Revenue exodus as workers feel the heat

THEY have borne the brunt of the effects of these recessionary times and they would appear to have had enough.

Government departments tasked with collecting taxes and doling out social welfare payments have by far the highest number of civil service applicants under the Government’s early retirement scheme which is due to come into effect from September 1.

It is the Revenue Commissioners who are attempting to lead the exodus. According to figures obtained by Industrial Relations News there were 315 civil service applications for early retirement up to June 12. Of those, 123 or 40% were from the Revenue.

It is not surprising. Trying to collect an adequate tax take for the Exchequer when people are losing their jobs at a rate of knots is hardly an enviable task.

Civil servants processing welfare claims account for 16% with 51 applications. Again the desire to desert a sinking ship is understandable. In the last year the numbers on the Live Register have doubled yet the numbers dealing with their claims have not kept pace.

Brian Cowen’s staff are obviously not feeling the pressure yet. Just 1% have sought to avail of the retirement option. In a number of other departments, including that of the Attorney General and the Ombudsman, no one has applied.

The numbers applying for retirement are likely to sky-rocket in July if the Commission on Taxation recommends that tax-free pension gratuities is brought to an end. That is because the scheme provides that while 90% of the gratuity will not be paid until normal retirement age, it will remain tax-free for those taking the scheme, regardless of changes in tax policy.

The Department of Finance has estimated that up to 3,500 staff in the public service could leave under the Government’s early retirement scheme.