BACKGROUND:Recommendations of the report of the Review Body on Higher Remuneration were adopted in the budget, writes HARRY McGEEPolitical Correspondent
THERE ARE some 220 people employed at deputy secretary and assistant secretary levels, according to the Department of Finance. The two levels cover senior positions in government departments and equivalent grades across the wider public service.
For example, the grades include senior ambassadors, the chair of the Competition Authority, the chair of the Labour Court and the chair of Refugee Appeals Commission.
Others in this bracket include the chief executive of the National Council for Special Education; the chief executive of the Public Appointments Service; the OPW commissioner; the Data Protection commissioner; senior Garda and Army personnel; the Ombudsman; the Director of Corporate Enforcement; and the Met Éireann director.
The basic pre-budget salary of a deputy secretary (20 people are at this grade, the second highest in the Civil Service) was €177,547. The pay scale for an assistant secretary (about 190 people) ranged from €131,748 to €150,712.
The vast majority of those at both grades also benefited from performance-related awards, which averaged at 10 per cent of all salaries at these levels, although a small number received as much as 20 per cent of their annual pay.
The latest (2008) report available from the Committee on Performance Awards showed that €3 million was paid during 2007 to 221 people at these grades.
The department with the highest number of beneficiaries was foreign affairs with 48 (mostly senior ambassadors), with 16 people receiving the awards in the Revenue Commissioners. The majority received between €10,000 and €16,000, although two received more than €25,000.
Taking the average performance award, the annual earnings of a deputy secretary rose from €177.747 to €195,302 and that of an assistant secretary at the top of the scale rose from €150,712 to €165,783.
The report of the Review Body on Higher Remuneration (published simultaneously with the budget on December 10th) recommended a 12 per cent reduction for deputy secretaries and 8 per cent for assistant secretaries in basic salary. These recommendations were adopted by Brian Lenihan in the budget.
Under the cuts, the salary of a deputy secretary would have fallen to €156,241, while the top scale of salary for assistant secretary would have fallen to €138,644 (and that of those on the lowest scale from €131,748 to €121,208).
The Minister was lobbied by representatives on behalf of these groups who argued that with the combination of the abolition of the pension levy and budgetary cuts during 2009, the net cut for deputy secretaries was €39,061 or 20 per cent and that for assistant secretaries was €27,139 or 16.4 per cent. They argued that these were disproportional to other groups.
In the Department of Finance circular published on December 22nd, Mr Lenihan directed that the cumulative reduction for a deputy secretary should be 14 per cent (not 20 per cent) and that of an assistant secretary should be 11.8 per cent (not 16.4 per cent).
However, if the already- abolished performance awards are excluded, the new changes result in a cut of just under 3 per cent for assistant secretaries on basic salary and of 5.3 per cent for deputy secretaries.
As a result, the salaries as of January 1st are €168,000 for a deputy secretary (an upward adjustment of almost €12,000 compared to budget day) and of €146,191 for an assistant secretary at the maximum scale (an upward adjustment of almost €8,000).