Ahern is biggest loser as ex-ministers' pensions and TDs' allowances cut

TDs PAY:FORMER TAOISEACH Bertie Ahern could lose more than €117,000 a year as a result of changes to the remuneration of Oireachtas members announced in yesterday's Budget speech.

Minister for Finance Brian Lenihan said former Government ministers will no longer be paid ministerial pensions while they are still TDs or senators.

Mr Ahern is understood to have been paid a pension of €111,235 after resigning last year. He will lose an additional €6,000 with the abolition of increments.

Sitting TDs who are entitled to a ministerial pension as well as their Dáil salary include Fine Gael leader Enda Kenny and Labour TD Ruairí Quinn.

Fine Gael recently proposed an end to ministerial pensions for serving TDs or senators. A Labour spokesman said the party’s leader Eamon Gilmore advocated a similar position recently.

Mr Lenihan said allowances paid to chairs of committees will be halved and payments to vice-chairs and whips abolished.

Top-level public sector salaries will be benchmarked against rates in other EU countries of comparable scale, he said.

Another measure announced yesterday means TDs and senators who are on paid leave of absence as teachers may no longer keep the difference between their teachers’ salary and the cost of employing a replacement.

“Everyone wants fairness, but there is less agreement about what it means. For many, it means the next person should pay. But the reality is everyone must give according to their means. Those who have most must give most,” Mr Lenihan said.

“But before we ask anyone else to give, we in this House and in this Government must examine our own costs.

“Those of us in politics have been entrusted with a great privilege by the people. We must lead by example.”

The Minister announced a 10 per cent reduction in all Oireachtas members’ expenses other than mileage rates, where a 25 per cent reduction has already taken place. He said deputies will no longer receive long-service payments or increments.

Mr Lenihan said legislation would be required to implement some of the changes to the remuneration of Deputies and Senators.

He said the Oireachtas Commission had put forward its own proposals for a reduction in the number of committees, “and I am happy to leave that matter to these Houses”.

He said members of the Government reduced their salaries by 10 per cent last October, and Ministers of State had made a similar reduction. The public service pension levy was also applied to members of the Government and Ministers of State.

“As a result, Ministers have seen a reduction of one-fifth in their incomes.”