MARTIN WALL

Minister for Health Leo Varadkar has said "outdated" work practices in the health sector will have to end in return for any pay restoration in forthcoming talks with trade unions.

His comments yesterday came as Minister for Public Expenditure and Reform Brendan Howlin prepares to start talks with public sector union representatives who are seeking a reversal of emergency pay cuts.

"The time has come for pay restoration but we don't want to lose the productivity gains from Croke Park and Haddington Road. If anything, we'd like more. A lot of systems and work practices are still outdated," Mr Varadkar told The Irish Times .

Minister for Jobs, Enterprise and Innovation Richard Bruton also warned the public service unions any pay restoration for their members could only be considered as part of an agreement that included improved productivity.

Mr Bruton said it would be wrong to return to the days when the "bridge between pay and productivity was broken" in an interview with the Sunday Business Post.

Support

Meanwhile, Mr Varadkar said on Saturday that as a member of Cabinet he would find it very hard to support a pay deal that came at the expense of public services.

He was addressing the the annual conference of the Irish Medical Organisation in Kilkenny.

“There should never be a conflict between what is good for staff and what is good for patients and taxpayers, but if such a conflict arises it is my duty to be on the side of taxpayers and patients and that is a judgment call I am ready to make,” he said.

Talks on unwinding the financial emergency legislation that underpinned cuts to pay for public service staff and fees for contractors such as GPs, dentists and pharmacists in recent years are expected to begin next month between the Government and trade unions.

Mr Varadkar indicated that in reversing the cuts, there should be no return to the way things were done before.

Asked later by reporters whether he would want to see additional productivity measures in return for pay restoration in the talks, the Minister indicated that he would.

Better use

He said he would like to see better use made of the country’s hospitals. “We have a lot of equipment that does not get used at weekends; a lot of things do not happen at night,” he said.

“In any round of talks on pay you talk about a few things. You talk about pay, but you also talk about terms and conditions and productivity. So I think they all have to be in the mix.”

Mr Varadkar said the country was still borrowing to cover day-to-day expenditure.

Any request for a reversal of pay cuts “must be viewed from a cross-Government perspective”, he said.

“For example, in health this year we have allocated €30 million to pay for new oral medicines which cure hepatitis C. We are expanding acute medical assessment units, providing funding for bilateral cochlear implants, and hiring more physiotherapists and occupational therapists in the community. That’s money that in years gone by might have gone into pay increases rather than services.”

Past mistakes should not be repeated, he added. However, regular pay rises were part of a normal economy, he said.

“That’s why the Government wants to formulate a sustainable policy on public sector pay, which can play its part in the economic recovery over the next few years.

“And that’s why we need to draft an agreement that delivers for health sector staff, for patients, and for employers, as well as for the expanding economy.”