Military wage savings no longer being deployed to plug budget gaps

The Department of Defence will no longer be permitted to use annual wage savings of €30 million resulting from a lack of military personnel to plug gaps elsewhere in its budget.

On average, the Department saves about €30 million in wages every year due to the Defence Forces being more than 1,300 below strength, officials have told the new Minister for Defence Micheál Martin.

In previous years these savings have been used to “address spending pressures elsewhere in the defence vote, in accordance with Government Accounting procedures”.

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However, this year, instead of receiving funding for 9,500 military personnel, the notional establishment strength of the Defence Forces, the Department will only receive an allocation for 8,200. It will also receive funding for an extra 400 who may be recruited during the year.

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This means there will be “significantly less pay-savings” in the future and less scope to use extra funds to plug gaps elsewhere, the Tánaiste was told. The information was contained in a briefing document prepared for Mr Martin by departmental staff.

The document states that 428 new personnel were recruited into the permanent Defence Forces last year up to November. Just over 800 left during the same period, resulting in a turnover rate of 9 per cent.

This is up on 2021 when the turnover rate was 7.89 per cent. “The Defence Forces are developing strategies to increase recruitment to address the current shortfall in numbers and to plan for future increases,” it said. “The target is to realise a Defence Forces strength of 11,500 by 2028, incorporating an appropriate civilian component.”

Regarding equipment, the Minister was advised that the Air Corps Lear LR45 aircraft, commonly known as the Government jet, will need to be replaced by 2024 “at the latest”.

The aircraft, the only jet plane in service, was acquired in 2004 and “has naturally become less reliable with age”. It is understood the department is examining the purchase of a new transport aircraft capable of moving troops, equipment and government officials.

Sexual abuse allegations

Mr Martin was also briefed that the report by the Independent Review Group into accusations of sexual abuse and harassment in the Defence Forces is due for publication this month.

Engagement with groups and individuals who have been the victim of abuse has shown that policies in this area “have not, and are not, serving all Defence Forces personnel well”.

Separately, Mr Martin was advised of financial pressures on the European Peace Facility (EPF), an off-budget EU mechanism designed to support EU military commitments.

Since Russia’s invasion of Ukraine last February, 86 per cent of the €5.6 billion fund has been used to support the Ukrainian armed forces. To date, Ireland has committed €66 million to the fund but only for the purchase of non-lethal military equipment. The fund was designed to last seven years but the war means it has been almost exhausted after just a year, the document states.

Last month the European Council reached a provisional agreement to increase the fund’s ceiling by €2 billion, with the possibility of further increases later. This will allow the EPF to be used to continue supporting military operations elsewhere, including in countries in the troubled Saheel region where the EU has several ongoing interventions. The decision is set to be formalised early this year.