Minister learned of ESB pay rise 'through media'
Related Articles
ENERGY Minister Eamon Ryan only learned of the ESB'S controversial €8.9m pay rise for staff when he read about it in the media.
A spokesperson for the minister last night revealed he only discovered the energy supplier was awarding the increase in the second week of January.
"The minister received no advance notice," she said.
The Irish Independent has learned chief executive Padraig McManus signed off on the pay increase in December following approval by the board.
Three ministers and the consumer watchdog yesterday united in condemning the ESB for paying the increase as electricity prices here remained among the highest in Europe.
Pressure is mounting on the State electricity supplier to lower its prices after it paid the 3.5pc increase under the new national wage agreement to 4,000 workers.
The row over the pay rise escalated yesterday after the Taoiseach announced earlier this week that the Government was deferring the national wage agreement across the public sector.
However, the ESB has defended its decision and said it was bound by the wage agreement to pay the increase from November 1.
A spokesperson pointed out it is considered a private sector employer under the wage deal.
Transport Minister Noel Dempsey said he did not believe "anyone in Government" was happy the increase was paid "in the current circumstances".
"We're not happy, and we're not happy with the price of energy," he said.
His criticism came after Justice Minister Dermot Ahern hit out at the pay rise, describing it as "crass in the extreme".
He said it was wrong for ESB staff to get a wage rise when almost every other sector was facing pay freezes, pay cuts, pension levies and job losses.
Green Party leader and Environment Minister John Gormley was the first to voice his opposition when he said there was widespread government concern over the pay rises.
Last night, the Dermott Jewell chief executive of the Consumers' Association of Ireland also condemned the move.
Costs
Unions at the ESB strongly defended the company's decision and claimed prices had nothing to do with staff costs.
Both Unite and the Technical, Engineering and Electrical Union acusedministers of attacking workers.
Meanwhile, spiralling electricity costs were last night blamed for the decision to cut 80 jobs at troubled Galway electronics firm Celestica.
Fine Gael Senator Fidelma Healy Eames said electricity costs had sky-rocketed by €500,000, or 34pc, since last September and played a major role in the company's decision to seek 80 voluntary redundancies.
- Anne-Marie Walsh, Paul Melia and Aideen Sheehan
