Public sector cull: 15,000 jobs axed by 2015 saving €2.5bn
THE GOVERNMENT is planning to make 15,000 public sector positions redundant by 2015 cutting €2.5bn off the gross pay bill compared with 2008 bringing employment levels to 282,500.
This year 5,000 staff will be made redundant under the public sector reform plan, announced by Public Expenditure Minister Brendan Howlin today.
And annual leave across the public service will be standardized with a maximum leave entitlement of 32 days.
Previously some staff were entitled to over 40 days, as well as further time off for local events.
40 decentralisation projects have been axed with a further 22 under review as the Government attempts to cut costs in the bloated public sector.
It is also planning to rationalise or cut 48 quangos and put a further 46 under “critical review.”
Other efficiencies in relation to shared services, improved procurement and property management systems and potential out-sourcing are also planned by the Government.
“The bottom line is we simply cannot sustain our current system of Public Service delivery - we must change,” Mr Howlin said today.
“The coming years will not be easy.
“Future economic growth will only come from a solid and sustainable fiscal position.”
He said there were five key points in the plan:
- placing customer service at the core of everything we do;
- maximising new and innovative service delivery channels;
- radically reducing our costs to drive better value for money;
- leading, organising and working in new ways; and
- strong focus on implementation and delivery.
The Government is committed to taking €3.8bn out of the economy in next month’s budget.
It has also agreed to bring the budget deficit to 3pc of Gross Domestic Product by 2015 under the terms of the EU/IMF/ECB €67.5bn loan programme.
Mr Howlin added that the Fine Gael/Labour government has already achieved further savings in the public sector by reducing the salaries of the Taoiseach and ministers and the introduction of new pay ceilings for senior public servants.