Committee for Finance and Personnel Report (2007-2011 Mandate)

Further Information from DFP on Bonuses to Permanent Secretaries (02 March 2009)

Mr Shane McAteer 

Clerk 
Committee for Finance and Personnel 
Room 419 
Parliament Buildings 
STORMONT

2 March 2009

Dear Shane

I refer to the Committee’s recent request for further information relating to bonus payments paid to Permanent Secretaries in the Northern Ireland Civil Service (NICS). I have previously advised that Permanent Secretaries received non-consolidated bonuses totalling £123,250 as part of the 2008 pay award. Members have now asked for further details about these bonuses (without identifying individuals), specifically how many of the 13 officers received bonuses as well as details of the bonus amounts ranging from the lowest to the highest. This information is provided at Annex A, attached.

By way of background, it might be useful for the Committee to note that Permanent Secretaries are viewed as part of the Senior Civil Service cadre and their pay awards are set with reference to the recommendations of the Senior Salaries Review Body. Taking these recommendations and Cabinet Office guidance into account, a pay strategy is developed for Permanent Secretaries in a similar manner to the arrangements in place for pay awards at Pay Bands1 and 2 (Assistant Secretary and Deputy Secretary level). The Permanent Secretary pay strategy is also scrutinised by an independent Remuneration Committee. Recommendations on individual awards made to Permanent Secretaries are the responsibility of the Head of the Civil Service who is assisted in his deliberations by the Remuneration Committee. The Head of the Civil Service’s own pay award is determined by Sir Gus O’Donnell as part of the remuneration arrangements for Permanent Secretaries in Whitehall and does not form part of the NICS Permanent Secretary award.

Yours sincerely,

NORMAN IRWIN

ANNEX A

BONUS LEVELS PAID TO PERMANENT SECRETARIES IN 2008

1. Of the 13 Permanent Secretaries (including the Head of the NICS and the Head of Government Legal Services) eligible to be considered for a non-consolidated bonus as part of the 2008 pay award, all 13 were awarded a bonus. The total paid was £123,250.
2. The bonus levels paid out were–

   £18,000 
   £13,000 
   £10,000 
   £7,250 
   £6,500 
   £5,000