Haddington Road Agreement 2013 - 2016 and Financial ... - TUI

HADDINGTON ROAD AGREEMENT 2013 - 201610leave entitlement of 3 days will apply, or anequivalent amount to the value of the 3annual leave days or a quarter of the mostrecent increment, whichever is the lesser.Higher remuneration2.26 In addition to the measures on incrementsabove, the Parties note that the Governmentintends to apply a reduction in pay for thoseon salaries of €65,000 and greater(inclusive of allowances in the nature ofpay) as follows:Annualised amount ofRemunerationReductionAny amount up to €80,000 5.5%Any amount over €80,000but not over €150,000 8%Any amount over €150,000but not over €185,000 9%Any amount over €185,000 10%• For those on salaries (inclusive ofallowances in the nature of pay) above€65,000 to the max of the Principal (higher)scale or equivalent in the civil service orsimilar across the Public Service, thereduction in pay above will be restored tothe pay rate that they would have had, butfor the pay reduction, within a maximum of18 months of the end of this 3 yearAgreement between the parties which isintended to commence with effect from 1stJuly 2013. The restoration will be in twoequal phases – the first after 9 months andthe second 9 months later.• In relation to impacts at the margin, salarieswill not fall below €65,000 as a result ofthe application of this reduction.• Salary scales above €100,000 will bereduced by the appropriate percentagebased on the application of the reductionsabove.• Detailed guidance and circulars in relationto the application of the above measureswill be prepared.• The Government has also indicated that itintends to provide in the legislation for agrace period for pension purposes duringwhich both the reduction in pay and anydeferral of increment progression will bedisregarded.Other pay related measures2.27 Allowances: There will be full cooperationby the Parties with the follow upto the Government’s Allowances Review,taking account of the recommendationscontained in Labour CourtRecommendation 20448. In accordancewith that Recommendation, the Partiesagree to enter into central negotiations witha view to reaching a generally applicableagreement on measures by which lossarising from the elimination of pensionableallowances can be ameliorated. Where adispute arises during the course of thisprocess, the Parties agree to use the agreedindustrial relations machinery appropriateto each sector and to be bound by itsoutcome (see section 5.1).2.28 Travel and Subsistence: The Parties notethat the Government intends to reviewtravel and subsistence arrangements. Therewill be full co-operation by the Parties withthe review and the implementation of astandardised system of travel andsubsistence across the Public Service.2.29 Public Service Pensions: Separately to thisAgreement, the Parties note that theGovernment intends to align the reductionsin public service pensions in payment withthe reductions applied to serving staff. TheParties note that this measure will apply topensions in payment greater than €32,500only.2.30 Use of external consultants by publicbodies: The Staff Side have expressedconsiderable concern at what they believeto be excessive use of external consultantsin the Public Service. The Government, forits part, shares these concerns regarding thecosts to the Exchequer of the use of outsideconsultancy and re-affirms its commitmentto maximising the potential of in-houseexpertise to deliver further savings in thisarea. The recent procurement reformprogramme to achieve between €250m to€600m of savings is welcomed. It isexpected that savings in consultancycontracts will be a key element of thisProgramme.2.31 New Entrant Salary Scales: In order toaddress the imbalance between those whoentered the Public Service since 2011 andthose who entered before that date, revisedincremental salary scales shall be prepared