Oireachtas Joint and Select Committees

Wednesday, 11 November 2015

Committee on Education and Social Protection: Select Sub-Committee on Social Protection

Social Welfare Bill 2015: Committee Stage

1:00 pm

Photo of Aengus Ó SnodaighAengus Ó Snodaigh (Dublin South Central, Sinn Fein) | Oireachtas source

When the change to the pension ages came about, a number of anomalies were identified but there were also effects on the recipients. For instance, it is not only that they end up, instead of being on the State transition pension, being on jobseeker's allowance, albeit as far as I know without being forced to look for work. There was a pre-retirement payment in the past which captured that but we do not have it anymore - it is not called that at least.

If one goes for jobseeker's benefit for a number of months if one retires at 65 and the age criteria changes to 67, that involves two years of a gap that one must make up. The jobseeker's benefit runs out. One's partner may still be working. If so, one ends up with nothing whereas in the past one would have been on a contributory pension. There are problems. Some will be caught in a bind because, especially at that age, they will not have the opportunity to plan long enough for that shortfall of one year at present, two years in the future, or three years at some stage, because their contracts were until age 65 and the State transition payment was in recognition that the State pension kicked in at 66 years. There was a recognition previously, but with that gone there is nothing other than jobseeker's benefit, initially, for six or maybe nine months - I cannot remember now. It is when it goes beyond that there is a possibility that one will end up with nothing if one's partner is working because jobseeker's allowance is means tested.

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