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Dáil
‹ Order of Business

Ministerial pensions and Clerys dispute

Summary

Opposition deputies criticise proposed pension increases for former Ministers and seek answers on the Clerys dispute, while the Taoiseach defends the pension arrangements and outlines the Government’s position on possible legal and company-law action.

Under the Haddington Road agreement, and a side deal struck thereafter, former Ministers and taoisigh are to receive an increase in their pensions. The Taoiseach will be aware that this has gone down like a lead balloon in the public sphere. What is the Taoiseach going to do about it? He has passed the ball to the recipients rather than the Government acting to remedy it.

Last week, the Tánaiste said the Company Law Review Group, CLRG, would examine issues involved in the Clerys dispute. We were also told that the review group has not been tasked with reviewing section 224 of the Companies Act 2014 on tactical insolvencies. Does the Government intend to use the powers under section 962 of the Companies Act 2014 to request that the review group provide a report? It would empower the Minister to ask the review group for a report on a specific issue contained within the Act. In light of the assurance given to the Dáil last week, will be Government exercise its power to task the review group with immediately reviewing the workings of section 224, as is its prerogative?

Comment on this
Enda Kenny The Taoiseach Fine Gael

The health (miscellaneous provisions) Bill is scheduled for later in the year. The Minister for Public Expenditure and Reform, Deputy Howlin, will talk to each Minister, including the Minister for Health, Deputy Varadkar, about issues that arise where shortfalls are identified in Departments or where it is deemed to be appropriate and a priority to deal with such matters. They are part of the budget Estimates process.

The Government does not dictate to NAMA on matters about which it might seek legal advice or pursuit through the courts. In this case, the Supreme Court has provided clarity, given that NAMA lost the case. The Government does not tell NAMA to take any case to court.

Comment on this

What about the sum of €230,000?

Comment on this
Enda Kenny The Taoiseach Fine Gael

When Deputy Martin referred to AIB, is he referring to 2003?

Comment on this

This is the point. It is a smart-alec response. Deal with the substance.

Comment on this
Enda Kenny The Taoiseach Fine Gael

I will bring him up to date on this. The pensions to which Deputy McDonald referred are determined by the scale of salaries that applied and two of three former taoisigh have said they will not accept a restoration of some of the pension cut that was imposed upon former Members of the House arising from the emergency financial legislation. A cut of 28% still applies to pensions higher than €100,000. As part of the reversal of some of the legislation, it is impossible to legislate for an individual or two in this regard.

Comment on this

It is not one or two individuals.

Comment on this
Enda Kenny The Taoiseach Fine Gael

I am glad two former taoisigh have said they will not accept the part of the restoration of a pension cut. These very high pensions were determined by salary levels at the time, and are different now.

With regard to Clerys, the Minister of State, Deputy Nash, brought a report on the situation to the Cabinet, which was approved and published last week. He made the point that the legislation has not yet been tested. This is expected to happen and, depending on whether it stands up, it may be necessary to refer what happened here to the CLRG for its recommendations as to what, if any, changes might be necessary.

Comment on this