generally. Reference was also made to the exercise currently being undertaken by the Review Body on Higher Remuneration in the Public Sector in reviewing the levels of remuneration appropriate to the groups within its terms of reference, as this could possibly be relevant in this regard. This letter went on to say that, in light of these facts and the current economic and budgetary difficulties, it would be appropriate that consideration of any bonus payments should be suspended by the HSE board, pending the issue of further guidelines from central government.