Defence Forces pay and retention
Deputy Seamus Healy said the Defence Forces were in crisis because of underfunding, closures, and poor pay, pensions and conditions, and pressed for equal treatment with other public servants. The Taoiseach pointed to planned deployments, recruitment efforts and the wider public sector pay framework, saying improvements were happening but could not be made ahead of everyone else or at unaffordable cost.
The Taoiseach is the Minister for Defence and is responsible to the Dáil and the public for the state of the Defence Forces. During the recent local election campaign, the undermining of our Defence Forces was one of the most frequently raised issues on the doorstep. It is clear that the policy being pursued by the Taoiseach and his Government, which that commenced with the so-called reorganisation of the Defence Forces and the closure of barracks in 2012, has led to a crisis in the service. There have been significant reductions in numbers, pay, allowances, pensions and conditions of service. There is low morale, anxiety, increased stress and mental health difficulties among serving personnel.
On 1 March this year under the Taoiseach's watch, there were 210 fewer serving personnel than on 1 March last year. Some 3,200 personnel left the Defence Forces between 2014 and 2018. In the first four months of this year, there were 256 discharges. Staff shortages mean that ships are unable to go to sea and aircraft are unable to fly. This is a picture of a service that is not fit for purpose due to the deliberate policy of this Government.
Please do not tell us that we do not have the money to resource and pay our Defence Forces properly. Ireland is the eighth richest country in the world. We know that the top 10% of financial asset holders have €50 billion more than they had at peak boom levels in 2006, yet they are not asked to pay a single cent in tax on that windfall. We know that the top 10% of income recipients pay a smaller proportion of their incomes in tax than the lowest 10%. In today's edition of the Irish Examiner, Social Justice Ireland confirmed that the poor in this country are subsidising the rich through tax reliefs.
I wish to take this opportunity to commend the community group, Respect and Loyalty, which is campaigning to raise awareness about the plight of our Defence Forces and is lobbying for the restoration of pay, allowances and pensions.
The Taoiseach is the Minister for Defence. In view of the crisis affecting the Defence Forces and the resulting national danger that he and his Government have allowed to develop, why has the matter of allowances not been addressed in line with allowances in other public sector bodies? Will the Taoiseach fully restore to pre-2008 levels the pay, allowances, conditions of service and pensions of serving and retired members of the Defence Forces immediately?
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I thank the Deputy very much for raising this important issue. I confirm to the House that the Cabinet yesterday approved the deployment of the Army ranger wing to the UN mission in Mali. That will require a motion of the House, so I ask for the House's support for that. It is the first time in nearly ten years that the rangers have been deployed in this way. It is something that the Defence Forces very much welcome. It is a big part of our peacekeeping efforts and our commitment to the UN, but it also will help them to maintain and develop their skills. I know it has been very much welcomed by the Defence Forces.
We are investing in our Defence Forces. The budget for defence this year is €50 million higher than last year. What does that mean? It means new vessels. Our fleet has never been as modern as it is now. It means new aircraft-----
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It means improvement to our barracks. It means new equipment. It also means increased pay, pay restoration and increased pensions. It is not the case that money is handed back at the end of the year-----
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The Defence Forces need personnel if they are to work.
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-----even though that has been claimed by some. Recruitment is going very well but retention is not. I absolutely acknowledge that a large number of people are leaving our Defence Forces for various reasons, not least the fact that, because they are so well skilled, their skills are very much sought after in the private sector where there are also major skill shortages and labour shortages because of full employment.
When it comes to the issue of pay - I acknowledge that pay is an issue for a lot of members of our Defence Forces - the public sector stability agreement, the deal that we did with ICTU and all the trade unions that covers 300,000 public servants, applies to the Defence Forces as well. That means ongoing pay restoration. For the vast majority of public servants, including the vast majority of people in the Defence Forces, they will have their pay fully restored by October of next year. That is already happening in tranches.
However, the Deputy is asking me to single out one group, the Defence Forces, and fully restore their pay, pensions and allowances before everyone else's. While that might appeal to me as the Minister for Defence, I could not possibly do that as Taoiseach because that would be totally unfair to all the other public servants-----
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-----including civil servants, local authority workers, nurses, teachers, doctors, all the people who work in this House and all the people who work in the public service all over the country.
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This situation is a little bit worse than the Garda's.
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It would simply be not right or fair to restore Defence Forces pay and pensions fully ahead of everyone else in the public service.
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They were for the teachers and gardaí.
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Everyone must have restoration happening at the same time. Nor would it be affordable to do what Deputy Healy is asking. The public sector pay bill is nearly €18 billion a year. A 2% increase alone is €360 million. We have heard the advice and the criticisms from the Irish Fiscal Advisory Council telling us that we are increasing spending too fast. The Opposition needs to hear that advice as well. If we are going to listen to that advice and heed it and keep spending increases where they should be at around 4% or 5% per year-----
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The Taoiseach said that everything would come from future revenues.
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The Government tells us that its overruns will be covered by future revenues.
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The Taoiseach is throwing the kitchen sink at-----
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The Government's forecasts are not credible.
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The Opposition has a responsibility as well. Government has heard that message. We are going to heed it. We are going to try to keep spending increases under control-----
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The party of fiscal rectitude, of course.
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The Government should keep telling itself that.
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We also need the Oireachtas to get that too because we cannot get a budget, Estimates or Supplementary Estimates through, if they are necessary-----
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But there will be €1 billion in tax cuts.
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-----without the support of this House. We also need this House to reorientate its attitude to these things as well and come with us in trying to keep public spending under control.
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It is the Government that made all the promises.
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Does Deputy Cowen remember the Galway tent?
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That is gone. This Government will be gone one day, too. It will not hang on as easily as it did last time.
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Time and again, we have heard the mantra of the public service pay agreement. It has been repeated ad nauseam this afternoon. I remind the Taoiseach that, in November 2018, the Government gave the average garda an extra €4,000 per annum through an increase in rent allowance and other concessions under a €50 million deal.
I remind the Taoiseach that when he and his Government dealt with the nursing dispute under the public service pay agreement, the nursing recruitment crisis forced them to back down and make significant concessions to nurses in pay and allowances. We have a similar situation in our Defence Forces at present. The Taoiseach has acknowledged the significant difficulties that exist in the Defence Forces. The cases of the gardaí and the nurses offer the Government a clear precedent in dealing with the issues in the Defence Forces. All it takes is political will on the part of the Government to ensure the Defence Forces are properly paid and get their proper allowances. It is a matter of political will for the Government to ensure pay and allowances are restored in full immediately. The Government should do this now.
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It is not simply "a matter of political will". As a Government, we need to see the bigger picture.
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The Government has done it twice already.
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There were disputes with the gardaí and two of the nurses' unions. Those disputes were resolved following negotiations and, in the end, in the Labour Court. In resolving those disputes, we needed to make sure we did not bring down the entire public sector pay agreement. We cannot afford to bring it down. We are trying to resolve the Defence Forces pay dispute. We asked the Public Sector Pay Commission to examine issues like allowances that are specific to the Defence Forces. The commission has reported. We have the report and we will bring it to the Cabinet in the next couple of weeks. I hope that will be adequate to resolve this issue. We cannot provide a fast track to pay restoration and additional allowances to one group of public servants without accepting that it will have a knock-on effect across the board.
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It was done for two groups already.
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It will have a knock-on effect across the board. The public sector pay bill is €17 billion or €18 billion a year. An increase of 2% across the board would amount to €360 million. That is not something we can afford to do.
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The Defence Forces are entitled to the same treatment.