Written answers

Wednesday, 18 January 2012

Department of Public Expenditure and Reform

Departmental Funding

9:00 pm

Photo of Tommy BroughanTommy Broughan (Dublin North East, Labour)
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Question 99: To ask the Minister for Public Expenditure and Reform if he will introduce measures to ensure that the salaries of all CEOs, senior management and the board of any voluntary or other organisation that receives State funding are publicly available; if he will consider measures to cap the salaries of CEOs, senior management and the board of any voluntary or other organisation that receives State funding; and if he will make a statement on the matter. [2856/12]

Photo of Brendan HowlinBrendan Howlin (Wexford, Labour)
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Apart from instances where statutory rates of pay apply, pay rates in the private sector are generally a matter for negotiation between individual employers and employees. Voluntary bodies are by their nature independent entities, are not public service bodies, do not employ public service staff and are not subject to the specific pay restraint and reduction measures that currently prevail in the public service. Accordingly, I have no powers to introduce measures to cap or ensure salaries paid in such bodies are made publicly available. However, I believe from a governance viewpoint it is incumbent on each individual body to account clearly and transparently for its expenditure of all funds under its control.

My responsibilities in relation to pay extend to the public service where the Government has a direct role in the determination of pay rates as employer. Pay rates in the public service have already been reduced by up to 15% and a progressive pension related reduction applied through the Financial Emergency Measures in the Public Interest Acts of 2009. More recently, the Government accepted my proposals to introduce a general pay ceiling of €200,000 for future appointments to higher positions across the public service, a general pay ceiling of €250,000 for future appointments to CEO posts within Commercial State Companies and a voluntary waiver system of up to 15% for current post holders who have salaries in excess of the relevant pay ceiling.

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