NAMA boss to ‘think about’ taking further cut to salary

THE chief executive of the National Assets Management Agency (NAMA) has not ruled out taking a further pay cut.

Brendan McDonagh made the comments after it emerged that 16 people working in NAMA and the National Treasury Management Agency (NTMA) are outside the new €200,000 salary cap for public service employees.

Mr McDonagh was speaking in Limerick yesterday where he addressed the midwest society of the Chartered Accountants of Ireland.

Responding to calls by Public Expenditure and Reform Minister Brendan Howlin for burden sharing among the country’s top earners, Mr McDonagh insisted he and his colleagues were aware of their responsibilities.

Salaries for NTMA and NAMA employees have been excluded from Mr Howlin’s cap on high public sector salaries because they are all on individual short-term contracts.

However, Mr McDonagh, who has already taken a 30% cut in his remuneration, said he was willing to think about a further reduction.

The NAMA boss said it was important that people in leadership positions “do the right thing”.

“All I will say in general terms is that my colleagues and myself are very cognisant of our responsibilities and we are very cognisant of the effect on the real economy,” Mr McDonagh said.

“We have already shown that and took a lead early on this year, back at the start of the year where we took substantial reductions in our remunerations. We have taken a lead on this and this is something we are quite willing to do because we think it’s our responsibility, but it is also very important that people in leadership positions do the right thing.”

When asked directly if he would consider taking a further reduction in his remuneration Mr McDonagh replied: “That is a matter that would be under consideration for everybody as an individual. I will certainly think about that when I have a discussion with the minister,” he said.

Mr McDonagh also admitted that it was hard for some people in the current economic climate to accept the scale of some salaries but insisted he has made a “substantial contribution” towards addressing this.

“I do appreciate that… already this year I’ve taken a 30% reduction in my salary, my overall remuneration, so I do think I have made a substantial contribution,” he said.