Robert Watt has been appointed the permanent Secretary-General of the Department of Health.
However, he has agreed to waive the controversial €81,000 pay rise that comes with the role.
Ministers have approved the higher salary and there will likely be an option for Mr Watt to take the higher amount in the future.
Opposition parties had strongly criticised the proposed pay increase in recent months.
In a statement, Robert Watt says he does not think it is appropriate to take the €81,000 pay increase, given the current difficult conditions the country faces.
He also says it was always his intention to waive the increase until the economy begins to recover and unemployment falls.