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Dáil
‹ Order of Business

Bankers’ pay and banking legislation

Summary

Pearse Doherty presses the Government to legislate on bankers’ remuneration, accusing it of retreating from earlier promises. Ciarán Lynch links the issue to public interest directors under the Credit Institutions Stabilisation Act, but the Ceann Comhairle repeatedly rules that proposed amendments cannot be raised under the Order of Business.

I wish to ask about legislation that may emanate from the publication last week of the Mercer report. We have the revelation that Mr. Richie Boucher is on a salary of €843,000 and I wish to point out to the Minister that four years ago, his party had a right go at the former Minister for Finance, the late Mr. Brian Lenihan. Indeed, Deputy Richard Bruton-----

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Seán Barrett An Ceann Comhairle Fine Gael

The Deputy is supposed to be asking about promised legislation. We are not going to go back over the issue of Mr. Boucher again.

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Deputy Bruton accused the then Minister for Finance of "bottling it" when he said that a cap of €500,000 on bankers' pay was adequate. Fine Gael, Sinn Féin and others all voted to reduce bankers' pay. The only people who did not vote to reduce it were Members of the Fianna Fáil Party. The Government has no problem with threatening public sector workers with legislation to reduce their pay, effectively tearing up the contracts of employment for front line workers, including gardaí, nurses-----

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Seán Barrett An Ceann Comhairle Fine Gael

What specific legislation is the Deputy speaking about?

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When will we see legislation to reduce bankers' pay or is the Government bottling it, just as it accused the previous Government?

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Seán Barrett An Ceann Comhairle Fine Gael

Is there promised legislation in this area?

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No. That is my understanding.

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Does that answer apply to both parts of the question?

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This Government is bottling it, just like the previous Government.

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Deputy Doherty should stop grandstanding.

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Seán Barrett An Ceann Comhairle Fine Gael

Deputies, please. We can not have conversations across the Chamber.

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Ciaran Lynch Deputy Ciarán Lynch Labour Party

The legislation being referred to by the Deputy is the Credit Institutions Stabilisation Act 2012. When that Act was passed, it put in place public interest directors in each of the banks that were recapitalised. I suspect that Deputy Doherty was not aware that this legislation actually deals with the matter.

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We are lucky to have Deputy Lynch here to explain matters.

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Ciaran Lynch Deputy Ciarán Lynch Labour Party

One of the public interest directors who was appointed to the banks actually-----

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I cannot believe the Deputy is referring to the public interest directors. That has nothing to do with this. That is a separate issue but a nice try.

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Ciaran Lynch Deputy Ciarán Lynch Labour Party

-----sits on the remuneration committee of Bank of Ireland and was the director who actually-----

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Seán Barrett An Ceann Comhairle Fine Gael

That is a separate issue. We cannot deal with this on the Order of Business.

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Perhaps the Deputy could also raise the separate issue of upward only rent reviews, which he championed in opposition.

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Ciaran Lynch Deputy Ciarán Lynch Labour Party

-----passed the pay increase for Mr. Boucher. The question I put to the Minister is whether it is time for the Government to consider amending the Credit Institutions Stabilisation Act-----

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Seán Barrett An Ceann Comhairle Fine Gael

That is a matter for another day.

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Ciaran Lynch Deputy Ciarán Lynch Labour Party

-----to ensure that when the public interest directors are making such decisions, they get sanction from Government.

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Seán Barrett An Ceann Comhairle Fine Gael

That is not related to promised legislation, Deputy Lynch. Deputy Boyd Barrett please. I remind Deputies that we are dealing with promised legislation.

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Ciaran Lynch Deputy Ciarán Lynch Labour Party

I have put my question very simply and would like an answer.

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Seán Barrett An Ceann Comhairle Fine Gael

We are supposed to be dealing with promised legislation. We cannot have debates on whether Acts will be amended. If a Bill is on the list, we talk about it.

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Ciaran Lynch Deputy Ciarán Lynch Labour Party

With respect, a Cheann Comhairle-----

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The Deputy should raise it at his parliamentary party meeting.

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Seán Barrett An Ceann Comhairle Fine Gael

I am abiding by the Standing Orders of the House. Deputy Lynch is the Chairman of an Oireachtas committee and he knows all about Standing Orders. I ask the Deputy to resume his seat.

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Ciaran Lynch Deputy Ciarán Lynch Labour Party

This has nothing to do with Standing Orders. I am simply asking the Minister, with regard to the Credit Institutions Stabilisation Act 2012, which put in place public interest directors-----

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Seán Barrett An Ceann Comhairle Fine Gael

I know all of that.

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Ciaran Lynch Deputy Ciarán Lynch Labour Party

Is the Government giving consideration to amending this legislation?

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Seán Barrett An Ceann Comhairle Fine Gael

We do not ask about things that are under consideration. We ask about promised legislation.

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Ciaran Lynch Deputy Ciarán Lynch Labour Party

Yes, but two minutes ago, during Leaders' Questions-----

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Seán Barrett An Ceann Comhairle Fine Gael

That is a different issue.

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Ciaran Lynch Deputy Ciarán Lynch Labour Party

Fair is fair.

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Seán Barrett An Ceann Comhairle Fine Gael

That is a different issue.

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Ciaran Lynch Deputy Ciarán Lynch Labour Party

I ask Deputies to be quiet and listen. They might learn something.

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Seán Barrett An Ceann Comhairle Fine Gael

This is the Order of Business.

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Ciaran Lynch Deputy Ciarán Lynch Labour Party

I ask the Ceann Comhairle to hear me out and give me a bit of latitude.

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Is Deputy Lynch going to deal with upward only rent reviews too?

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Ciaran Lynch Deputy Ciarán Lynch Labour Party

Under Leaders' Questions a few moments ago, the Minister, Deputy Coveney, said an examination is taking place within the banks with regard to payments. If the banks do not take the issue of payments in hand, the Government will examine the matter further. I would imagine, if the Government is doing that, it will look to the aforementioned Act and-----

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Seán Barrett An Ceann Comhairle Fine Gael

No, Deputy.

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Ciaran Lynch Deputy Ciarán Lynch Labour Party

-----the role of the public interest directors.

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Seán Barrett An Ceann Comhairle Fine Gael

I will reply if the Deputy resumes his seat. We are on the Order of Business, which deals with promised legislation, that is, legislation that has been promised by the Government. Deputies can ask about when such legislation is likely to be introduced. Standing up and asking if the Government proposes to amend legislation that is not on the list is not in order under the Order of Business. I suggest the Deputy tables a parliamentary question and if he gets a reply to the effect that the Government is proposing to introduce new legislation, then he will be entirely in order on the Order of Business to raise it. Does Deputy Lynch understand that?

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Seán Barrett An Ceann Comhairle Fine Gael

This is getting out of hand. I ask Deputy Lynch to resume his seat. I am quite clear about this and it applies to everybody in the Chamber. I have made a ruling and am moving on to Deputy Kelleher.

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Seán Barrett An Ceann Comhairle Fine Gael

I am sorry, Deputy Boyd Barrett.

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