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Ministers receive pay increases in new Cabinet under public sector deal

Government says ministers will ‘gift back a portion of their salary’ to the State

During the last government, the Cabinet decided to gift back 10 per cent of their salaries to the State – an deduction of between €16,000 and €25,000 last year. Photograph: Bryan O Brien/The Irish Times
During the last government, the Cabinet decided to gift back 10 per cent of their salaries to the State – an deduction of between €16,000 and €25,000 last year. Photograph: Bryan O Brien/The Irish Times

Several ministers received substantial pay increases when they were reappointed to the Cabinet when the Government was formed in January.

Following a repeated series of queries from The Irish Times over the past month, the Government said it was intended that ministers would apply similar arrangements to the last government when a portion of their salaries was gifted back for the duration of the administration.  

During the last government, ministers approved a series of public sector pay increases but sought not to benefit themselves, instead gifting back 10 per cent of their salaries to the Exchequer.

However, these arrangements lapsed when the last government ended. No similar arrangement was put in place when the new Cabinet was appointed in January of this year – meaning that the full ministerial salary applied. This meant that those ministers who were reappointed saw a significant increase in their monthly salary.

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A Government spokesperson said in response to queries: “Cabinet Minister’s salary is linked to the Principal Officer salary scale and their pay increases are linked. Only public sector pay increases apply to them.

“This Government will continue the policy where Cabinet Ministers will voluntarily gift back a portion of their salary to the State.”

During the last government, the Cabinet decided to gift back 10 per cent of their salaries to the State – a deduction of between €16,000 and €25,000 last year, depending on salary level.

The policy was adopted by the Government in 2020. Before that, ministers had approved public sector pay deals but disapplied any pay rises they were due themselves under the agreements.

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Politicians’ pay is linked by statute to civil servants’ pay and so has increased several times in recent years under public pay deals.

A TD’s basic salary is €116,000 a year. Cabinet ministers also receive a minister’s salary in addition to this.

According to figures published by the Oireachtas, ministers’ additional salary is currently €95,000, giving a total of €211,000.

The Taoiseach’s total salary is €249,000, while the Tánaiste earns €230,000 a year.

The pay of politicians and civil servants was cut during the financial crisis but has recovered under a series of public sector pay agreements put in place since the crisis passed.

Between 2016 and the end of last year, politicians and civil servants have benefited from a series of 18 pay increases, according to figures published by the Oireachtas. Ministers’ pay has increased from €161,000 in 2016 to €211,000 at present – an increase of €50,000 a year, or 31 per cent.

Pat Leahy

Pat Leahy

Pat Leahy is Political Editor of The Irish Times