Irish Medical Organisation

IMO secures restoration of Living Out Allowance

IMO secures restoration of Living Out Allowance

  •  IMO has achieved restoration of the Living Out Allowance of €3,193 per year into salary  
  •  IMO has ensured Education and Training Supports will now be dealt with as a key priority under a review in the WRC  
  •  IMO believes this gives momentum to our ultimate goal – a new NCHD Contract  

Dear Doctor, 

The IMO has reached agreement in a High Court Settlement in respect of the legal challenge taken by the IMO on behalf of NCHDs  on the Living Out Allowance. Additionally we secured a review of Training and Education supports which we know is a key concern for NCHDs. Ultimately what is required is a new NCHD Contract and this agreement gives us the basis to work towards that goal so that we can ensure NCHDs are valued and respected in the health system.  

What this Agreement Means for You  

When and How Will the Living Out Allowance Be Paid 

The Living Out Allowance is €3,193 per year is payable from 1st July 2017. Importantly the IMO has ensured that this payment is now incorporated into salary which means your basic pay will increase by this amount and all other payments such as overtime and premium pay will be calculated on the new basic pay.  

What is the Training Review in the WRC? 

We have secured a 3 month review at the Workplace Relations Commission to specifically deal with the continuing education requirements of NCHDs and the resources required. That review will commence in March and be completed by the end of May 2017. In the context of the High Court Settlement the Management (HSE and Department of Health) acknowledge the need for enhanced training supports for all NCHDs.   

When will there be a new NCHD Contract? 

There is no specific timeline for the review of the NCHD Contract however we believe we have now put NCHD issues firmly on the Government agenda.  Our position is that in order to retain NCHDs in Ireland a new contract is needed. The IMO are part of the forthcoming Public Sector Pay Negotiations and in the context of our submissions to this body we have clearly stated that pay needs to be increased for NCHDs. With this High Court Settlement and the Pay Sector Negotiations we will drive on for a full contract review.  

Why is there no back pay on the Living Out Allowance? 

When the IMO commenced the legal challenge it was with a view to securing back pay. However this was an issue that would have to be ruled upon by the Courts and there was no guarantee that we would win the case. Our role is to secure the best possible deal for our members and we believe, given the uncertainty of legal proceedings and the fact that no public servants have achieved back pay in any of their arrangements, this agreement represents the best way forward. If we had won the case it was almost certain that the Government would appeal leaving NCHDs with no increase in income and engaged in protracted legal proceedings for years. If we had lost the case there would be no other opportunity to have the allowance paid.  

What Now? 

This Agreement has clearly demonstrated that when NCHDs, through the IMO, are strong and united we can achieve progress. It is vital that we now build on this momentum and to that end we need to make sure that all NCHDs get behind the Time for Change Campaign. Thank you for your continued support of the IMO and please encourage your colleagues to join so we can make change happen.  

On behalf of the NCHD Committee and on your behalf we would like to particularly thank Dr Gabriel Beecham, one of our Committee Members, who, on behalf of all NCHDs, was the plaintiff in the High Court proceedings.  


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