€10m Defence Forces pay deal set to spark new public pay demands

There will be increases in military allowances, which were cut during the recession and a return of scrapped pay measures

Minister for Finance Paschal Donohoe is set to face further demands to open talks on a new public sector pay agreement after a €10 million pay deal for the Defence Forces.

There will be increases in military allowances, which were cut during the recession and a return of scrapped pay measures such as a €22,000 loyalty bonus for Air Corps pilots to stop them leaving for jobs with Aer Lingus and Ryanair.

Minister ...