Lansdowne road agreement: Key points

May pact began process of reversing pay and pension cuts introduced for staff since 2008

The Lansdowne Road agreement negotiated in May began the process of reversing pay and pension cuts introduced for staff in the public service since 2008.

Main elements:

  • Most public service staff to receive €2,000 in increased earnings in three phases between January 2016 and September 2017. This to come about through a combination of flat-rate adjustments to the public service pension levy and a partial reversal of pay cuts introduced in 2010;
  • The €1,000 pay hike scheduled for 2017 will only apply to those earning less than €65,000;
  • Public servants earning above €100,000 a year will have cuts imposed under the 2013 Haddington Road agreement restored over three phases, beginning in 2017;
  • Most retired public service staff will receive about €1,680 more in their pensions over the next three years as part of a parallel pension restoration initiative.

Under various cuts and emergency measures put in place over recent years, the gross public service pay bill fell from €17.2 billion in 2008 to €14.2 billion in 2013. This was achieved by means of financial emergency legislation and the introduction of a pension levy. The numbers employed in the public service were also reduced by 32,000.

Martin Wall

Martin Wall

Martin Wall is Washington Correspondent of The Irish Times. He was previously industry correspondent