Spending restrictions, due in part to the huge amount of compensation for hearing damage compensation claims by soldiers, could seriously hamper the modernisation and restructuring of the Defence Forces, a military conference has heard.
The Chief of Staff of the Defence Forces, Lieut Gen Gerry McMahon, in an address yesterday, also indicated that targets set for reducing the Army, Naval Service and Air Corps might have to be revised upwards.
Lieut Gen McMahon was speaking at the annual conference of the staff association for non-commissioned ranks, the Permanent Defence Forces Other Ranks Representative Association. His remarks were made in light of recent revelations that at least 9,000 serving and former military personnel are seeking compensation for hearing damage and that the total cost could be £350 million.
The huge compensation costs were having a distorting effect on the plan to plough back savings made by voluntary redundancies into new equipment and the restructuring of the Army.
It had been proposed that 50 per cent of the money saved by reducing the size of the Defence Forces would be given to the Exchequer and the other 50 per cent used to buy equipment for the Defence Forces.
However, Lieut Gen McMahon said yesterday that the amount dedicated to military capital expenditure might have to be increased to 100 per cent of savings if targets were to be met. "If it is not, we just cannot make up for decades of under-spending on equipment," he said.
"It must be remembered that change costs money. Change is an investment in the future but if the necessary finance is decreased or delayed, or financial sanction withheld, then the changes sought may not occur. Financial starvation or financial drip feeding will prevent the achievement of the original decision to restructure and modernise the Defence Forces.
"In the years ahead, hard decisions have to be taken and serious financial commitments made to drive the current process. If not, then the investment of public funds in, for instance, the voluntary early redundancy scheme, will have resulted in minimum returns."
The Chief of Staff said that expenditure on new equipment, arising from the proposed redundancy savings had begun. He pointed out that the Army still had only two armoured personnel carriers (APCs) but that early next year it would be testing new APCs.
"Despite the tight financial situation," he added, the Defence Forces had been able to acquire a new anti-armour system, a computerised targeting system for mortars, new night-sight equipment, new radio, transport and catering equipment. An additional £7 million was being spent on upgrading barracks.
Lieut Gen McMahon said there might have to be a revising of the target reduction of the Defence Forces to a total size of 11,500.
He said if a decision was made to retain the military personnel detachment - of about 40 soldiers - at Dail Eireann, this would have to be added to the 11,500 figure. Also, if proposals were made to increase naval and Air Corps activity this would also involve additional troops.
He said: "I have to say that any increase in the strength of the Air Corps and Naval Service must be additional to the 11,500."
There would have to be continuous recruitment to ensure that troop levels were maintained "otherwise we reach 11,500 too quickly and the organisation cannot cope".
He took issue with the suggestions made last year by PDFORRA that its members should be allowed to join political parties and take up public office.
He said: "The principle of non-politicisation of the Defence Forces has enabled us to build and maintain a record of impartiality and stability throughout our history."