Tens of thousands of public servants could face a freezing of increments and delays in pay increases for failing to back the public sector pay deal.
Legislation to be considered by Cabinet today will allow for sanctions to be imposed on union members who did not accept the new public service deal, known as Lansdowne Road II. The deal will cost €880 million over three years.
The Public Service Pay and Pensions Bill, which will be published later in the week, will seek to address those who do not participate in the collective agreements including the three teachers unions.
The Irish Times understands those who do not sign up will have their increments frozen and a less favourable payment scheme including delayed salary hikes.
Additional contribution
There will also be effects on the additional pension contribution, which replaced the pension levy, between now and the end of 2020.
Government sources said the concept of penalising those who do not participate in the public sector pay deal was not a new phenomenon.
“It is important to have this incentive mechanism – the benefits of the Agreement must only be available to those who sign up.”
Under the public pay deal, 250,000 people recruited before 2013 will see pay improvements ranging from 6.2 per cent to 7.4 per cent over the next three years. A 1 per cent rise is due to be implemented under the agreement next January. A further 1 per cent will follow next October.
Rejected
The agreement has been rejected by teachers who are members of the Teachers Union of Ireland, the Irish National Teachers Organisation and the Association of Secondary Teachers of Ireland. Their opposition centres on the failure to eliminate a two-tier pay system that pays less to recruits hired since 2012.
The legislation will be published on Thursday, the day after the 180-member central executive council of the ASTI is due to meet. The meeting is expected to consider what action to take including potentially lifting a decision it made last June to suspend a campaign of industrial action.
The association representing Garda sergeants and inspectors is also conducting a ballot of members on the new pay agreement. The ballot result is due later this week.