Dáil to debate Bill on public-sector pension levy

Legislation paving the way for the controversial new pension levy on public-sector workers is due to be debated in the Dáil today.

The legislation - known as the Financial Emergency Measures in the Public Interest Bill 2009 - is designed to cut €2bn in public spending this year.

The bulk of the savings would come from the Government's plan to impose levies of between 3% and 10% on the salaries of all civil and public servants.

The legislation also allows for cuts in the early childcare supplement, a reduction in professional fees paid by the State and the deferral of certain payments in the agriculture sector.

Yesterday, the Government defeated a Labour Party motion calling for the pension levy to be suspended to allow for talks on a fairer way to plug the massive gap in the public finances.