IMPACT OF THE EFFICIENCY
AGENDA ON LOCAL
GOVERNMENT
Paul McSweeney
CEO
Local Government Management Agency
Finance and funding challenges





Narrow funding base
Reductions in central funding
Legal requirement to ‘balance-the-books’
Less €, maintain services
Driving the change agenda
Local Government Response
Staff reductions (5,800, 15.6% or
c.€250m) 2008 – 2010 (ytd)
 Loss of technical / outdoor / management
expertise

 Reduced

capacity to take on additional responsibilities
Higher Standards driving Higher Costs
 Compliance
with Environmental Standards, Health &
Safety, European Legislation
 Recession driving additional demand for social services
(housing, homelessness, libraries etc.)
Public Service Agreement (‘Croke Park’)







Local authority agenda driven by need to achieve
further savings
Procurement
Shared services
Maximising use of resources
Savings in work practices / rostering etc.
Single, common ICT infrastructure
Sectoral and Local Action Plan’s
Local Government Efficiency Review
Group (ERG)




Acknowledged progress in reducing staff numbers
and in achieving efficiencies
Did not identify significant areas of waste
Strong emphasis on shared service agenda as way
forward
Most notable recommendations dealt with proposed
structural changes
ERG staffing implications








30% reduction in County / City Managers (34 to
24)
20% reduction in DoS (240 to 190)
15% reduction in Middle Management
Establishment of Ten Joint Administrative Authorities
10% reduction in Corporate Services Staff
Review of Dublin / Cork City staffing levels
Roads Staff to reduce by 250
Planning Staff to reduce by 10%
Conclusions



Local Government committed to change
ERG implementation group being established will
drive change further
Economic realities will force the pace of change