Richard Boyd Barrett (Dún Laoghaire, People Before Profit Alliance)
Link to this: Individually | In context | Oireachtas source

52. To ask the Minister for Public Expenditure and Reform if he is planning any new measures in Budget 2024 to address the recruitment and retention difficulties across key areas of the public sector; and if he will make a statement on the matter. [22156/23]

Paschal Donohoe (Dublin Central, Fine Gael)
Link to this: Individually | In context | Oireachtas source

The level of employment in Ireland reached over 2 and a half million people in 2022. This strong employment has resulted in tightness in the labour market, and skills shortages for some sectors, which creates challenges for all employers, including the civil service and wider public service.

It is worth noting that despite tight labour market conditions, staff numbers in the public service have continued to grow over the last number of years. Between 2015 and 2021, the estimated numbers in full-time equivalent terms increased from 302,000 to 366,000, an increase of 64,000 or over one-fifth. The 2022 Public Service numbers (the latest is end-2022), including Local Government and the Oireachtas are 376,216 (FTE), an increase of 10,323 (2.8%) over the end of 2021 numbers.

The public service is a good employer offering competitive terms and conditions to attract and retain staff, including flexible working arrangements, decent pension provision, fair wages that increase over time and secure employment.

In the case of recruitment to the civil service, for which I have policy responsibility, the Civil Service 2024 Renewal Action Plan sets out actions to ensure that the civil service is as an employer of choice with a range of initiatives under the Workforce, Workplace and Organisation of the Future themes to help further attract, develop and retain a diverse civil service that delivers for our citizens. To achieve these objectives, my Department works closely with the Public Appointments Service and other Government Departments to streamline recruitment processes and create new employment pathways into the civil service through a variety of initiatives, from apprenticeships to paid internships.

Staff recruitment and retention are influenced by a broad range of factors. Pay in the public service has been governed by a system of collective agreements since the Croke Park Agreement was negotiated in 2010. The current public service agreement is ‘Building Momentum.’ As the Deputy will be aware, discussions took place last year between the parties to the Agreement following the triggering of the review clause in Building Momentum by public service unions and associations due to increases in the cost of living.

The outcome of these discussions was a set of proposals put forward by the Workplace Relations Commission to extend Building Momentum for a period of 12 months to the end of 2023, making it a three-year pay deal. The extension acknowledges the higher than anticipated rates of inflation that have emerged since 2021 and in particular the impact of cost of living pressures.

Three additional pay adjustments totaling 6.5% are provided for under the extension to Building Momentum over 2022 and 2023. These are:

• An increase in annualised basic salaries for public servants of 3% backdated to 2 February 2022.
• An increase in annualised basic salaries for public servants of 2% on 1 March 2023.
• An increase in annualised basic salaries for public servants of 1.5% or €750, whichever is greater, on 1 October 2023.