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THE AVERAGE WEEKLY wage in the public sector is €918.86, almost €300 higher than the average private sector worker.
Latest statistics from the CSO show that the gap between earnings in the two segments is growing, with public sector workers adding an average of €15.88, or 1.8%, in weekly wages compared to the end of the first quarter this year.
This is in opposition to the picture in the private sector, where workers have on average €8.53 less in their pockets than at the end of the first quarter, a reduction of 1.4%.
Full picture
Despite the contrast, economists warned that the average pay levels do not give a full picture of the reality of the wage situation in Ireland.
Davy economist David McNamara said that the increase in public sector wages is “not surprising” given the volatility shown in the index, which often jumps up and down compared to previous quarters, and could be revised at a later date.
Private sector pay levels often lag behind the rate of economic expansion in the midst of a recovery after a deep recession, McNamara warned.
Wages in the private and public sectors. Davy Research
Davy Research
“It’s not surprising to see weak wage growth in the early stages of a recovery. The same is true in the UK where wages have been declining in real terms since 2008, even as unemployment falls rapidly.”
With our unemployment rate still very high, it’s not surprising to see wage growth remaining weak.
Disparity
Ibec chief economist Fergal O’Brien warned that the average pay level in the public sector could be skewed by the presence of well-paid officials at the top, while recruitment may have languished at the bottom rungs of the pay ladder.
Similarly in the private sector, higher average wages could be sustained by ‘last in, first out’ policies, which often preserve the higher wages of more senior staff at the expense of lower-paid new hires, he said.
He warned, however, that the increment system of pre-ordained pay increases in the public sector was cancelling out wage reductions delivered in recent years.
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“While we’ve had some cuts, we’ve also had increments, so the impact of pay cuts has been returned in the form of increments.”
He said that the disparity between public and private pay levels could partially be explained by differences in the skills, education and job types demanded by the two segments, but said that high public sector wages still had to be tackled.
Even adjusted for education, skills and experience, we have a significant pay premium in the public sector, and that’s an issue that has to be part of the post-crisis discussion.
On an annual basis, both the private and public sectors are out of pocket, with losses of €9.15 in the public sector this time outstripping the private, where wages have come down by €1.79 compared to this time last year.
Overall, national earnings figures show that across all sectors of the economy, wages have come down while working hours have gone up.
The national weekly wage average is €688.15, down from €695.53 a year ago, and €692.43 at the end of the first quarter.
Working hours have increased marginally, with the average week now consisting of 31.8 hours, compared to 31.3 at the end of Q1 and 31.6 this time last year.
Who’s best paid?
On a weekly basis, members of the Garda Siochana are the best remunerated public-sector workers in the state on average.
Wages for the Gardai climbed by just under €9 per week to €1,236 during the second three months of the year, although they are marginally lower (0.1%) than last year.
The lowest paid branch of the public sector was the other arm of the security services, with members of the defence forces pulling down €812.16 per week, down €25.57 on the same period last year.
In the private sector, big gains for workers in the information and communication sector, which includes tech. Weekly earnings in these jobs are around €1,024, knocking those in financial, insurance and real estate industries off the top earnings spot.
The lowest paid workers in the private sector were those in the arts, entertainment and recreation trades, where wages were just €474.13 per week in the second quarter.
The recovery in the building trade was evident in earnings figures, where the average weekly wage is construction was €739.96 up €41.17 in the quarter and climbing 6% in the year.
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@Dave O’Keeffe: well there is no published plan on reopening. I’m sure there’s one on a desk somewhere. If people were treated like adults and told this then there would be increased confidence.
@Keith Richardson: no, if there was a widely publicised plan with an unpredictable pandemic and unreliable delivery schedules any changes would undermine the confidence you claim it would bring.
The fact we still likely won’t restart tourism and hospitality till June or July is just mind boggling, especially given the fact MM despite some who said it was lies when I pointed out that leaky Leo said the same thing, that he can’t say we won’t go into another lockdown after this one. And given the fact the hse management seem to have done nothing except allow the waiting list balloon and get themselves a pay rise, any extra surge from even a few covid cases over the winter months makes this likely since they now have a great excuse to cover up they barely cope any winter before covid hit. So this means a lot of small businesses and retail included as well may only have a small window to open and make some much needed money, meanwhile north will be full steam ahead open end of May.
So the AstraZeneca isnt safe to use on under 60s but is safe for under 60s who received 1st dose?? Think il pass on the second thanks. Back of the que I go lol
@Siobhan Rosemary: that silly. 1 in a million died of a blood clot that nobody knew to be looking for. That’s different now. 12 in a million died of covid here and doctors were definitely looking for it.
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