Oireachtas Joint and Select Committees

Thursday, 14 June 2018

Joint Oireachtas Committee on Social Protection

State Pension Reform: Discussion

10:30 am

Photo of Alice-Mary HigginsAlice-Mary Higgins (Independent) | Oireachtas source

I wish to address the contributory thresholds. I credit the Minister for Employment Affairs and Social Protection, Deputy Regina Doherty, for introducing the care credit. I believe she has embraced and recognised the contribution those provide care make. However, the other thing that happened in 2012 was that the bar moved. I will come to the issue of signalling the move. The number of contributions moved from 260 to 520 and a large number of people found themselves falling down the bands to reduced rate pensions, particularly, as it happened, women. The change had a huge impact and created a lot of the concern in 2012, yet the solution makes the same mistake. Where previously there was a move from 260 to 520 contributions, people are now required to have 1,040 credits and contributions alongside the 20-year requirement, presuming that they will the maximum of 20-year care credit, which will be difficult.

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