Enda Kenny (Mayo, Fine Gael)
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Question 134: To ask the Minister for Finance if he has developed the implementation mechanisms necessary for the implementation of the rationalisation of public service structures outlined by the Special Group on Public Service Numbers and Expenditure Programme, such as arrangements for moving staff, the terms of redundancy arrangements, the framework for outsourcing and shared services and so on. [39145/09]

Brian Lenihan Jnr (Dublin West, Fianna Fail)
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The Special Group on Public Service Numbers and Expenditure Programmes has made a wide range of recommendations for reform and rationalisation within the public service. All of the recommendations of the Special Group are being considered by the Government in the context of the 2010 Estimates and Budgetary process and Government decisions on the proposals will be taken in that context.

As regards the specific issues highlighted, the Deputy will be aware of the range of measures in place to support the Government's overall numbers policy, including the incentivised scheme of early retirement, incentivised career breaks and the shorter working year scheme. My Department has also commenced discussions with the unions representing civil and public servants with a view to agreeing appropriate arrangements for the redeployment and placement of staff across the civil and public service. To date, no redundancy arrangements have been discussed or agreed.

In relation to shared services and outsourcing, the report of the Government's Task Force on the Public Service noted that experience in both the public and private sectors demonstrates that benefits can be realised by the adoption of shared services models under certain conditions. It recalled the view of the OECD that an incremental approach should be taken to the development of shared services which should be a strategy that is only pursued where a clear ex-ante case can be made for achieving either financial benefits or service improvement. It identified the most common areas of shared services as payroll, financial management, human resources management, means assessment, procurement and common ICT services.

Of course, no consideration of shared services would be complete without an assessment of the potential for services to be delivered by external providers. Towards 2016 recognises that there will be co-operation with the introduction of shared services between Public Service and related organisations where this can give rise to efficiencies or cost savings. Work on the development of shared services, which is taking place under the direction of the Cabinet Committee on Transforming Public Services, is ongoing. At present a number of pilot projects are being developed which it is envisaged will inform developments throughout the Public Service.