Official data implies that some female public-sector workers earn more than their colleagues in the private sector. Research conducted by the Central Statistics Office (CSO) and published on Tuesday showed no consistent trend in public-sector versus private-sector wages from 2019 to 2022. However, the CSO noted a more significant wage disparity between female public-sector and private-sector employees compared to their male counterparts.
In 2022, public-sector women had a varying salary differential, with a 6.7% premium at the high end and a 2.2% discount at the lower end, compared to women in private companies. For men, the differential varied between a 4.5% to 11% discount. These varying comparisons were contingent upon the parameters employed in the statistical models used by the CSO.
Experts warn that comparing wages across these sectors is a complex task and there is no universally accepted technique for calculating wage gaps between public and private sectors. Darragh Turner, a statistician at the CSO’s earnings analysis division, mentioned that evidence suggests an equilibrium is forming in the public-private sector pay gap from 2019 to 2022, with minor reductions observed between 2018 to 2020.
However, he added that due to Covid-19’s impact on labour markets and wages from 2020 to 2022, it’s too early to determine whether these reductions are a definite trend for this time frame. The CSO emphasised that the research, which targets scholars and policymakers, does not make comparisons between the same jobs across the two sectors.
Roles in An Gardaí Síochána and the Defence Forces can solely be found in the public sector, while positions in hospitality, food services, manufacturing, and construction strictly exist in private businesses. The research concluded that those with higher incomes in the public sector were worse off in terms of gross pay compared to high earners in the private sector. Conversely, lower-income workers in the public sector fared better compared to those in private companies.