Reform to cut €1bn from public pay and pensions

The public pay and pensions bill will be cut by €1bn by 2016, according to the next phase of its Public Service Reform Plan.

The savings were announced by the Government today and it includes plans to improve accountability and productivity in the public service.

It also outlines how public services will be delivered online in future.

Junior Finance Minister Brian Hayes said the public service is undergoing a process of modernisation.

The Department of Public Expenditure and Reform said as part of the merging and abolition of quangos 46 of the 48 measures to cut waste and duplication of public services have been complete.

It noted that a number of agencies were saved from the cuts – the National Cancer Registry and the Commission for Aviation Regulation and the Irish Aviation Authority.

It warned that significant legislative changes will be needed to finalise some of the rationalisation but steps to ensure the administrative changes are being made in advance.

It also said the abolition of the country’s 80 town councils was part of the reduction in state bodies.

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