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Dublin: 12 °C Saturday 25 May, 2013

Public service allowance savings targets for 2012 will not be met

Brendan Howlin has said the size of the review undertaken by his department means savings will not be realised this year.

Image: Niall Carson/PA Archive/Press Association Images

THE GOVERNMENT HAS said it will not realise its savings targets for 2012 following the outcome of the review of public service allowances and premium pay.

It had planned to save about €75 million this year by reforming allowances paid to public service workers.

Minister for Public Expenditure and Reform Brendan Howlin said that given the size of the review undertaken, targets for this year will not be met. However, he said that it will not impact the achievement of the pay bill budget for the year. He insisted that this will be fully realised.

Howlin has published all 800 business cases submitted to his department by public sector management for retention of allowances. He has been notified of more than 1,100 allowances.

Following the review, a number of changes have been decided. Allowances currently payable to officials who travel abroad to represent Ireland at meetings are being abolished for both new beneficiaries and existing staff.

The payment terms of a further range of allowances with an annual value of €245 million will be subject to modification and certain allowances will not be paid to new beneficiaries. The annual cost of paying these allowances to current incumbents is in the region of €475 million.

The Minister indicated that sectoral management will being the process of engaging with staff about allowances currently held but that require change.

Business Cases submitted for review>

Allowances to be abolished, modified or maintained>

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Comments (58 Comments)

  • Did I just hear Leo Vradkar saying “it’s only €75 million” and that it wasn’t worth “the hassle” on six one? I am sick and tired of this country!

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    • I heard the same. Couldn’t believe he said that.

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    • Incredible isn’t it?
      And if wanted relieve on a mortgage of a fraction of that 75 million its morally irresponsible!
      But to cut away stupid and absurd allowances isn’t worth it…

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    • It only proves the disconnect and delusion within the political and public service sphere. People with disabilities had to camp outside the Dail to get a cut of a few million € reversed, which they made a song and dance about and now here’s Leo blabbering on about a “mere” €75 million when it involves the elite in the top ranks of the public service! And all at a time when the older school is now being paid more pro rata than the new entrants. This country is worse than outer Mongolia!

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    • Yeah, the same Varadkar who’s allegedly from the ‘radical’, ‘liberal’, ‘PD’ wing of Fine Gael. He’s an effing disgrace. It’s amazing how quickly they go native, isn’t it?

      I’m blue in the face from saying it but we’re living in a permanently looping episode of Yes, Minister.

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  • Unions 42 Government 0
    Consultants 20 government 0
    Foreign banks 30 billion Government 0

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  • So in essence Mr.Howlin you haven’t done your job properly therefore resign.

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  • Article fails to mention that savings of only 3.5million of the 75million can be achieved.
    That’s less than 5% of target.
    If I went back to my boss with that, I’d have a lot more time on my hands.

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  • So the Minister asks his senior civil servants to present a report recommending cutting allowances from er…civil/public servants. ‘Yes, Minister’ has nothing on this. Good to know the ‘key holder’ (i.e. a guy who keeps keys) will still be recorded for the difficult tasks of carrying a set of keys. Property developers and trade unions set poilicy in this country…

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  • So everybody else will be squeezed harder.

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  • Invalidity pension applications are at least 6 months behind. The poor are being made suffer again. I bet Enda’s wages are not 6 months in arrears.

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  • hse have has ?616m in allowances and 282million in overtime in 2011. ?616million!!!!!!! that’s unbelievable. gardai had 218mil in allowances and 90mill in overtime. where has this money in the hse gone to??? burglaries are at an all time high and gun crime on the up yet they cut numbers in an garda siochana and refuse ot for investigations of such nature. can anyone explain to me how this makes sense????

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    • @join either organisation and see if you can do better?!

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    • Any of the staff I’ve spoken to in my local hospital laugh at the mention of allowances and, like me, nobody even seems to know anyone who gets paid an allowance.
      Looking at this document some of the alowances seem to make some sense, it does appear reasonable to encourage and staff, like nurses, to study for advanced qualifications. If this is to be done it would only be reasonable that there be some reward for the time, money and effort. I know an OECD report a few years ago questioned why Ireland had so few advanced nurse practitioners.
      I know nurses have to buy their own uniforms but I guess that’s not the case in every job. It would be interesting to see an explanation of some of these allowances; eating on site, dirty money??
      Alberto I don’t doubt you, but if the cost of allowance within the HSE is €616m just who is getting this money and for what? I don’t object to staff earning it, by that I mean if a nurse, porter, cleaner or whatever works overtime they’re entitled to be paid the appropriate rate, not an extortionate rate but a normal overtime rate. I suspect the majority of this has being going to the management fat cats, but if an axe is going to fall it’ll be those very managers who make the decisions to direct the axe elsewhere. Towards the usual scapegoats, frontline staff.

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    • One of the reasons nurse practitioners are not about is because of the backwards culture of treating nurses like little nun like creatures who are doing the job as a ‘vocation’ instead of the highly trained professionals we are. This means not enough resources are allowed to train the nurses, but mainly the attitude of management (this means you gov ministers and senior HSE staff) needs to change.
      Just look to other countries like Australia and the UK (and many other countries) if you want to see how it can be done.
      ( I am a nurse by the way)

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    • I agree Dave, a vocation is fine but I’ve never seen one pay a bill. These allowances rewarded those who went further in their education and achieved a higher qualification, by removing them the government have removed the financial incentive at the very time it meant so much more, given the current situation. What we’ll be left with is an apathetic, undereducated, underachieving but underpaid Public Sector capable of so much more. What a legacy.

      (I’m not a nurse by the way)

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    • Alberto 18/09/12 #

      @paddy i already am!!!!

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    • The thing is, if nurse practitioners are encouraged, and primary care and home help are encouraged, it will save the health system a langer load of money. AND the patients will be happier and healthier.
      This government ( and fine fail too to be fair) are far too short sighted. It’s there in front of their faces because many other countries have done the above to great benefit

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  • I guess this means the easy targets will get hit again,Soical welfare. OAP’s, the sick.

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  • Didn’t see that coming, especially with a “Union” sorry meant “Labour” minister in charge.

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    • Anyone remember the’tough’ decisions Gilmore was boasting they wouldn’t run from? BOTTLED IT!

      They also as well as turning private against public seem to be setting up a two tier public sector to take attention off themselves again!!

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    • All the existing members of the PS seem happy for future entrants pay and conditions to be slashed,great example of union solidaraty at work there.

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    • Agree Norman , it’s makes nonsense of all arguments made by unions for the protection of pay and condition if they so willingly let new members take the entire pain to be endured. It’s in ten years time when the internal problems will start, there will be so many people doing the same job on totally different pay rates. That greedy cohort of middle age incumbents have the whole thing sewn up ,howlin will be rolling around in bed of public pension cash while working teacher will be on less than the pensions of their retired predecessors.so all of us clowns paying through the nose for child care will have of a lot of demotivated teachers to look forward too . Have to hand it to the labour/union party , they made proper mugs of us all

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    • The two tier system already exists with pre 1995 civil servants paying just the pension levy while all others were already paying into their pension before being hit with the pension levy and paying a lower prsi contribution than post 1995 civil servants. This will be a third layer.

      Most allowances could be done away with but how they could justify looking at abolishing shift premia amazes me as anyone has an expectation of payment for regular unsocial hours and weekends.

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    • Could I respectfully point out, if respect is possible when people attack their fellow citizens for having a public service job, that currently serving members of the public service did not make the decision to cut allowances for new entrants: the government did that. Furthermore, no public servant looks at new entrants and wishes on them the financial hardship they will endure, for the entirety of their careers. And finally, can we have some clarity: you don’t want Croke Park because it means no wage cuts, yet when there are wage cuts you blame the people in Croke Park? Surely you all must see that wishing for a poorly paid public service might vent your spleen but longterm it only results in public service delivered on the cheap when it’s funding should rather be treated as a social imperative.

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  • But the Croke Park agreement is working?

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  • Blatant blatant cowering.

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  • Didn’t the ‘troika’ order that these cuts must be met? So they can renege on this order by the troika but not on others? Just wondering how they are allowed to not make these cuts when they have forced so many other cuts upon us. They keep saying “but it’s the troika making us”, and yet here they are ignoring the troika when it suits them!

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  • More kicking the can down the road from this spineless government.

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  • As someone who supports this government generally, I am very disappointed that the government as a whole couldn’t get these savings implemented. It appears that Labour are protecting their union bodies and Fine Gael wont pull them on it (and probably wont for the sake of the government).

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  • censored 18/09/12 #

    The minister for jam tomorrow, Brendan Howling. When is he getting the sack? That should help with the savings.

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    • He won’t get the sack. Don’t you get it – he’s done EXACTLY what he was put there by the PS Unions to do – block reform at every turn. Dressing it up as failure is just to appease the meedja and us suckers. Honestly, great stroke by Labour and the Unions – I don’t know how they manage to keep a straight face sometimes.

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  • oh well its back to taking money from the poor,elderly and infirm then ! how much more of this are we going to let these spineless cowards get away with?

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  • “It’s only 75 million” …. (c) B. Howlin , Remember way way back in August the disabled carers that were being targeted , for 10 million in health cuts before the u turn ,” it’s only 75 million my ass , these guys are blatantly protecting the disgraceful agreements that were included in the blanket Croke Park deal – despite his previous claims that allowances were not pay but were a grey area..saving 3 million instead of 75 million , they are just so utterly crap at implementing reform.

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  • peter 18/09/12 #

    Yes great news all round

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  • I think the Croke Park Agreement is working a treat! Since the Unions have all conceded that new entrants will be paid thirty per cent less than the current office holder and that has been implemented what next?
    Well it’s very simple. We have all been shocked at this immoral decision by the Public Sector Unions. I said shocked, I didn’t say surprised!
    The Government now have a simple task in Croke Park Two.
    Take all recipients of this largesse to the new levels of status quo less thirty per cent and the Government will be able to save billions while restoring the Public/Private balance.

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  • How did these allowances happen in the first place? Who signed them off? Who thought they were a good idea? They are absolutely disgraceful,unjustifiable & more importantly unsustainable in a small struggling economy like ours.Scrap the lot of them now.By all means pay the public sector a fair & decent wage but abolish all allowances.I did not hear the news comments on this matter last evening,but if,as suggested by some commentator,that Leo Varadker said or insinuated that abolishing these allowances & trying to recoup this c.€75m,then he should be sacked from his post immediately.He is just totally missing the point.What bloody arrogance!

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  • peter 18/09/12 #

    Why Dont we throw out anyone that doesn’t belong here and while were at it stop sending millions in aid to third world economies seen as we are one. No lets take money off our own citizens

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  • Good on ya, Croke Park, overall saved millions by maintaining industrial happiness.I’m not sorry for having public employment.. fought for years for the safety standard, an infaltion wage, allowances etc..I ‘m a professional and deserve ever penny of it… note 14,000 came off my cheques over two years per year and I accepted the fact I had to do my part in austerity, per capita.. Now I want it all back and I’m going to fight for that right harder than ever before!

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