Minister Donohoe publishes New-Entrant Salary Scale Report

16th March, 2018

The Minister for Finance and Public Expenditure and Reform, Paschal Donohoe TD, today (Friday) submitted a report to the Oireachtas examining the remaining salary scale issues for new (post-January 2011) entrants to the public service, as required by Section 11 of the Public Service Pay and Pensions Act, 2017. The report shows that there has been strong recruitment since 2011 to the estimated 237 recruitment grades across the public service, with over 60,500 so-called ‘new entrants’, or 19% of the public service currently working in these grades.

The report estimates that the costs associated with a two point incremental adjustment for the 60,500 staff identified are significant, at approximately €200m. It should be noted this would equate to an additional €3,301 on average for new entrants, on top of the existing pay benefits under the PSSA, of between 7.4% and 6.2% (or up to 10% for new entrants hired after 2012).  

Commenting on the report, the Minister said: ‘This examination highlights the considerable complexity, scope and costs associated with this matter, as we have always maintained, impacting as it does on hundreds of salary scales right across the public service.  The data also shows that the reduced pay points introduced during a time of crisis have not prevented very significant recruitment to our public service in the years since’.

“However, as part of the negotiations last year leading to the Public Service Stability Agreement 2018-2020, we acknowledged issues of concern relating to the increased length of salary scale for post 2011 new entrants and we committed to an examination of the issues and to enter discussions with the parties to the Agreement in relation to it.

“We commenced this process early last October – with all unions and associations signed up to the PSSA – and it was agreed then that a comprehensive data gathering exercise was needed as a pre-requisite for further discussions. This work has now been completed and is being published today.

“The Report to the Oireachtas makes clear this Government’s commitment to working with the parties to address these issues, in line with the terms of the PSSA and taking account of the significant costs involved.  The Report and the data underpinning it will provide the necessary evidence base to support further engagement between the parties.”