Posted online: Nov 26th, 2008

Representatives of Donegal Co. Council are to request a meeting with Finance Minister, Brian Lenihan, and Environment Minister, John Gormley, over the threat to 238 Donegal Co. Council jobs.
Almost one fifth of the council’s workforce could be shed as part of the biggest ever cost-saving programme in the history of the local authority.
However, while news of the job cuts provoked outrage last week, the Co. Manager, Mr. Michael McLoone stressed that as far back as last July he had warned council members of impending cut-backs following an announcement by the Department of the Environment that it was seeking a 3% reduction in local authority pay-roll costs.
Mr. McLoone revealed that 71 employees whose contracts expire on or before December 31st, 2008, or in early 2009, will not have their contracts renewed.
A further 49 employees whose contracts end on or before March 31st will be notified that their contracts “are unlikely” to be extended beyond March 2009.
And the remaining 118 employees will be also be told that it is unlikely that their contracts will be extended beyond the expiry date of their contracts in 2009 or 2010.
Mr. McLoone stressed that the council is also having to deal with a short-fall in income on a number of fronts, namely:
* A 6% reduction in its Local Government Fund allocation from €44.1m in 2008 to €41.5m in 2009.
* A reduction in income from planning fees, down about 40% in 2008, and
* A fall in development levy income
But he also stressed, that given certain circumstances, new job contracts could yet be issued in the future to boost staff numbers.
This could happen if there is a sanctioning of major new capital projects or an increase in planning applications that would require more staff.
The scale of the proposed cut-backs has prompted a considerable back-lash from public representatives with fears that “front-line” services will be severely hit as well as being a major blow to all involved and the local economy.
Mr. McLoone also pointed out that the Council has to meet the conditions of the Towards 2016 national pay agreement (including a 2.5% increase to staff already overdue and 3.5% from September 2009) and highlighted the fact that 10% of current government spending is now reliant on borrowings.
Following a lengthy debate on the issue on Monday, Cllr. Padraig MacLochlainn’s proposal to meet the two ministers was agreed.
According to the most recent figures, Donegal Co. Council currently employs a total of 1,401 people.

Reporter: Chris Ashmore