Pay cuts kick in for TDs and public servants earning e65k
POLITICIANS and higher paid public servants on €65,000 and over will have their pay cut by 5.5pc to 10pc following the formal implementation of the Haddington Road agreement on public service pay and reform.
A government spokesperson confirmed that the State's massive payroll system covering 292,000 public servants was changed last Friday to take account of the pay cuts and will be included in the next pay packet this Thursday, July 4.
He added that the system was also changed to take account of the extended working week for public servants, of up to 2.5 hours extra a week for those working 35 hours or less, also agreed under Haddington Road.
The spokesman also confirmed that the harsher terms provided in legislation, which applies to all public sector unions that fail to sign up to Haddington Road, also went live yesterday.
Most notably the legislation includes an immediate freeze on all increments for the full three years of the agreement.
To date, the two secondary teacher unions, the TUI and the ASTI, and the university teacher union, IFUT, have yet to ballot their members on Haddington Road, with voting likely to take place in September.
The Unite trade union has also reluctantly decided to re-ballot its 6,000 public sector members on July 12, with a recommendation to accept.
The two main army associations, PDFORRA and RACO, have also yet to ballot, though they are both expected to sign up. But the government spokesman said that all increments for the members of these unions had been frozen as of yesterday as they failed to sign up to Haddington Road.
This will have little immediate effect on teachers, whose increments are normally paid at the start of the school year in September.
However, if the teachers reject the deal in September then their increments will be frozen with immediate effect.
The pay cuts agreed under Haddington Road, and also included in the legislation, provide stepped pay cuts for those earning over €65,000 as follows: 5.5pc cut on salary up to €80,000; 8pc cut on €80,000 to €150,000; 9pc cut on €150,000 to €185,000; and, 10pc on salary over €185,000.
This will see Taoiseach Enda Kenny's salary drop from €200,000 to €185,500 – a cut of almost 7pc.
Tanaiste Eamon Gilmore will see his salary drop from €184,400 to €171,210.
A minister's salary is cut from €168,275 to €157,563, excluding the pension levy, while a TD's basic salary will fall less steeply from €93,300 to €87,836.
Senior civil servants, such as the secretary general in the Department of Finance, John Moran, will see their salaries drop from €200,000 to €185,350, while an assistant secretary's salary goes from €146,191 to €136,496.
The salary of a principal officer drops from a maximum of €105,400 to €98,995 and the next grade down of assistant principal will drop from €76,768 to €72,546.