THE STATE'S largest public sector union claimed the OECD report "debunked the myth that public service pay and employment were out of control".
Impact general secretary Peter McLoone noted that the report had found that public sector spending and employment had not kept up with population and GDP growth over the last decade.
Similarly, in comparison with other OECD countries, Ireland had been able to deliver public services with a public sector that was relatively small given the size of its economy and labour force.
However, he shared the OECD's reservations about the "agentification" of Irish public services, but pointed to the HSE as the "biggest agency of all". "Its blanket ban on recruitment is the most extreme example of centralisation of human resource management."
John Cullen, director general of the Institute of Public Administration, said a key theme of the review was the need for a "greater emphasis on performance".
"There is a need for more hard information on the performance of government bodies," he said. "The emphasis in the OECD report on breaking down barriers between the different parts of the public service . . . will be the driver in designing public services."
Moling Ryan, chairman of the Association of Chief Executives of State Agencies, said it agreed that there was likely to be scope for increased "synergies" between agencies, and welcomed any process which would "enhance our accountability".
Dublin Chamber of Commerce said the report offered the Government "independent proof" that its current decentralisation "only creates a government that is less effective in the way it functions".