Rabbite signals revisit of Croke deal
However, he signalled that the Government could attempt to renegotiate the deal, which prevents cuts to public sector salaries and extra payments until at least 2014.
Any attempt to overhaul increments — which will cost an estimated €250m this year — is expected to be a contentious issue for the Coalition.
However, revisiting the Croke Park deal may be necessary if agreed savings and efficiencies are not achieved in the public service.
“It may well be the case, especially depending on how things go in the eurozone, that we will have to sit down and talk to the unions about renegotiating that agreement,” Mr Rabbitte told RTÉ’s The Week in Politics.
“But that depends on growth rates, growth projections and it depends on whether it delivers.”
The pay increments include an estimated €22m which will be paid to more than 30,000 teachers next year. Increases for teachers will range from €1,000 to €3,615 a year and are part of the deal made between unions and the previous government in return for productivity measures.
But Mr Rabbitte signalled that any attempt to unravel protections for workers’ pay increments could be met by serious opposition.
“Without any doubt it would be the end of trying to push through reforms, that are badly needed in the national interest, by consensus. They would be resisted.
“The unions have made it very plain that they regard increments as part of the Croke Park Agreement. So the Croke Park Agreement was solemnly entered into by our predecessors. ”
But the earliest opportunity to examine cutting pay bonuses or increments for public sector workers — an estimated 100,000 will receive them this year — will not arise until May next year.
Mr Rabbitte said: “If it doesn’t deliver we will have to revisit it. In due course when it is reviewed we are free to sit down with the unions and renegotiate it in the national interest.”
The Government says most pay increments go to low-paid public sector workers and those on lower grades, such as rank-and-file gardaí.
The Croke Park deal has come under renewed scrutiny since last week’s budget, which will next year cut €2.2bn from spending on state services and raise about €1.6bn in taxes.
