Up to 3pc payriseset for public servants in new deal
THE country’s 340,000 public servants are in line for pay hikes of up to 3pc by the end of next year after overwhelmingly backing a new wage deal in ballots.
Union leaders announced yesterday that members of 13 of 17 unions affiliated to the Irish Congress of Trade Unions (Ictu) had voted in favour of the two-year agreement.
It is called ‘Building Momentum’ and will cost €906m.
A 1pc pay rise is due on October 1 this year, followed by another 1pc in the same month next year. A third increase worth 1pc is also available to unions who lodge claims on behalf of groups of staff.
This is set to be paid from a new sectoral bargaining fund on February 1 next year.
Lower-paid State employees will get €1,000 instead of the percentage increase, in payments of €500 on October 1 each year. This is equal to an estimated 5pc for some over the course of the deal.
Earnings will also get a boost as cuts to overtime and allowances imposed during the financial crisis will be restored.
And the deal promises to begin reversing extra working hours introduced during the crisis.
This is proposed by setting up an independent body to make recommendations on the issue, and a €150m fund.
Chair of the Ictu public services committee and Fórsa general secretary, Kevin Callinan, said he expects the hours will be rolled back from the start of next year.
When asked if the pay rises were appropriate for public servants in secure jobs who had not taken a pay cut during the pandemic while adding almost €1bn to the pay bill, Mr Callinan replied that the increases are modest.
“I think the increases in this are very modest in terms of the overall monies that are being spent on the pandemic,” he said at a briefing yesterday.
He said the agreement would provide certainty and stability.
The union chief also revealed that he does not believe the agreement will be revisited by unions seeking further increases if the economic outlook improves.
“So the answer is no, I don’t think we’re anticipating that,” he said, “As we can see from what’s happening today in government, in cabinet, is that there is still a long way to go on the pandemic and all public servants across all of the sectors are obviously affected by that and working with that.”
Siptu deputy general secretary John King, who is secretary to the committee, said there was a demand to try and find a way to deal with grade-related pressure points, without undermining a collective agreement.
Meanwhile, Minister for Public Expenditure and Reform Michael McGrath said he would not accept a pay rise for TDs that is due by July 1.
He said he expects his Government colleagues will do the same.
His department said last week that legislation “precludes” ministers “from benefitting from the further unwinding of pay cuts” this year and next.
But a spokesperson clarified yesterday that this only related to the ministerial portion of their income.
She said the TD portion of their earnings is set to rise.
Higher earners in the public service on less than €150,000 a year, including TDs, are due the 2pc pay rise by July 1.
This will bring their €98,113-a-year pay up to €100,191. A senator’s yearly wage will rise from €69,474 to €70,134. Those who receive the increase are not eligible for the first 1pc pay rise due under the new Building Momentum pay deal.
However, they will be eligible for a 1pc pay rise due under it in October next year.
The new deal runs out at the end of next year. It is expected that talks on the next public sector pay deal will begin in the middle of next year.