Financial Emergency Measures in the Public Interest (No. 2) Act 2009

Type Act
Publication 2009-12-20
Last updated 2023-01-01
State Partially repealed
Text Latest available text
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articles 15

This is the most recent text the official source publishes. It is not a snapshot of the law as it stood on the date of each change.

19 amending acts · 2023-01-01, revised-IE-2009-act-41@2023-01-01

in the public interest, to provide for the reduction of the remuneration of certain persons in the public service (including members of the Houses of the Oireachtas and certain office holders), and to provide for related matters

Reform history JSON API

AN ACT, IN THE PUBLIC INTEREST, TO PROVIDE FOR THE REDUCTION OF THE REMUNERATION OF CERTAIN PERSONS IN THE PUBLIC SERVICE (INCLUDING MEMBERS OF THE HOUSES OF THE OIREACHTAS AND CERTAIN OFFICE HOLDERS), AND TO PROVIDE FOR RELATED MATTERS.

[20th December, 2009]

WHEREAS a serious disturbance in the economy and a decline in the economic circumstances of the State have occurred and are continuing, which threaten the well-being of the community;

AND WHEREAS as a consequence a serious deterioration in the revenues of the State has occurred and there are significant and increasing State commitments;

AND WHEREAS it is necessary to take urgent measures to reduce the significant shortfall between expenditure and revenue and to reduce the unsustainable levels of public borrowings consequent on the deterioration in those revenues;

AND WHEREAS it is necessary to reduce State expenditure to maintain international confidence and to protect the State’s credit ratings;

AND WHEREAS it is necessary to take urgent steps to help restore the State’s competitiveness;

AND WHEREAS it is necessary for the State to achieve significant savings in its expenditure, both directly and indirectly, on remuneration—

BE IT THEREFORE ENACTED BY THE OIREACHTAS AS FOLLOWS:

1. Interpretation.

1.— In this Act—

“Civil Service” means the Civil Service of the Government and the Civil Service of the State;

“Minister” means the Minister for Finance;

“public servant” F1[, subject to section 2A (inserted by the Financial Emergency Measures in the Public Interest Act 2013),] means—

but does not include the President F4[…]);

“public service body” means—

in respect of which a public service pension scheme exists or applies or may be made,

“public service pension scheme” has the same meaning as in the Financial Emergency Measures in the Public Interest Act 2009;

“qualifying office” has the same meaning as it has in section 13 (inserted by the Oireachtas (Allowances to Members) and Ministerial, Parliamentary and Judicial Offices (Amendment) Act 1977) of the Ministerial and Parliamentary Offices Act 1938, that is to say—

“ relevant provision” means—

“remuneration” means emoluments to which Chapter 4 of Part 42 of the Taxes Consolidation Act 1997 applies or is applied and payable by or on behalf of a public service body to a public servant for his or her services as a public servant;

“subsidiary” means a subsidiary within the meaning of the Companies Acts.

2. Reduction in public servants’ remuneration.

2.— (1) A relevant provision that fixes the remuneration, or any part of the remuneration, of F6[a public servant, other than a public servant referred to in paragraph (e) or (f) of the definition of that term in section 1,] shall be taken to have been amended, with effect on and from 1 January 2010, in accordance with this section.

then the public servant’s basic salary, for the purposes of calculating the amount payable as the allowance, is his or her basic salary reduced in accordance with subsection (2) and Table 2 or Table 3 (as the case requires) to this section.

or

Table 1

Holders of certain offices and other public servants

Office Reduction
Taoiseach 20 per cent of remuneration
Tánaiste 15 per cent of remuneration
Minister 15 per cent of remuneration
Minister of State 10 per cent of remuneration
Ceann Comhairle 15 per cent of remuneration
Leas-Cheann Comhairle 10 per cent of remuneration
Cathaoirleach 7.9 per cent of remuneration
Leas-Chathaoirleach 7.4 per cent of remuneration
Leader of the Seanad 7.2 per cent of remuneration
Attorney General 15 per cent of remuneration
Comptroller and Auditor General 15 per cent of remuneration
Secretary General of the Department of the Taoiseach and Secretary General to the Government 20 per cent of remuneration
Secretary General, the Department of Finance 20 per cent of remuneration

Table 2

Public servants with rates of basic salary over €125,000

Annualised amount of basic salary Reduction
Over €125,000 but less than €165,000 8 per cent of basic salary
€165,000 or more but less than €200,000 12 per cent of basic salary
€200,000 or more 15 per cent of basic salary

Table 3

Public servants with rates of basic salary not over €125,000

Annualised amount of basic salary Reduction in basic salary
Up to €30,000 5 per cent
Any amount over €30,000 but not over €70,000 7.5 per cent
Any amount over €70,000 but not over €125,000 10 per cent

Table 4

Allowances to which section 2(3) relates

Allowances and basic pay Reduction in allowances
Allowances to which section 2(3) relates that are paid as part of annual remuneration to public servants in receipt of annualised basic salary not exceeding €125,000 5 per cent
Allowances to which section 2(3) relates that are paid as part of annual remuneration to public servants in receipt of annualised basic salary exceeding €125,000 8 per cent

2A. F11[Public servants’ remuneration: reduction, with effect from 1 July 2013, for certain public servants.

2A.— (1) In this section—

and, for the purposes of this section, the definition of ‘public servant’ in section 1 shall apply as if in paragraph (e) of that definition the words ‘who was appointed to judicial office before the commencement of section 10 of the Financial Emergency Measures in the Public Interest (Amendment) Act 2011’ were omitted.

then the public servant’s basic salary, for the purposes of calculating the amount payable as the allowance, is his or her basic salary reduced in accordance with subsections (2) and (3) and the Table to this section.

or

Table

Reduction in Remuneration of Public Servants Earning More Than €65,000

Annualised amount of Remuneration Reduction
Up to €80,000 5.5 per cent
Any amount over €80,000 but not over €150,000 8 per cent
Any amount over €150,000 but not over €185,000 9 per cent
Any amount over €185,000 10 per cent]

2B. F12[Alteration of remuneration (other than basic salary) or working time of public servants.

2B.— F13[…]]

3. Certain pension rights not affected.

3.— (1) This section applies to—

and who, on ceasing to be a public servant, is entitled to payment of a pension under a public service pension scheme in respect of his or her service as a public servant or a person who was at some time before the date specified under subparagraph (ii) a public servant and has a preserved benefit in a public service pension scheme in respect of which the preserved pension age of the person falls on or before that date, and]

F18[“civil partner” has the meaning it has in the Civil Partnership and Certain Rights and Obligations of Cohabitants Act 2010;]

“preserved benefit” has the meaning it has in the Public Service Superannuation (Miscellaneous Provisions) Act 2004;

“preserved pension age”, in relation to a preserved benefit in a public service pension scheme, means the age of the public servant or former public servant concerned at which the preserved benefit becomes payable to him or her under the scheme.

4. Further amendment, etc., of relevant provisions.

4.— (1) Subject to subsection (2) and section 6, a purported amendment (other than an amendment by Act of the Oireachtas) of a relevant provision amended by section 2 F19[or 2A] that would have the effect of increasing the remuneration payable to a public servant is of no effect.

or

and

unless for stated reasons the High Court considers it just and equitable to direct otherwise having regard to the exceptional circumstances of the case and having taken into account the public interest.

5. No power to pay remuneration above rate determined in accordance with section 2, etc.

5.— (1) F25[…]

6. Exemption, etc., from operation of section 2 or 6 in certain circumstances.

6.— Where in respect of a particular public servant or class or group of public servants the Minister is satisfied that—

and there is in the circumstances a necessity for a distinction from other public servants or from other classes or groups of public servants, as the case may be, then the Minister, if he or she considers it to be just and equitable in all the circumstances to do so, may by direction—

and the provisions of this Act, and of any regulations made under any of those provisions, shall be read subject to any such direction.

6A. F27[Adjustment to remuneration affected by operation of section 2

6A. (1) The amount by which the basic salary of a public servant stands reduced by virtue of section 2, being the basic salary the annualised amount of which, as so reduced, does not exceed €24,000, €31,000 or €65,000, as the case may be, shall—

be restored in part, or (if such is this section’s effect) in whole, to the public servant.

6B. F28[Correction of anomalies consequential on operation of section 6A

6B. Where the operation of section 6A results in the basic salary of a public servant to whom subsection (3), (4) or (5) of that section applies being higher than the basic salary applicable to the next immediate point, or (if such is the case) any higher point, on the pay scale that applies to the public servant, the Minister may, having taken into account all of the circumstances that relate to the existence of the differential between the points on that scale—

on that scale to such extent as the Minister thinks fit so as to maintain an equitable differential between the points on that scale, or

6C. F29[Restoration of remuneration affected by operation of section 2A

6C. (1) The amount by which the annual remuneration of a public servant stands reduced by virtue of section 2A, being the annual remuneration the amount of which, as so reduced, is not less than €65,000 or €110,000, as the case may be, shall—

be restored to the public servant.

7. Review of Act.

7.— F30[…]

8. Regulations.

8.— (1) The Minister may make regulations for the purposes of this Act or in consequence of any of its provisions or for the purpose of enabling any provision to have full effect.

9. Removal of doubts.

9.— Where a doubt, question or dispute arises in the operation of this Act in respect of whether a person is or is not a person whose remuneration is subject to section 2, then such doubt, question or dispute shall—

and the determination of the doubt, question or dispute by the Minister shall be final.

10. Short title and commencement.

10.— (1) This Act may be cited as the Financial Emergency Measures in the Public Interest (No. 2) Act 2009.

SCHEDULE Bodies to which the definition of “public service body” does not apply

Section 1.

1.

Any body corporate established by Act of Parliament before 6 December 1922 that, upon its establishment, was of a commercial character.

2.

Dublin Airport Authority, public limited company.

3.

Cork Airport Authority, public limited company.

4.

Shannon Airport Authority, public limited company.

5.

Bord Gáis Éireann.

6.

Bord na gCon.

7.

Bord na Móna.

8.

Córas Iompair Éireann.

9.

Coillte Teoranta.

10.

Electricity Supply Board.

11.

Eirgrid.

12.

A harbour authority within the meaning of the Harbours Act 1946 or company to which section 7 of the Harbours Act 1996 relates.

13.

Horse Racing Ireland.

14.

Irish National Stud Company Limited.

15.

Irish Aviation Authority.

16.

An Post.

17.

An Post National Lottery Company.

18.

Raidió Teilifís Éireann.

19.

Teilifís na Gaeilge.

F31[19A. Uisce Éireann.]

20.

Voluntary Health Insurance Board.

21.

F32[…]

22.

F32[…]

23.

A subsidiary of a body to which this Schedule relates, including a subsidiary of any such subsidiary.

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