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Dublin: 11 °C Saturday 18 May, 2013

Dáil public accounts committee to examine public sector allowances

The committee is to scrutinise the controversial allowances to public sector workers following news that savings targeted this year will not be met.

PAC chairman John McGuinness
PAC chairman John McGuinness
Image: Photocall Ireland

THE DÁIL’S POWERFUL Public Accounts Committee (PAC) has said that it will examine the issue of allowances paid to public servants after just one of over a thousand were abolished this week, far fewer than had been expected.

Public Expenditure and Reform Minister Brendan Howlin has admitted that the €75 million in savings that he had targeted following an examination of over 800 allowances would not be met this year.

His decision to scrap just one of the existing allowances – a €218 representation allowance for civil servants attending EU meetings – will save just €3.5 million but the Minister has also targeted the scrapping of a third of allowances for new entrants into the civil service in the future.

Following a request by the Fine Gael TD and PAC member Eoghan Murphy, the committee will now scrutinise the allowances itself and has said it will call the heads of public bodies to explain allowances and their payment to staff.

Committee chairman, Fianna Fáil’s John McGuinness, said: “The Committee of Public Accounts can do a very good job for the taxpayer by putting all allowance payments under public scrutiny and that is what we intend to do on a case by case basis.”

The committee will write to all accounting officers and seek details on the extent of allowances paid, their cost, the rate of payment and the date at which payment commenced.

McGuinness already has one such measure in mind for scrapping, highlighting his committee’s disclosure that up to one year’s salary is paid to medical consultants for untaken rest days, a measure currently due for adjudication by the Labour Court.

“In a report which the PAC will produce in the coming weeks, we will make recommendations that will eliminate that practice,” McGuinness said referring to the committee’s annual report which will be published before the end of the month.

McGuinness said that the PAC would meet with Minister Howlin early next month to discuss the public service reform plan and the processes involved in the review of allowances.

He continued: “I accept that in some cases, the term ‘allowance’ is probably inaccurate in that this extra payment should be part of core pay and, where that is the case, the Department should recognise that and revise the pay levels appropriately.

“In other cases however, the original justification for paying an allowance may no longer apply and we need first of all to identify these historic type payments and secondly to hear from the heads of Departments as to why these allowances should continue to be paid.”

Public Sector Allowances: The ones they want abolished

Public Sector Allowances: The ones they want to keep

Public Sector Allowances: The ones they “might” keep

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Comments (48 Comments)

  • What annoys me is that the entire public service and civil services ranks are lumped together. Yes there are some allowances that could be scrapped but some of the older allowances do form part of basic pay of workers. The higher paid are not touched nor are politicians. This is just a suggestion how about reduce taxes, sort out the mortgage crisis and allow more money to flow into the economy. Oh and stop worrying about iPhone apps and the privacy of Kate Middleton.!

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  • It’s amazing how finger pointing can keep the heat off themselves. This has been happening every September/October for the last few years. Release certain info about the public sector in a negative light, watch people in the private sector feel hard done by and no one gives a shite about TD’s getting €61 a day for attending the Dail. The place they are suppose to attend anyway as the people voted for them, amazing. Don’t get me wrong, I work in the public sector and some of these allowances are not classified correctly, some are core pay,due to historical reasons and pay freezes, and some of them could be removed. It’s just wrong that the government turn the people against each other and reap the rewards

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  • Aka101 20/09/12 #

    Will they change any of the allowances for new TD’s and ministers. In all the articles there was no mention of any changes to there allowances. Probably increase there own allowances.

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  • This include the political snouts themselves????

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  • Shift allowance is a wage. Travelling expenses for TD and councillors is a luxury.

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  • John McGuinness a quick suggestion if you want to investigate allowances start at the top. What are you getting as chair of the PAC? 12k extra?

    BTW disclaimer I do not work in the public service but why John are you getting 12k extra to do your job?

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  • Maybe they should look at their own allowances first

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  • Including any allowance into core pay will surely cost the State more as pensions would be increased off the back of the change.

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  • Wonder will the media ever get off the backs of the public sector? Is it not a pity that the media were never as meticulous when they were reporting on the banks during the boom! As my article below states the media were aware of starange going-ons at Anglo Irish Bank as far back as 2002, but it seems they ‘binned’ the story fairly fast. Maybe if they had dug a little deeper on the bank stories like they do now with the public sector, maybe we might not be paying off the bankers gambling debts!
    http://gfmurphy101.wordpress.com/2012/09/20/culpable-negligence-as-the-1-owned-media-looked-the-other-way/

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    • First the public sector has got to get off our backs.

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    • Gerard, the two are not linked.

      I agree with your point on the consensus amongst the media and their blinkered eulogising of Celtic Tiger pin-up boys.

      However, the media would be doing us a further disservice to ignore the excess and wastage that goes on in the public sector.

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    • @censored when you say ‘our’ who do you refer to? I am not member of public sector, but do you assume because I don’t go along with the media driven anti-public sector frenzy that seeks to turn worker against worker that I am a public sector worker! Do you also take responsibility for speaking on my behalf?

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    • Yeah, those stupid doctors, nurses, firemen, bus drivers, train drivers, teachers, street sweepers, gardai, army, navy, coast guard, social workers, dentists, and all those other bastards who insist on keeping us downtrodden and unhappy with their medical care, their putting out housefires and saving lives, their being the paramedics providing emergency care at accidents, their getting a sizeable percentage of the population to and from work and home, their educating those who go on to hold up the economy for the next generation, their keeping streets clean in one of the filthiest countries in europe, their standing between armed thugs and the rest of us, their emergency work during floods and snowstorms, their saving fishermen at sea and defending fishing territories, their looking after the vulnerable without enough funding or manpower in a society that couldn’t give a toss, and all that other bad stuff people do to keep us honest hardworking folk down even though we go out of our way to pay our way (except when we can avoid it or, you know, when IBEC gets asked to cover sick days the way they do everywhere else, or you know, something else that’s awkward or inconvienent).

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    • Two names Gerard,
      Tony O’Riley and now Dennis O’Brien.
      A fine example of “controlled media”.

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    • @Gerard Murphy: I wouldn’t presume to speak for you, and you are well able to make your own assumptions.

      Reply
  • Get rid of Howlin – a good start.

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  • @artur as regards waste in the public service, there probably is waste , but if people bothered to read the list of allowances they would see most of allowances are shift/ weekend/night work allowances etc for gardai and hospital staff. The media highlighted allowances that suited their sensationalist spin, as example the Irish Independent falsely reported that a ‘box-making’ allowance given to staff at the Chester Beatty library was 15-20 euro per box. The truth was that the alleged box was a special purpose made box for storing old manuscripts. The report stated that in fact it would cost 15-20euro per box if the work was contracted out to the private sector! Abolishing most of the allowances the media highlighted would have saved thousands not millions as the media claimed. While I agree that the media should properly investigate ALL sectors of society, one wonders that they are spending so much time disecting the public sector, I wonder are there other sections of society like bankers et al now up to no good like they were during the boom, knowing that the media’s focus is elsewhere!!

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    • I read the list of allowances, and I also read the “business cases” they produced (at our expense) for retaining them. It was a good laugh alright. The HSE has a phone answering allowance. It’s new technology you see.

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  • Gerard 20/09/12 #

    Some of the allowances really are crazy though, a receptionist receiving phone allowance for answering the phone, an emt receiving allowance for using a defibrillator? I mean come on, who’s kidding who here?

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  • They can look at it all they like as long as howlin and his paid off union buddies say “hands off” these allowances won’t be touched.
    More Croke perks than park

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    • I agree. It is wishful thinking that the public service or any large group can reform itself in a way that leaves it less well off. The early retirements were a disaster as they cost a lot in upfront payments. This review should be stopped before it does more harm than good.

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  • Yes the PAC are on the case, the taxpayers can rest easy now.

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  • Priceless listening to Eoghan Murphy (FG TD Dublin South East) this morning bemoaning the waste of public sector allowances until it came to his own €12,000 a year allowance to attending Dáil Éireann. All of a sudden his allowance was justifable on its own merits. I’d love to get €1k a month towards the cost of getting to work on top of my salary for being in work. Simple answer to the vexed question of which allowances should go; roll up those allowances that form part of the salary into the core salary and then deduct the average percentage pay cut to the additional salary amount. Abolish entirely those allowances that are not part of the salary. Reference to the definition of wages under the Payment of Wages Act 1979 should help steer those towards what consititutes wages/salary and what does not.

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  • What was John mcguinness doing all those years when his party was in power? Nothing, absolutely nothing except feathering his own nest.

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  • Ok so let me get this straight:

    The average wage of a public sector worker is around €35,000 per year. Now they want to take as much as possible of you with their Austerity bullshit charges.

    Now if we look at it:

    Governmental officials wages are between €100,000 and €200,000 and don’t forget their “expenses” account.

    So if we were to put money back into the economy should it not be the private sectors wages that should get looked at?

    I’m sick of this government telling us we have to pay back their debt and the banks….yet there on wages that are way over the top and they are not even doing their job?

    Anybody else see something wrong with this picture????

    http://www.change.org/petitions/supporting-the-irish-nation-step-down-from-government

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  • Maybe the pac will claim.a second opinion allowance when.review is done

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  • We are broke. Stop all allowances today. People are lucky to get wages never mind allowances. Why are councillors paid ? Stop it now. If they want to volunteer to do the job – let them. County managers are paid to manage the councils.

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    • Stop all allowances now .. So thats an immediate 20% extra pay-cut for front line emergency services who work nights, Saturdays, Sundays, public holidays, Christmas Day and deal with the ills of society while you sit in your comfy gaff ruling the country from the net. The reality is most of the obscure allowances such as phone answering or franking are not known about or even claimed by public servants. Cut away because the savings are miniscu. If they cut all shift allowances tomorrow the action by nurses, prisoner officers, firemen, Gardai etc will be on a scale not previously seen. These decent people have given more than their fair share back already. Enough is enough.

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  • For gods sake. It’s as simple as this ‘We cannot afford these allowances any more’. Simple cut them. If they were in the private sector it would be done immediately.
    At The moment theprivate sector are like a poor child outside a chocolate shop looking in at the rich children, scoffing sweets and chocolates down there knocks, knowing that he will NEVER be invited in.

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    • Public Sector where like that and were crying for bench marking…..haven’t heard them words from them in 5 years….unions eh

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    • Are there no allowances or ‘perks’ in the private sector? no-one gets company phones (i-phones even) ? cheap vhi ? employers contribute to their pensions? provided with work-wear, protective footwear ? subsidised canteens? company cars? subsidised social clubs? I even know of a place where employees got a card and a minimum gift voucher of 20 euro on their birthdays!!! now imagine the headlines that the media would run with if that was happening in the public sector!! our media are very good at creating myths, pity they did nt see through the myths of our celtic tiger dynamic bankers and property developers that could do no wrong!

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    • All of those “perks” have to be justified to the owners of the business, or else they will not be paid. That’s one BIG difference.

      As for calling a company phone a “perk” you must be blooming joking. Do you think people get “allowances” for being at their bosses beck and call?

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  • Jeez Mark, we’re so ungrateful. T’would bring tears to a stone!

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    • It doesn’t matter which side you’re on, because its way too late to save the country. The Government are a shower of cowards that don’t have the guts to do the right thing. Croke park will be torn to shreds within months because there’ll be no money to pay for it. Plain and simple.

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  • G 21/09/12 #

    This is another waste of time and money. This simple solution should have been implemented 3 years ago :
    All public service employees made redundant and pensions paid off etc.
    New job contracts, uniform across the board, with proper working conditions and affordable/reasonable levels of pay offered to staff.
    Anyone not wishing to take up the new terms of employment, replaced by someone on the dole.

    It still isn’t too late!!!

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    • Very simplistic and stupid. How can you replace a guard or emt with 10 years experience with someone off the dole.
      Who would actually do the jobs as your training up all these new people.
      I agree do that the PS needs a huge reform but what your suggesting is not the answer.

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    • G 21/09/12 #

      The replacement of someone on the dole would not be the norm, why would a guard for example give up his offer of a new job?
      The one line solution sounds simple but implementation would have it’s challenges of course, I was only dealing with the big picture. That said, there is nothing wrong with a simplistic solution, the thousands of convoluted schemes to give them extra allowances and more money through the backdoor is exactly what has the country in this mess.

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    • Well you’d have to pay them redundancy so some may not come back once they got the money. And what would happen if the talks on new contracts break down. You’d be left with a gap in work force.
      Cants just say either that all allowances are wrong.

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  • Forget it. It is wishful thinking that the public service or any large group can reform itself in a way that leaves it less well off. The early retirements were a disaster as they cost a lot in upfront payments. This review should be stopped before it does more harm than good.

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  • @censored at least your arguments appear to be winning in the “thumbs down category”

    Reply

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