‘Unacceptable’ for Coillte boss not to take 15% pay cut

IT’S “entirely unacceptable” that the chief executive of the national forestry body Coillte should be paid nearly €100,000 more than the Taoiseach and he should take the 15% cut in his salary requested by the Government.

That’s according to Fianna Fáil finance spokesman Michael McGrath who was reacting to news last night that Coillte is the only semi-state body which has not accepted a request to cut salaries by 15% for top managers whose annual wages are more than €250,000.

Five months ago, Minister for Public Expenditure and Reform Brendan Howlin asked all semi-state companies to reduce their top salaries.

Mr Howlin was advised by the Attorney General that he couldn’t legally move to reduce the wages of semi-state company bosses if they didn’t volunteer to do so themselves.

Other semi-states such as the National Roads Authority, Bord Gáis, An Post, the Irish Aviation Authority, Iarnród Éireann, the Dublin Airport Authority and the ESB have all agreed to the 15% cut for senior executives over the €250,000 threshold.

However, Coillte has so far declined to take the cut. Last year its chief executive, David Gunning, was paid a salary of €297,000.

Mr Howlin also set ceilings last June on the salaries which could be paid out to new appointees to the public service.

Mr McGrath said: “At a time when Irish people are struggling to make ends meet on a day-to-day basis and with another tough budget coming on December 6, it is incomprehensible that a chief executive officer of a company appears to be holding out on taking a 15% salary cut.

“If he did take the cut he would still be left with a basic salary of around €250,000.”

Coillte issued a statement last night which said that no decision has been taken to date in respect of the voluntary waiver.