Maurice Quinlivan (Limerick City, Sinn Fein)
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95. To ask the Minister for Public Expenditure and Reform the estimated number of persons employed in the public service who earn below the living wage which currently stands at €11.90 per hour; and if he will make a statement on the matter. [24458/19]

Paschal Donohoe (Dublin Central, Fine Gael)
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It is important that Ireland’s statutory National Minimum Wage and the Living Wage concept are not confused. The Living Wage has no legislative basis and is therefore not a statutory entitlement. It currently stands at €11.90 per hour, to be reviewed this month, according to the Living Wage Technical Group 2018 document.

The National Minimum Wage is a statutory entitlement and has a legislative basis. The Low Pay Commission annually assesses the appropriate level of the National Minimum Wage. The current national minimum hourly rate of pay, since 1 January 2019, is €9.80 per hour, as set out in the National Minimum Wage Order 2018.  

The actual number of employees working in the public sector with salaries below the living wage would require individual level data on the position of staff on each salary scale across the public service and details of the standard working hours per week for each individual grade. This data is not available to the Department. 

However, an analysis of the most recently available (Q2 2018)  pay band data indicates that some 96% of all public service staff are on salary points in excess of €25,000 per annum. The suggested wage at €11.90 per hour based on the Civil Service 37 hour standard net working week equates to an annual salary of €22,975.  

More detailed data on Civil Service staff indicates that only some 1% of staff (FTE) in the Civil Service are on salary points less than €22,975.   

Any of those currently on an annual salary of less than €22,975 may be receiving remuneration in excess of the suggested living wage through additional premium payments in respect of shift or atypical working hours or are on salary scales that progress to the suggested living wage and above through incremental progression.

Pay increases within the public service are set through collective agreement. Pay increases under the Public Services Stability Agreement 2018-2020 include: 1% October 2018; 1% for those earning under €30,000 January 2019; 1.75% in September 2019 and 2% in October 2020 which will further reduce those earning less than the suggested living wage. 

Jonathan O'Brien (Cork North Central, Sinn Fein)
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96. To ask the Minister for Public Expenditure and Reform the number of public sector workers working on the post-2011 salary scale disaggregated by pay scale and profession. [24470/19]

Jonathan O'Brien (Cork North Central, Sinn Fein)
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97. To ask the Minister for Public Expenditure and Reform the pathway of pay equalisation for post-2011 entrants into the public sector disaggregated by the number of public sector workers who will jump each of the two pay scales in the coming years. [24471/19]

Jonathan O'Brien (Cork North Central, Sinn Fein)
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98. To ask the Minister for Public Expenditure and Reform the estimated cost of full pay equalisation by January 2020. [24472/19]

Jonathan O'Brien (Cork North Central, Sinn Fein)
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99. To ask the Minister for Public Expenditure and Reform the estimated cost of pay equalisation over two years with post-2011 entrants having their positions increased by one point on 1 January 2020 and increased by one point on 1 July 2020. [24473/19]

Paschal Donohoe (Dublin Central, Fine Gael)
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I propose to take Questions Nos. 96 to 99, inclusive, together.

As the Deputy is aware, under the Public Service Stability Agreement 2018-2020 (PSSA), it was agreed by all parties that there would be an examination of remaining salary scale issues in respect of post January 2011 recruits at entry grades. The discussions were informed by a Report, of March 2018 to the Houses of the Oireacthas in accordance with Section 11 of the Public Service Pay and Pensions Act 2017. A copy of the report and relevant data can be accessed at: .

The Report shows that there has been strong recruitment since 2011 to the estimated 237 recruitment grades across the public service, with over 60,500 new entrants hired. This includes over 16,000 teachers, nearly 5,000 Special Needs Assistants and almost 10,000 nurses.

The report also quantified the cost of a two point adjustment as approximately €200m and the potential benefit to the individual as €3,301 on average. Full restoration in January 2020 would equate to an estimated €200m cost in that year. An adjustment of one increment in January 2020 and one increment in July 2020 would have the effect of spreading the cost over 2 years, due to carry over costs.

Since the publication of the Report, my Department, in support of the discussions between the parties, engaged in further work to assess and model the potential budgetary implications and impacts through phasing of the overall quantum.

Discussions on the issue with public service trade unions and representative associations, commenced in October 2017 and agreement was reached, in September 2018, between the parties to the Public Service Stability Agreement on a measure which provides a credible pathway to addressing the concerns of those recruited to our public service since 2011 in a balanced and sustainable way. It provides a fair and affordable path to managing the cost associated with the issue.

The cost of this measure as agreed during the remaining term of the PSSA is €75m (€27m in 2019 and €48m in 2020). The full cost of the measure based on current data and public service numbers (2017) will cost €190m out to 2025. It is estimated some 58% (35,750) of ‘new entrants’ will benefit from this measure in year 1 rising to 78% (47,750) by year 2. Provision for the additional cost will be provided for in the upcoming budget 2019 and subsequent years.

In general, the agreement provides for two separate interventions which will take place at point 4 and point 8 of pay scales. The practical effect of this is that for ‘new entrants’ the relevant points on the scale will be bypassed thereby reducing the time spent (by bypassing two increment points) on the scale for progression to the maximum point.

This was brought to the Unions and Associations and their members to consider the measure in accordance with the procedures and processes provided for within those bodies and subsequently agreed upon.

The benefits under the measure became effective from 1 March 2019, and will be applied to each eligible new entrant as they reach the relevant scale points on their current increment date, and will be restricted to Parties adhering to the Public Service Stability Agreement 2018-2020.