Written answers
Thursday, 29 May 2025
Department of Public Expenditure and Reform
Public Sector Staff
Ruth Coppinger (Dublin West, Solidarity)
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124. To ask the Minister for Public Expenditure and Reform if he will examine a pay cap for CEOs in public sector bodies; and if he will make a statement on the matter. [27867/25]
Jack Chambers (Dublin West, Fianna Fail)
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The Independent Review Panel (IRP) on Senior Public Service Recruitment and Pay Determination Processes was established in March 2022 and its report was published in June 2023. The IRP found that pay determination of senior posts should consider best practice in terms of openness, transparency, accountability and the need for an objective evidence-based methodology and, to this end, recommended that an independent Body be established to give independent advice to the Minister on remuneration arrangements for senior posts in the Public Service and CEOs of Commercial State Bodies (CSBs). It further recommended that a review of CEOs of Commercial State Bodies (CSBs) be prioritised.
On foot of this Report, the Senior Posts Remuneration Committee (SPRC) was established by Government in March 2024 to provide independent and objective advice, supporting consistency and transparency in the pay arrangements attaching to senior roles across the Public Service. The SPRC was requested to perform a review of the remuneration arrangements for the CEOs of CSBs. Following Government approval, I published the SPRC report on 29 April 2025.
The SPRC made a number of findings and 17 recommendations. The report outlines the importance of fair and appropriate remuneration as a key element in the recruitment and retention of CEOs of CSBs who are critical to the State's future development and economic performance. Overall, the SPRC found that there is a requirement for a transparent framework for the regular review of CEO remuneration. Having considered the SPRC report, the Government has agreed to implement a more structured approach to the remuneration across CEOs in CSBs. A banded salary structure will be implemented for CEOs ranging from their current salary to the market median of the relevant band.
Salary proposals or any changes will be subject to governance and scrutiny with approval required by the relevant Minister, and with my consent. There will be no backdating of any changes to pay. I will be writing to my Ministerial colleagues shortly regarding the operational details of this shortly.
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