Bill restoring public service pay introduced in Dáil

Gross pay of most public servants to return to pre-recession levels by July 2021

Minister for Finance Paschal Donohoe introduced legislation in the Dáil on Wednesday night to allow for the phased restoration of public service pay.

The gross pay of most public servants will be restored to levels before the economic crash by July 2021. However, net pay will be reduced because of the introduction of a pension contribution.

Mr Donohoe said the Public Service Pay and Pensions Bill 2017 sought to implement the provisions agreed in the public service stability agreement of earlier this year.

“It does so in the context of our country’s continuing economic growth and within the Government’s policy of carefully looking after our economy,’’ he added.

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He said two years ago the House enacted the 2015 Act which began the phased unwinding of the Financial Emergency Measures in the Public Interest Act 2009 (Fempi).

“This Bill completes that not inconsiderable task,’’ he added.

“However, it does so in the same spirit of minimising risk and ensuring that we do not lose sight of the broader economic context of Brexit and other external risks.’’

Michael O'Regan

Michael O'Regan

Michael O’Regan is a former parliamentary correspondent of The Irish Times