Friday 9 December 2016

Refunds ruled out in review of pay cuts

Anne-Marie Walsh Industry Correspondent

Published 08/04/2011 | 05:00

PUBLIC servants have little chance of getting pay cuts reversed under a national wage review that promised refunds this year. The Implementation Body overseeing the Croke Park deal has begun the first annual wage assessment under the agreement.

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The wage reviews were seen as a major coup for unions when the deal was brokered in March last year.

It held out the possibility of refunds being made to their members -- whose wages were slashed by roughly 14pc in emergency budgets -- if "sufficient savings" were made through reforms.

Highly-placed sources revealed the Implementation Body is expected to verify over €500m savings this year, but there is practically no chance of it being distributed among State employees. "There is no chance of refunds," said a source. "The country is bankrupt, and this pay refund measure has essentially been given away to the IMF, because over €1bn in payroll savings have been promised by 2014."

Persuaded

The fact that public servants are aware that considerable savings have been made will pose a problem for unions. They will be pressured by their members to fight for refunds because unions persuaded them to back the deal on the promise of a restoration of pay.

But only public servants who have left since the Croke Park deal was agreed will be counted as a saving.

Sources said the reduction in numbers will bring in roughly €400m, while another €100m would come from reforms under the Croke Park deal.

Irish Independent

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