The Tánaiste has said the former director general of FÁS was given a larger than necessary severance package because the Government wanted to move the organisation on and make sure it changed.
Speaking to the media at a conference in Dublin on corporate governance, Mary Coughlan said it was in the best interests of the organisation that Rody Molloy moved on.
She said it was in that context that - following advice from her officials and under sanction from the Department of Finance - his package was accepted.
Ms Coughlan added that his package was less than it would have been if he were to be removed from the same position by the board. She said she appreciated that people were annoyed about what had happened, but added that she had worked in the best interests of the organisation.