The 2010 Budget has announced the following reductions in Public Sector pay:
Public Servants earning over 200,000 will have a 15% pay reduction.
Public Servants earning from 165,000 to 200,000 will have a 12% pay reduction.
Public Servants earning from 125,000 – 165,000 will see an 8% pay reduction.
Other Public Servants with salaries under €125,000 will have:
A 5% reduction on the first 30,000 of income.
A 7.5% reduction on the pay between 30,001 and 70,000
A 10% reduction on the pay between 70,001 and 125,000.
These changes will have the following affect on pay for Public Sector workers:
Someone earning 25000 will now get €23,750
A person on €50,000 wil be cut to €47,000
Someone on a salary of €100,000 will now be on €92,500
A salary of €250,00 will be cut to €212,500
It is interesting to see the take home (net) pay figures for some of these high earners. For example – someone earning €70,000 gets a net pay of €41,272.
A gross salary of €138,000 will result in a net pay of €68,613. These figures are for single people with full rate PRSI.