Public Sector Pay Cuts

Public Sector Pay –

The pay-cuts aggregate to about €3 billions per year equal to about 15% of payroll.

Pension deductions in 2009 were 5% from €15,000 to €20,000 per year 10% from 20,000 to €60,000 per year – 10.5% above that

This worked out as an average 7% deduction on gross incomes.

Then in January 2010
Budget 2010 and Public Sector Pay Cuts
The 2010 Budget has announced the following reductions in Public Sector pay:
Public Servants earning over €200,000 will have a 15% pay reduction.
Public Servants earning from €165,000 to €200,000 will have a 12% pay reduction.
Public Servants earning from €125,000 – €165,000 will see an 8% pay reduction.
Other Public Servants with salaries under €125,000 will have:
A 5% reduction on the first €30,000 of income.
A 7.5% reduction on the pay between €30,001 and €70,000
A 10% reduction on the pay between €70,001 and €125,000.
These changes will have the following affect on pay for Public Sector workers:
Someone earning 25000 will now get €23,750
A person on €50,000 will be cut to €47,000
Someone on a salary of €100,000 will now be on €92,500
A salary of €250,00 will be cut to €212,500
It is interesting to see the take home (net) pay figures for some of these
high earners. For example – someone earning €70,000 gets a net pay of €41,272.
A gross salary of €138,000 will result in a net pay of €68,613. These figures are for single people with full rate PRSI.
Low-paid civil servants have lost 15% plus Middle incomes have lost about 25%