Richard Bruton (Dublin Bay North, Fine Gael)
Link to this: Individually | In context | Oireachtas source

As a consequence of the financial crisis, there was a need to enact a number of measures to reduce public expenditure so as to stabilise the country's public finances. A previous Government reduced the salaries and allowances payable to all new entrants to public service recruitment grades by 10% with effect from 1 January 2011. This decision also required that such new entrants would start on the first point of the applicable salary scale, which in the case of teachers had the effect of reducing their starting pay by a further 4-5%. Later in 2011, the Government placed a cap on the overall level of qualification allowances that could be earned by teachers.

Subsequently in 2012, following the public service-wide review of allowances, the Government withdrew qualification allowances for new teachers altogether. However, the Government partially compensated for this by deciding that new entrant teachers would henceforth commence on a new salary scale which had a starting point higher than the starting point of the old scale.

The public service agreements have allowed a programme of pay restoration to start. I have used this to negotiate substantial improvements in pay for new teachers. The agreement reached with TUI and INTO in September 2016 will see pay rises of between 15-22% (between €4,600 and €6,700) for new entrant teachers.  The agreements also provide for earlier permanency for younger teachers, new promotion opportunities and new flexibilities in working hours.  The pay increases for new teachers were also available to ASTI members under the proposals which members recently balloted on. 

The agreements have restored an estimated 75% of the difference in pay for more recently recruited teachers and deliver full equality at later points in the scale.  This is substantial progress and strikes an equitable balance with other claims for funding on my Department, particularly needs such as enhanced service for children with special educational needs, for disadvantaged schools, for growing schools, for Higher Education and for apprenticeships. 

It must be borne in mind that the pay reduction for post-2011 entrants to the public service applied to all public servants and not just teachers, and that any restoration of these measures in respect of teachers would be expected to be applied elsewhere across the public service. While I am not in a position to provide an estimate of the total cost of restoring all post-1 January 2011 entrants in all areas of the public service to the pre-2011 pay scale arrangements, I can say that in the case of education and training sector employees, including teachers, the estimated current full year cost would be in the order of €85 million.  Clearly, the cost across the entire public service would be substantially higher.

Further negotiation on new entrant pay cannot focus on just one sector. A broader assessment of pay and new entrant pay across the public service will be informed by the recently published analysis of the Public Service Pay Commission.

The Government established the Commission to examine pay levels across the public service, including entry levels of pay. The Government also supports the gradual, negotiated repeal of the FEMPI legislation, having due regard to the priority to improve public services and in recognition of the essential role played by public servants.

I accept that the teacher unions have outstanding pay demands and that the new entrant deal does not travel the full distance that they set out to achieve. However, it does represent significant progress, and the door is not closed to the trade union movement seeking to advance the issue further in the context of public service pay talks.  My colleague, the Minister for Public Expenditure and Reform, invited the Public Services Committee of ICTU to discussions on public service pay and a continued approach to the unwinding of the FEMPI legislation and these discussions are now underway.