Pearse Doherty (Donegal South West, Sinn Fein)
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Question 224: To ask the Minister for Public Expenditure and Reform the total value of bonuses awarded to staff in the public sector from the years 2007 to 2010. [21063/11]

Brendan Howlin (Wexford, Labour)
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The Committee for Performance Awards was established in November 2001 to oversee the operation of schemes for performance awards for certain grades within the civil service, the Garda Síochána and the Defence Forces. The first awards under the scheme of performance-related awards were made in 2003 in respect of 2002. Subsequent awards were made annually thereafter up to 2008 in respect of performance in 2007. On 5 February 2009 the Minister for Finance announced in the Dail the discontinuation of the scheme for Assistant Secretaries, Deputy Secretary and related grades. No awards have been made under the scheme in respect of performance in 2008 to date.

Details of the awards made to date are contained in the annual reports of the Committee for Performance Awards. The cost of the awards approved by the Committee for Performance Awards amounted to approximately €3 million in 2008 (awards related to performance in 2007) and approximately €2.7 million in 2007 (awards related to performance in 2006). The last report of the Committee is dated 2008 and relates to performance in 2007.

Neither myself nor officials in my Department have any role in the operation of PRA Schemes in either the Local Authority or Health Sectors. Therefore the Deputy may wish to address his query directly to the relevant Departments.

While the introduction of performance related schemes in the commercial and non-commercial State sponsored bodies sector require the approval of the Minister for Public Expenditure and Reform, once such approval has been given, the operation of such schemes is a matter for the relevant Boards and parent Departments. In this context, comprehensive data on annual performance related payments in the commercial and non-commercial State sponsored bodies sector is not held in my Department but may be sought from the parent Departments concerned. All such schemes are predicated on the achievement of stretched targets – i.e. payments under such schemes are not to be seen as an automatic addition to basic pay.

It is to be noted that in the context of Non-Commercial State Sponsored Bodies, Secretaries General of Government Departments were advised in 2009 that in current circumstances, notwithstanding the contractual issues involved, it would be appropriate that consideration of any bonus payments should be suspended. A further letter issued last year which advised all Government Departments that suspension of performance related award schemes in non-commercial State bodies should be on an indefinite basis and that any future proposals to re-introduce such schemes should be referred to this Department. Secretaries General were asked to convey this position to the bodies under the aegis of their Departments. A similar letter issued earlier this year in respect of performance payments in Commercial State Companies. Information on performance related payments for CEOs and second tier management in Commercial State Companies is appropriate to the relevant Departments. In relation to CEOs the information is published in the annual report of such companies.

While not encompassing the Commercial State Companies, it is to be noted that the Review Body on Higher Remuneration in the Public Sector (Report No 44: September 2009) stated that the Review Group remained committed to the concept of performance schemes for the higher management grades in the public service but, in recognition of the very serious state of the public finances, recommended that such payments be suspended until 2012 when they should be reviewed again.