Micheál Martin (Cork South Central, Fianna Fail)
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373. To ask the Minister for Public Expenditure and Reform the position regarding the commitment in the confidence and supply agreement and in the programme for Government concerning the public sector pay commission. [30529/16]

Paschal Donohoe (Dublin Central, Fine Gael)
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The establishment of a Public Service Pay Commission to examine pay levels across the public service is a commitment in the confidence and supply agreement and in the Programme for Partnership Government.  In July, the Government agreed in principle to the establishment of a Public Service Pay Commission.  In line with this decision, my Department conducted a public consultation about the role and methodology of the Commission. Based on the outcome to this consultation and further considerations, I brought detailed proposals to Government yesterday and secured approval for the establishment of the Public Service Pay Commission on a non-statutory basis.

I have now appointed Mr Kevin Duffy, former Chairman of the Labour Court, as Chairperson of the Commission. I will be appointing six further Members of the Commission shortly.

The Commission will be advisory in nature, as Government must retain the ability to negotiate directly with its employees in respect of pay.  Its role will be to provide evidence based objective analysis on pay matters.

The Commission will provide an initial report to Government in Quarter 2 of 2017.  Specifically, the Commission will be asked to provide inputs on how the unwinding of the Financial Emergency Measures in the Public Interest legislation should proceed having regard to:

- The evolution of pay trends in the public and private sectors based on published data;

- A comparison of pay rates for identifiable groups within the public service with prevailing  non-public sector market rates;

- International rates and comparisons where possible;

- The state of the national finances.