Richard Bruton (Dublin North Central, Fine Gael)
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Question 128: To ask the Minister for Finance the conditions that constitute an unforeseen budgetary deterioration in the context of the draft public service agreement. [17312/10]

Richard Bruton (Dublin North Central, Fine Gael)
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Question 130: To ask the Minister for Finance if he has committed to the payment of annual pay increments as part of the draft public service agreement. [17314/10]

Richard Bruton (Dublin North Central, Fine Gael)
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Question 131: To ask the Minister for Finance if he has committed not to cut the pensions of existing public service pensioners as part of the draft public service agreement. [17315/10]

Brian Lenihan Jnr (Dublin West, Fianna Fail)
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I propose to take Questions Nos. 128, 130 and 131 together.

Under a process of engagement and discussion between public service employers and the Public Services Committee of the Irish Congress of Trade Unions, facilitated by the Labour Relations Commission, a draft agreement has been reached between the parties which provides for the settlement of the industrial relations dispute in the public service. It is now a matter for individual union members to consider the draft Agreement in the context of the balloting process.

The Agreement provides there will be no further reductions in the pay rates of serving public servants for the lifetime of the Agreement. Increments will continue to be payable. This guarantee is subject to compliance with the terms of the Agreement. In relation to existing public service pensioners, Section 3 of the Financial Emergency Measures in the Public Interest (No. 2) Act, 2009, provides that the pay reductions introduced in that Act do not apply to the entitlements of existing public service pensioners or to any person who retires from the public service in 2010. Under the draft Agreement the period of exemption to persons who may retire would be extended by a year. The Agreement also provides that discussions will take place on the method of determining pension increases for existing public service pensioners and current public servants in the context of a review of pay policy in Spring 2011.

The Government has reaffirmed that, if agreed, it will implement the Agreement in absolute good faith. The provision within the Agreement which specifies that the Agreement is subject to no currently unforeseen budgetary deterioration was inserted as a prudent measure and would only be raised in the context of a significant deterioration in the budgetary and economic outlook which would require further corrective action to ensure fiscal sustainability. Adoption of the Agreement will itself give a measure of certainty about policy and spending and help to avoid any such significant deterioration. Under the circumstances, speculation on a specific set of circumstances which is unlikely to arise would be neither helpful nor warranted.

Richard Bruton (Dublin North Central, Fine Gael)
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Question 129: To ask the Minister for Finance the reduction in public sector numbers targeted in the draft public service agreement, in total and by sector. [17313/10]

Brian Lenihan Jnr (Dublin West, Fianna Fail)
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The draft Public Service Agreement, which is subject to ratification by the relevant public service trade unions, notes that reductions in public service staff numbers, along with a range of other initiatives in the area of revised work practices, redeployment etc., could contribute to a more efficient public service, and facilitate the Government's core objective of restoring the public finances to a sustainable position.

This approach is fully in line with the Government's multi-year fiscal consolidation strategy as set out in Budget 2010. In that context, and in particular in the Stability Programme Update of December 2009, the Government indicated the move to a new, more rigorous approach to controlling public service numbers, centring upon the establishment of an agreed annual numbers ceilings, to be managed in accordance with Employment Control Frameworks for each Ministerial Vote Group. Specifically, the Government intends that overall Public Service numbers should be brought down by approximately 13,000 over the period 2009-2012 broken down as indicated on a sectoral basis in the following table.

Note: Staff numbers are whole-time equivalents.

The precise ceilings in each area are subject to further Government consideration in certain cases and are, as always, subject to any future Government policy decisions and priorities in regard to public service provision.