Bonus payments by Uisce Eireann to staff increase by 17%

Bonus payments to staff at State-owned utility Uisce Éireann last year increased by 17% to €10.57m.

That is according to Uisce Éireann’s 2023 annual report which shows that the €10.57m in performance related pay was a €1.4m increase on the performance related payouts of €9.17m for 2022.

The report discloses that Uisce Éireann made performance related payments to 1,631 employees in 2024 in respect of 2023.

The payments were approved by the Board of Uisce Éireann in January 2024 and the average payment was €6,480.

The annual report states that the Uisce Éireann pay model “is market based and performance related comprises two elements namely base pay and a performance related award”.

The report states that “performance is assessed against individual objectives and corporate objectives through a balanced scorecard process”.

On the bonus payments, an Uisce Eireann spokesman said: “Please also note that pay related performance payments are taxable and €6,480 is the gross figure prior to tax.”

No bonus payment was made to Uisce Éireann CEO Niall Gleeson and this is a result of a Government direction in 2011.

The report also reveals that the numbers earning over €100,000 last year totalled 344 – an increase of 27% or 73 in that earning bracket in 2022.

The detailed figures show that two staff members earned between €250,000 and €275,000; nine between €225,000 and €250,000 and five between €200,000 and €225,000.

A further 17 earned between €175,000 and €200,000 while 34 earned between €150,000 and €175,000.

Seventy one staff earned between €125,000 and €150,000 while 206 staff earned between €100,000 and €125,000 compared to 171 in that earning bracket in 2022.

Overall staff costs increased by €20m to €115m and the report states that “payroll costs were €20m higher reflecting increased headcount and pay progression in accordance with agreements”.

The average number employed increased from 1,231 to 1,478.

The payment to Mr Gleeson remained at the same level at €276,000 made up of €225,000 in basic salary, €27,000 in pension contributions and €24,000 in “other short term” employee costs.

The utility’s spend on hospitality for staff and clients last year more than doubled from €54,000 to €129,000.

The spend was made up of €116,000 on staff hospitality and €13,000 on client hospitality.

“Following several years of reduced activity due to Covid and with an increase in overall staff numbers in 2023 UÉ incurred additional staff and client hospitality in 2023,” a Spokesperson said.

“The types of activities includes attendance at industry events & awards, company events for all staff and other ancillary hospitality costs.

“Any client or hospitality spend follows strict guidelines and must adhere to the relevant reporting requirements as laid out within Code of Practice for the Governance of State Bodies (2016),” the spokesperson added.

Last year, pre-tax profits at Uisce Eireann increased by 50% to €378.56m as revenues rose by 20% from €1.3 billion to €1.56 billion.

The utility’s revenues were made up of €1.06 billion in Government subvention payments for domestic water billing, non domestic revenues of €245.46m while new connection revenues almost doubled to €246.84m.

The utility delivered Earnings Before Interest, Tax, Depreciation and Amortisation of €560m compared to €424m in 2022.

Its chief financial officer, Chris McCarthy, said that Uisce Éireann “delivered a strong financial performance during 2023”.

He said that the profit generated by Uisce Éireann, together with Government capital contributions of €581m enabled the successful delivery of a €1.28 billion capital investment programme in 2023.

“This allowed us deliver jobs, increase capacity for housing and development and support economic growth,” he said.

The report discloses that Uisce Eireann last year paid out €4.16m in legal costs and comprised of settlements of €2.13m, €1.77m in legal fees and costs and €258,000 in conciliation and arbitration payments.

The payouts last year concerned 58 legal cases.

A note states that “2023 legal fees and costs includes an amount of €183,954 in relation to a legal matter with University of Limerick, and an amount of €45,341 in relation to legal matters with Inland Fisheries Ireland”.

Uisce Eireann’s cash funds at the end of 2023 totalled €289m.

Reporting by Gordon Deegan