Howlin says savings plan not realised

PLANS BY the Government to generate savings of about €75 million as a result of reforms to allowances and premium payments to…

PLANS BY the Government to generate savings of about €75 million as a result of reforms to allowances and premium payments to public service staff will not be realised, Minster for Public Expenditure and Reform Brendan Howlin has said.

Speaking yesterday, he said only €3.5 million would be saved this year on foot of a review of about 800 business cases for allowances put forward by Government departments and agencies over recent months.

Mr Howlin said the payment of only one allowance for serving personnel would be stopped on foot of the review. This is a representational allowance of up to €218 a night paid to officials who represent Ireland at EU meetings, meetings of other international organisations or who act as chairs of EU committees. He said this allowance – known as the chairpersons and delegates allowance – was not justified as staff already received travel and subsistence payments.

Mr Howlin said the Government had decided to cease paying about 180 existing allowances to new beneficiaries. In relation to a further category of allowances they were justified but they would continue to be reviewed.

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There would be changes in relation to payments to public service staff who “act up” in roles with greater responsibilities. Staff will have to be in these “acting up“ positions 84 days before qualifying for the allowance.

Mr Howlin said many of the allowances were misnomers as in reality they formed part of core pay.

He said he had been engaged with Minister for Education Ruairí Quinn and Minister for Justice Alan Shatter about introducing a system of pay scales for gardaí and teachers which would encompass all elements of pay with no additional premium pay or allowances applying.

Mr Howlin played down the failure of the Government to secure the target of the €75 million in savings on allowances and premium pay earmarked for this year. He acknowledged the €75 million had been a target but said it was not included in the Government’s overall financial arithmetic for the year.

Mr Howlin said his proposals for reforms to allowances had not been reworked after a meeting of the Cabinet last week.

Last week a Government spokesman said it had been “agreed” by the Cabinet that further work was required in relation to the allowance proposals.

Snap shot: Allowances and the cases made for them

Delivery and footwear at Chief State Solicitors’ office

A “special” allowance of €47.92 weekly is paid to service officers for the timely delivery of post throughout the day and before 9.15 am so that staff have received it before going to court.

Four service officers also receive a €65 annual footwear allowance to attend the post office and assist in moving legal files in and at court.

Bus allowance for CSO staff

Given to six full-time tourism enumerators at Dublin Airport with a daily rate calculated at €4.40.

CSO said the the case was “hard to justify” as it paid the Dublin Airport Authority for parking facilities at the airport which could be used by enumerators. But ceasing the allowance “might cause some Labour Relations issues” and “affect the level of co-operation from enumerators”.

“In Charge” allowance at the National Museum

Allowance paid to some staff taking charge of the building in the absence of a senior attendant.

Business case argued that the allowance should be retained because staff take on more responsibility than colleagues at same grade.

Martin Wall

Martin Wall

Martin Wall is the former Washington Correspondent of The Irish Times. He was previously industry correspondent