The Plan provides a blueprint for a return to sustainable growth in our economy. In particular, it:

• Sets out the measures that will be taken to restore order to our public finances.
• Identifies the areas of economic activity which will provide growth and employment in the recovery.
• Specifies the reforms the Government will implement to accelerate growth in those key sectors.

What does the National Recovery Plan say about reform in the Public Service?

The National Recovery Plan sets out a significant programme of change for the Public Service, consistent with the Public Service Agreement 2010 – 2014. There will be substantial changes in the way in which public servants work to increase productivity and sustain necessary public services.

Public Service numbers will be reduced by 24,750 (from an end-2008 base), to under 295,000, by end 2014. This equates to an annual average reduction of approximately 3,300 in the number of public servants over 2011 to 2014. This will return the Public Service to numbers last seen in early 2006 and the pay bill to a level last seen in 2005. The pay saving from this reduction in numbers, coupled with a range of reforms and efficiencies, will amount to €1.2 billion in savings by 2014. The redeployment arrangements in the Public Service Agreement will be used to ensure flexibility in the deployment of staff in light of the reduced numbers.

Salary scales for new entrants to the Public Service have been reduced by 10% (under Budget 2011). In addition, all new entrants will now start on the minimum point of the relevant scale.

A new single pension scheme for all new entrants to the Public Service will be introduced.

There will be a reduction of €100 million or about 4% in the annual cost of public service pensions paid to some pensioners in 2011 (under Budget 2011).

There will be greater use of shared services and eGovernment, greater procurement reform, and an extension of performance management across all sectors.

Work practices will be reformed to provide more efficient public services with scarcer resources. The existing budgetary architecture will be reform and updated.