By Tom Arden
The High Court has restrained Cork City Council from transferring the duties of its Head of Finance, John Hallahan, to another official pending the trial of his employment proceedings.
Hallahan has worked for the council since 2010 and has been Head of Finance since 2016. His department has 68 employees and responsibilities including budget preparation, financial planning, capital appraisal and financial oversight.
On 11 May 2026, chief executive Valerie O'Sullivan told Hallahan that she intended to move him to a newly created Head of Cost Transformation position. The council said the new role was required urgently in response to its financial position. A €2.75 million budget deficit had been recorded for 2025.
Hallahan objected. He invoked the council's grievance procedure and began High Court proceedings on 19 May. Interim orders preserved his position as Head of Finance.
The council subsequently abandoned the proposed transfer. It instead appointed Jeremy Canty as Head of Cost Transformation and proposed moving functions to him including responsibility for preparation, management and oversight of the annual budget and liaison with finance-related committees. Hallahan estimated the affected functions accounted for about 40% of his working time.
Mr Justice O'Connell held that Hallahan had shown a fair question to be tried under the contractual principle requiring an employer's discretion to be exercised honestly, genuinely and without arbitrariness or irrationality. The judge also found an arguable issue over the council's refusal to recognise Hallahan's solicitor's correspondence as invoking its grievance procedure.
The court did not decide that Cork City Council ultimately lacks power to reorganise its departments or reassign functions. That will be determined at trial.
For now, the judge found the potential professional and reputational harm to Hallahan outweighed the council's case for immediate reassignment. The council was restrained from assigning his duties to another person without his agreement, pending trial or further court order.