Secretary general retires with package worth €634,087

SECRETARY GENERAL of the Department of Jobs, Enterprise and Innovation Seán Gorman has retired at the age of 59 with a package…

SECRETARY GENERAL of the Department of Jobs, Enterprise and Innovation Seán Gorman has retired at the age of 59 with a package worth €634,087.

Mr Gorman, who had more than 41 years’ service, is being paid a gross annual pension of €126,817, a department spokeswoman said yesterday.

In addition, he was paid a gross lump sum of €380,452 upon his retirement and is also in receipt of a gross severance gratuity of €126,817. The lump sum is taxable at 20 per cent above €200,000.

Mr Gorman retired on October 22nd but the details of his retirement package only emerged yesterday when the department announced the appointment of his successor, John Murphy.

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Mr Gorman is retiring under the same scheme as the former secretary general to the government Dermot McCarthy, who retired in July with an overall package worth €713,000. Both men retired under the terms of the top-level appointments committee (TLAC), which Minister for Public Expenditure Brendan Howlin has committed to overhauling.

Mr Howlin told the Dáil in September he had a “particular problem” with the TLAC severance payment but the Government has said it is powerless to change existing contractual arrangements.

Last week, it emerged that the secretary general of the Department of Education Brigid McManus would be receiving an annual pension of €114,000 when she retires shortly at the age of 53. Ms McManus will also receive an after-tax lump sum of €204,000 but is waiving the additional severance payment of €126,817 provided for in her contract.

Mr Gorman was previously assistant secretary in the labour force development division of the Department of Jobs, Enterprise and Innovation. He was also the representative of the Minister on the board of Fás.

He previously served on the boards of Cert/Fáilte Ireland, the State tourism agency, and Shannon Development.

Mr Murphy, who takes up the post today, is currently an assistant secretary in the Department of Transport, Tourism and Sport.

Paul Cullen

Paul Cullen

Paul Cullen is a former heath editor of The Irish Times.