Daniel McConnell: The Cabinet is divided, but Michael McGrath is keen to get a public sector pay deal

Minister for Finance Paschal Donohoe and Minister for Public Expenditure and Reform, Michael McGrath, at the media briefing on the July Jobs Stimulus in the Government Press Centre, Government Buildings. Picture: Julien Behal

With the Dáil returning early and the summer cut short, attention is already turning towards the budget in October and the other major issue facing the Government — what to do with public sector pay.

After a story appeared on the front page of the Irish Examiner in May which made clear that some minsters were not comfortable with the idea of continuing to grant pay increases to public sector workers at a time of a pandemic, Labour leader Alan Kelly picked up the scent.