The government has cut public sector pay in the budget. A description of these cuts is available on page 27 of this document.
Pay has been cut by 5 percent for low earners gradually rising up to 8 percent for those earning €125,000. The cuts stay at 8 percent between €125,000 and €165,000 and €175,000. Those earning between €175,000 and €200,000 have cuts of 12 percent and those earning over €200,000 have cuts of 15 percent. An Taoiseach Brian Cowen gets a special cut of 20 percent.
Annex A of the document linked to above also described the cumulative cuts for different classes of workers, including public sector workers. To give one example, a public sector worker earning €75,000 in a one-income household with two children over 6 years of age has had a total reduction in net pay since last year’s budget of 18.2%. The comparable figure for a similar couple in the private sector was 5.4%.
I know there are many who will feel that these cuts have been too extreme. More interesting, I guess, is whether those who favoured cuts in public sector pay now think that this is enough or think that the government should come back and cut public pay some more.