Fianna Fáil Spokesperson on Public Sector Reform Seán Fleming TD has welcomed the announcement from Minister Brendan Howlin that the Government has decided to deliver on Fianna Fáil’s plan to reduce pay for executives in the semi-state sector and for senior public sector posts.

“I welcome this first step by Minister Howlin towards introducing caps on pay across the public sector.  I acknowledge the general pay ceiling of €200,000 in the public service and €250,000 of CEOs of commercial semi state companies.  This makes for another great headline for the Government but unfortunately it is not being matched by action.”

“These new rates do not and will not apply to current post holders on massive salaries in excess of €250,000.  The Minister must come clean as to whether this ceiling cap only relates to basic salary.  Will bonuses, allowances, company cars and pension contributions be excluded?

“Clearly if these are to be excluded many people will still be able to enjoy pay packages way in excess of the cap being proposed.”

Deputy Fleming said: “The Minister must clarify how many people in the public sector will be exempt from this ‘pay ceiling’?  The public also have a right to know if this cap will apply to the chief executive of AIB, a nationalised bank; what provisions are being made for salaries at the National Treasury Management Agency to be included; and why it appears as though the ESB is being singled out as an organisation whose chief executive will be exempt from the €250,000 salary cap.”

Deputy Fleming concluded: “The Minister must also supply the number of Hospital Consultants who are being paid excess of €200,000 and how this pay ceiling will apply to them.”