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Dublin: 7 °C Wednesday 22 May, 2013

Public sector reforms need ‘more urgency’ to succeed – Hayes

The Minister of State has warned that pay cuts will be back on the agenda if Croke Park changes are not pushed through.

Brian Hayes
Brian Hayes
Image: Eamonn Farrell/Photocall Ireland

THE LANDMARK CROKE Park Agreement for public service reform needs more “urgency” on the ground if it is to succeed, Minister of State Brian Hayes has said.

Hayes, who has responsibility for public service reform and the OPW, said that cost-cutting measures agreed when striking the deal with unions now needed to be followed up with a push to implement reforms at a basic staff level.

He said that his “backside is on the line” over the reforms – and warned that if savings are not achieved, then enforced pay cuts may be necessary. The Minister of State was speaking on Newstalk Breakfast.

“Implementation needs to be approached with greater urgency in all sectors,” Hayes told a BT Public Service Reform breakfast briefing today. “Management agendas that were hard won in Croke Park now need to be pursued by sectoral management even where that means that they have to go into a difficult negotiating space.”

Don Thornhill, chairman of the National Competitiveness Council, told RTÉ’s Morning Ireland this morning that the public service was “hidebound” by outdated practices and regulations.

Some of the changes to working practices are likely to prove controversial with unions. Hayes said targets for reform included holidays and sick leave, work rosters, and “performance management”. He added:

The benefits that these reforms will yield are significant; not only in terms of savings needed by the State in relation to fiscal consolidation, but in the delivery of more cost effective, integrated, customer-focused public services.

Last November, the Government unveiled plans for 23,000 jobs to be lost from the public sector payroll through “natural wastage”, and the cancelling of a number of projects.

State bodies have been accused by unions of breaking the Croke Park agreement in making cuts. Yesterday the Irish Nurses and Midwives Organisation said that a 25 per cent cut to medical staff in the outpatient departments of Cavan and Monaghan hospitals was in breach of the deal.

More: Decentralisation scrapped and over 23,000 public sector jobs to go by 2015>

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Comments (39 Comments)

  • @cormac. I was reading your comments and was admiring the basis of your argument but then you went and mentioned Eddie feckin Hobbs and all your previous work was undone right when you mentioned him!!!! I think that many people think that public sector workers do not pay taxes as per private sector, they pay exactly the same amount my friend!! Again this private v public argument gets us absolutely no where. The government are delighted that this divide goes on as it deflects it from the absolute disgrace at the way there running this state. We should all be pulling together, private, public, farmers, tall people, small people….why cause this cancerous divide between people who both have been affected by the wrong doings of the government. Cormac wake up pal, we’re all in this together

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    • OK, sorry about Eddie, but he did call time on the tiger. I can’t remember the name of the other little guy who kept getting up the noses of the politicians around the same time. But the voices who were calling on us to cool the tiger down were ignored by Bertie and his cabinet. However, somewhere inside those hallowed halls, someone must have looked at the bigger picture and have seen the flaws also. We can’t blame it all on Bertie, even though I would like to see his smug face printed on toilet paper. He was not alone in ignoring the looming crisis.

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  • This is not unrelated to the idea that we’re sliding into an emergency budget for this year, and a second bailout in following years.

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    • Don’t let noonan hear you saying that did you not hear we are going to get a gold star next week from a j and the boys indeed we might get an invite to the bond holders repayment party next week.
      Your comment about summer budget is spot on

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  • Where did you get it that there has been no pay cuts? I’m a frontline worker and my pay is down by over 15%. The govt. is taking close to 60c per €1 from me. If I showed you my weekly payslip after (barely) paying my mortgage etc. you’d be shocked, and many of my colleagues are in the same boat. It is the paper pushers in the public sector that need to be sorted out. There are also way too many high ranking ‘officials’. How did this small little country get to the point of paying public servants massive 6 figure sums while the services that need the resources are fighting for them! I dunno!!

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    • I do agree with your point about the top guys. Unfortunately you were also misled by your unions into thinking that benchmarking was a good idea. It was flawed from the very start and it only added to further wage inflation at a time when the government should have been putting the brakes on the economy.

      People got carried away with the media depiction of these high paid developers and financial wizards and brickies labourers. Look where they are now. The average industrial wage never really rose to the same extent as the benchmarking process allowed public sector wages to inflate. Most people saw only moderate increases in their wellbeing. Their spending was inflated by easy access to credit.

      Even I the smart guy that I am, managed to run up anmanageable debts on my credit cards and I already was a home owner before the tiger took a real hold. I’m struggling. For each of the three years 08, 09 and 10 I saw a 50% drop in my income. I’m not complaining I run my own business and can’t really blame anybody else, I had two years at least, where I ended up with no tax liability and no welfare to fall back on.

      Fortunately my wife has a modest job that keeps us going and our mortgage is pretty insignificant. I’m also lucky that the crash coincided with my yongest leaving creche for school. I feel angry that those with the power to make the decisions, decided to let the public suffer and look after the best interests of the few.

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  • What’s needed in this country is a reintroduction of the death penalty. This could prove highly effective in raising the spirits of the nation in these gloomy times if such sentences were to be carried out in public.
    Just picture it; several banksters, ex-cabinet members, or pyrite-ridden property tycoons being marched down to the steps of the GPO every friday at ten to six having been judged guilty of treason against the state, and then seeing them publicly hanged.
    Who could dispute the assertion that such a spectacle could only serve to gladden the heart of every Irish man and woman?
    I hear the stampeding of red thumbs!!!!

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  • The position of Mr Hayes appears to be at odd with the position of Mr Gilmore but as the lads and ladies of the labour party have a lot more to worry about it seems like a timely ball hopping exercise.
    The labour party will not be happy with new opinion poll as they may slip to 10 %
    Interesting times ahead

    Reply
  • @Cormac, Eddie Hobbs was a cheerleader for Celtic tiger excess, and was on tv every other night during that period, advising viewers on how to purchase that “little hoidaway (sic) in Bulgaria.” I’m sure he’s a grand fellow, but don’t bestow on him that which he’s not entitled to. Btw, I’m glad you’re hanging in there, despite our difference of opinion.

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  • cormac well done for giving up the cigarettes… but just a little insight into my life… we don’t smoke, eat out or drink and that isn’t by choice its because we cannot afford it… my kids do not get treats because if they did they wouldn’t have a birthday, Christmas etc. we have at least 20 years left in our jobs again not by choice it is because we have to. yes i have a pension but surprisingly enough i actually pay for it… i don’t complain about working because i actually like it even though i would be financially better off on the dole…

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  • @cormac u r obviously one of the private sector workers that thinks that u alone are supporting this country… wake up and smell the coffee… all public sector workers are paying like everyone else for the past governments mistakes… the likes of u mouthing off only cause a divide throughout the workforce of this country…. what about the public sector workers that i know personally that lost their jobs before Christmas because they only had a 3 year contract!!! where is the sympathy for them… i agree that they’re is senior managers that need to come down to reality but the general public workforce break their backs for their wages and are afraid to say anything about it because of people like you that just want to voice nonsense. my husband is a public sector worker and i am a semi state worker and why don’t u walk a mile in our shoes before u open ur mouth.

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  • Cormac, you cant be working THAT hard! Seems to me you have a whole lot of time on your hands to be able to continually come out with sych ramblings. Or maybe your just hyper efficient?

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  • @cormac… with all due respect u have no idea. i know of two so called “well paid” public sector workers that have lost their houses as a result of this economic disaster. i am left with 40euros a week after paying for fuel and childcare which in turn means that by the end of the week i have nothing!!! after my husband gets gets paid and after the mortgage etc is paid we are left with 110euro to feed our children and TRY and save a fiver… we didn’t cause the countries problems but why do we have to contribute more than everyone else to fix it?? and your statement about Eddie hobbs… really such an esteemed business owner should know that he advised to invest in a bogey investment that later failed!!! this country should stand together not judge peoples situations at the end of the day the government and banks got us into this mess and its the people paying dearly for it.

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    • Grainne, believe me I do have a very good idea. I’m sorry I brought up Eddie’s name and I suppose if I mention David McWilliams I’ll get slapped again. I’m giving up smoking, so I can provide additional treats for the kids and if you were ever an addicted smoker, you might get some sense of what that means. But the money I spend on smokes is all I have left to cut into, unfortunately, that is going to mean less taxes paid. I can only thank the gods that I never had the spare cash to invest in anything. Thank god I didn’t waster money on a private pension. I’ve about 10 years left in my so called working life, but I’ll keep going on until I can work no longer. I know of few people who would actually relish the idea of working on into their 70′s if I last that long. But I am lucky enough to really enjoy what I do.

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  • Cormac, you are clearly an aggrieved ex-private sector employee, who probably lived it up during the tiger years, and now sees the entire private sector as the bogey man, the cause of all our ills. I can imagine your pals rolling their eyes as you yet again ruin another dinner party with a booze-fuelled rant against the EVIL public sector. I suggest you take up a hobby; I personally find knitting very relaxing.

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    • Not an ex yet, I’m still fighting on. I know where the problems lie and I’ve managed to insulate myself from the storm that still rages. I’ll survive. I didn’t climb on the pigs back in the tiger years, I looked on with a mix of envy and shock. I knew the downfall was coming, as did Eddie Hobbs and a small few others. I didn’t accumulate any huge debts, or any valuable assets. I could have increased my charges to my clients and screwed the system like so many others, but maybe I should, when I see how the fatcats got away with it. But it is not in my nature to screw others. I set myself some strong moral values and live by them, even if it hurts me.

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    • I don’t drink much, but I do rant a bit, however, I find my voice is often lost among the rest of those ranting at how we have been let down by the mandarins in high civil service roles.

      The sooner the better the little guys who actually deliver the services the public pay for realise that their bosses are hanging them out to dry. It is the front line who will bear the brunt of the cuts and I’m on their side.

      It seems however, that the front line workers can’t see how they have been made the whipping boy for the failure of the top brass. It is probably a union issue. Maybe the frontline public servants need to form their won union to protect themselves and expose the real culprits at the top.

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    • Oh, one final comment here, before I get back to work, most of those I know in the public service are frontline and they have some real horror stories to tell about incompetence. They would like to see change too, but like I say, it needs to be open and transparent change. Everyone needs to see the change, or we will believe nothing has changed.

      Maybe some servant could set up a website to keep us informed of how much waste has been saved and how much more productively our money is being spent.

      In the meantime, I might take you up on the knitting idea. I feel some cold winds blowing and wolly socks and hats and mittens for the poooooor public servants might be needed.

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  • The only urgency, visible in many different manifestations of the ultra patriotic ‘austerity programme’ (aren’t we good lads), is the subservient, headlong rush to pay homage to unsecured bondholders!

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  • dub 12/01/12 #

    this is the real budget. see the pattern: we have to increase the price of alcohol for ur health, oh and a few ‘environmental’ taxes on the way. cut public sector pay. put the revenue on war footing. get a few well healed newstalk contributors, called eddie or fergus to attack the public sector. is that bt the telecm giant, hosting this? if so, why?

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  • I wish the Minister the best of luck with this poison chalice. More urgency is perhaps an overstatement. Even a tiny bit of urgency would create huge efficiencies, but the whole public sector is infected with an insulated lethargy that makes the dead look like frenetic zombies.

    As Don says above, it is practices and procedures that need to change. Our public servants need to work smarter. I don’t believe we can suggest that they don’t work. I think they do, if we could capture their energy and commitment and focus it on delivering results using better management, policies and procedures, we could be a nation to be rightly envied.

    As public sector workers it is their duty to do what is right for this country first, otherwise they should not be public sector workers. They have no right to protect wasteful work, poor performance or to hide behind the official secrets act and play dumb when they see it happening. They allowed our country slide into chaos and as long as their ATM was still coughing up, they were happy.

    I would be very happy to see them share the pain those of us who struggle in the real world have suffered. Pay cuts, my rosy butt, they haven’t had any. All that has been happening to them so far is that they have had to hand up privileges and pay awards gained under false pretences. False earnings granted to keep them quiet and pacified.

    If there weren’t so many of them we could have a revolution and replace them. Unfortunately many good and worthy workers would be hurt. It would be far better to have the change come from within, but there might not be enough time for that to seep in through their firewalls. So we are back to that sense of urgency.

    One suggestion I have would be for the Government to announce well in advance of the next budget that there would be a 10 or 20% cut in payroll costs next year and that those concerned would have the next 10 months to negotiate how that would be delivered without a reduction in output. I’ve thought through the next few steps in such a process, but I would be interested in hearing reactions first.

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    • Let me guess, you used to be employed in the private sector?!

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    • Silent P 12/01/12 #

      How do you know so much about other people’s work practices? Is it first hand experience or just pub talk?

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    • Silent P, dare I say it, I’m a Consultant. One of the big differences between a consultant and a manager or worker is that you get to spend all of your time working on other people’s businesses and problems. I’m not an expensive consultant, I do it because I like it and I’m actually quite good at it if I can get people to listen to me.

      I’ve been around the block a few times. I know better than to listen to pub talk and never take other people’s word for it when they talk negatively. I like to ask questions and get concrete examples that can be verified if I ever need to stand over them. I don’t get much work in the public sector, because I make the managers feel too uncomfortable and I have and show little respect for incompetence in business. I have also walked away from clients in the past, both public and private sector if I don’t like their attitude to staff or their value systems.

      That’s partly why I work for myself, I can be an unsufferable barsteward if I end up in the wrong company. Also, I lie the idea that no one tells me how to do my job, but I get to tell others what I think about how they do theirs. I couldn’t hold down a nine to five, I’m just not built that way. I’m surfing the web now, but could be finishing up a report for a client at midnight tonight. Catch me on a bad day and I can be a disaster, but when I’m on the ball, I can be brilliant. I’m just different to most consultants.

      Actually, in my career, I’ve led assignments that have resulted in the dismissal of 3 CEOs, two of whom had actually hired me to to sort out their troublesome teams. I’m glad to say that after their departure, the team grew from strength to strength. When I’m faced with a business problem, I start at the top and work my way down. Usually I don’t have to work too far down.

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  • The Croke Farce Agreement should never have agreed prior to an analysis of the minimum number of staff required in the public sector and where the pockets of inefficiency and time wasters were located. Only then should a redundancy scheme, including involuntary redundancies, have been implemented. Instead the most stupid approach to numbers reduction was taken, an approach that almost guarantees that very little of the dead wood under retirement age will leave. For example, the medical system is in a permanent state of disorder, and yet large numbers of doctors, nurses and other clinical staff are being encouraged to take early retirement. The result next March with be many fewer necessary staff to deal with patients. Any company that conducted staff reduction in this way, encouraging the retirement of critical staff, would collapse in a matter of months. The Agreement symbolises all that is dysfunctional in the relationship between government and the public service.

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  • QUESTION Can we legislate retrospectively in this country to introduce legislation that would allow the government to strip those responsible for ruining the country of all of their assets. I mean any assets gained during the peak years of the tiger economy when wisdom says we should have been cooling things down. Could we take the pensions fo the incompetent politicians and public servants and leave them on state pensions. They would be ok on that since they seemed to think our widows and elderly could survive on it. Can we gather together all of the top bankers bonuses and the commissions paid to ruthless financial lenders who sought only to line their own pockets without considering the consequences for their customer if the economy turned. Can we decide to pay the bondholders back only what they paid for their bonds. Most of these bonds have been traded on the financial markets and many of those being paid off now, bought them as junk bonds during the panic of the collapse, rather than paying the original face value of the bond.

    Can we quickly put in place a tax structure that taxes speculative trading so heavily that investors begin to focus on sustainable long term returns rather than short term gains? Keep speculation where it belongs, at the racecourses and gambling tables. Speculation on an economy is a form of terrorism and can cause as much hardship and grief as a car bomb, it just takes longer to realise it.

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  • Hi Paul, saw that. Not bothered. There are problems with the public sector, whether people like it or not. It is a drain on our economy at a time when we can ill afford it. What it needs is not just gentle painless reform, but radical reform. As an outsider, and someone who runs their own business, I see many areas that could be changed and result in not just savings, but improvements in services.

    Those trapped within the system have to face an unenviable choice of sharing the burden of cuts, or making those cuts and changes where they will have most impact. Let us face it, front line staff are not really the issue. The public can see the work they do and appreciate the hard work they put in. To a large extent they are not even part of the problem.

    A properly executed change programme would more than likely result in rewarding front line staff with more autonomy, training and development opportunities and dare I say it, more money and recognition.

    The internal world of the public sector is a bit like a Victorian landscape. It is an upstairs downstairs world. The public sector has at least two classes of people, those who deliver output, services etc. and those who sit in their lofty carpeted estates and oversee their little empires. They live in a world that time has left well behind.

    These little emperors and there are many of them, have built a system of checks and balances that ensure blame can never fall on them. There are duplicated and triplicated channels of communication. There are procedures for checking expenditure and change that cost more to operate than the change itself. Decisions that could be made immediately by those at the front line need to be passed up the chain of command and back down again so that those at the front line don’t get the idea that they are smart and capable.

    The system is designed to smother initiative and innovation and is a hangover from a time when all communication consisted of wax sealed envelopes and little barefoot children running about the streets with them. Even where electronic communication has arrived, the old procedures are kept in place, just in case there ever comes a time when we run out of electricity or a nuclear war wipes out all the electronic records.

    Believe me, it it comes to that, we will have a lot more to worry about than paper records. Besides, we saw what a little bit of fire can do to paper records back when the Four Courts went up in flames. Look around you Paul. Are you really proud of the public service in its entirety. Is there no sector you would see that needs some change.

    As someone who has not earned enough in recent years to pay tax, I feel a little cheeky to be chucking stones at those who live in glass houses, but I have put almost everything back into keeping my business afloat and paying my debts. I feel I have a right to complain about the pace of public sector reform, both as a citizen and as a person who knows that he will shortly begin to pay taxes again, because I have taken the cuts, made the difficult choices and lived like a pauper, without any financial support from the state for the past 4 years.

    Those who feel that public servants are being unduly blames for the failings of this state should consider whether spoiled children should be blamed for their behaviour. If it isn’t your fault, please feel free to point the finger at those who got us to where we are.

    Is it your parents, in this case, probably the senior civil servants and past politicians, as I’m not talking about your real parents, only using a metaphor, please point fingers and name names. We need to find a starting point to unravel the ineffectiveness of our investment in the public sector.

    It would be a far better thing if we do it ourselves rather than wait for Brussels or the IMF to come in heavy handed and probably destroy what good will remains in the system.

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    • what planet are you on cormac! so me and my colleagues who work damn hard in.public sector..im.frontline emergency services..are to blame…so where exactly on the blame scale do.you.place johnny ronan sean fitzpatrick..the numerous builders and developers who massaged figures to borrow money they KNEW they couldnt afford…hiw many of them were pubkic sector eh? yes..high level.officials f’d up but I most certainky did not! where do you place sean quinn borrowing money from anglo to buy anhlo shares to prop yp anglo..i judge from.your vitriol.that you are one of thise who would run.public service as a business..you show your complete ignorance of essential.services..not just emergency ones but health education caring for thise with intellectual and physical disabilities..transport..thse CAN NOT be run.on.a profit or loss basis…thats why they are called ESSENTIAL! yes there are inefgiciencies yes there are prblms but approaching it in.your brutish manner will do no good

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    • Hi Colm, same planet as yourself Colm. Sorry, the post above is only part of my rant, you’ll find that I elaborate on where I feel the blame lies and I certainly do not place it on the frontline. Within your services, the front line have no power over how the service is delivered.

      What I’m really getting at is the lack of balls for the want of a better word amongst those in the higher echelons of power, who knew that Johnny Ronan Sean Fitzpatrick Drumm was slowly wringing the life out of the country. These are the people who should have shouted stop and should have gone over the heads of the politicians and impeached them if they tried to ignore their advice.

      Where I have got a problem with the frontline is that they have not turned on their incompetent masters and blasted them out of their cushy offices, because, you in the frontline are going to bear the brunt of the cuts and the pain over the next few years, or longer.

      You are also the only ones Joe and Julia Public can give out to when services begin to fail or supports begin to dry up. The guys upstairs can survive because they are the ones with the red pens to draw the lines through jobs and services and they are never going to do the same to themselves, unless they have a golden handshake and early pension, with benefits to look forward to.

      When the frontline break ranks with the incompetent mandarins and turn around to face the public and decide that they are the best ones to call the shots, because they know what is needed, I’ll join them on the barricades as the mandarins and tangerines try to force them out of jobs.

      You work in a world like early 20th century Russia. I’m not a red, but a revolution is needed to change the archaic structures of the public sector. You don’t have to hang people in the streets, but if you mounted a proper protest, you would have the rest of us behind you. Otherwise, the whole sector will loose credibility and be wound down into a skeleton structure, death by a thousand cuts. Almost all services will be privatised or outsourced and the public sector as we know it will cease to exist.

      Let us face it, hospitals and emergency services could be privatised, there are already models in existence to show how it can be done. Even police forces can be restructured. Education could go the same way and we would all end up living in little America and pay through the nose for services to swell the coffers of faceless corporates.

      Sorry if I misled you with my incomplete first post.

      Reply
    • cormac what you suggest in my case would be mutiny and you can forget it! get real man…you are dreaming..oh and your earlier comment about pay cuts…im.sorry to have to inform.you that we have taken our share..i know of young members sleeping in.their cars on shift changes because they cant afford fuel…keep reading the sunday indo and living in their parallell universe

      Reply
    • Hi Colm, ever hear of a coup d’etat. If you win it’s not mutiny, you get to be the hero who overthrew the oppressor. Unfortunately a coup wouldn’t really work. Spilling blood in this state has been proven time and time again to only lead to more bloodshed. So when the revolution begins, just sit idlly by, no, get out on the streets and make sure no one on either side turns violent.

      I liked Ghandi’s approach.

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  • Grainne, I hope my last post has added a bit of clarity to my first one. Walking a mile in the shoes of a public servant seems like a wonderful opportunity at the moment. What would I do with a wage if I had one. . .

    Let us face it, someone inside the public sector knew we were headed for trouble with our economy years before the dirt hit the fan. Given this is Ireland, that someone is probably hundreds of someones, but nobody stood up to the politicians. They all kept their mouths firmly shut, because that is their role in life. Where have I seen this kind of thinking happen before!! An all in the name of democracy.

    Politicians are people not popes, they can make mistakes and they do. If they are not challenged, they go on to do more harm. If they are challenged and still go on to cause more harm, then they have failed in their role and need to be exposed and the people need to be given a chance to democratically replace them. A vote is a lotto ticket. You cannot expect to get it right every time.

    At the end of the day, that kind of thinking suggests that this mess is all the fault of the people who voted in previous governments and public servants have no responsibility or moral duty to ensure the voters choice behaves in an ethical and responsible fashion. Abdication of responsibility???

    Give me a break folks. I was once told that I wasn’t being interviewed for a role in a public sector organisation because I’d upset too many people with the amount of change I’d be looking to drive and the pace I’d be looking to drive it at. And all I was looking to do was bring some private sector initiative to the a role I knew was failing to do what was right. Those who had spoken to me knew my thinking was what was needed, but the organisation was too set in its ways to change.

    It’s a pity, because I can also be subtle in my ways when I want to, and I am also a firm believer in helping people achieve their potential and live a more rewarding work life. In my case, the ones facing the most threat would have been the management and unfortunately they were the decision makers. Perhaps I was too innocent and open in my approach. Call a spade a spade and you’ll probably end up getting hit with it.

    Good luck with the change process, I probably won’t be involved, but if you see managers being moved or let go and front line workers getting more say in how they deliver the services they want to deliver, I might have sneaked in by some back door.

    Reply
  • Implementation, IMPLEMENTATION, ah for feck sakes, you mean you actually want something to change in the PS.

    Not on your nelly. Only the Troika will wake us up out of this stupor. The lazy lead by the meek!

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    • Paul, we can always hope. Being an eternal optimist I hope and believe that someone will see sense and step out of line to take charge. All it really calls for is Leadership, but we don’t appear to have any.

      Reply

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