Retired civil servant receives €700,000 golden handshake

Former top civil servant Dermot McCarthy, who retired after 11 years in July, received a retirement and pension deal worth €713,000.

McCarthy served as secretary general to three taoisigh in Bertie Ahern, Brian Cowen and Enda Kenny and was entitled to attend all Cabinet meetings.

McCarthy received an annual pension of €142,670 this year in addition to another severance payment of the same amount. And sure why not, he also received a once-off sum of €428,011. You now have permission from us to swear loudly at your screen.

However, the Department of Public Expenditure and Reform said this morning that generous pension regimes will become a thing of the past:

“The Programme for Government commits to capping taxpayer subsidies for all future pension schemes at €60,000 per annum. These reforms are complex but are being advanced and will be ready by the Budget,” said a spokesman.

It should be noted that all civil servants are entitled to a "lump sum" payment of 1.5 times their salary upon retirement, while only the top earners are taxed on this package.