Dáil debates

Wednesday, 25 April 2007

1:00 pm

Photo of Séamus BrennanSéamus Brennan (Dublin South, Fianna Fail)

It is a fundamental principle of our social insurance system that those qualifying for benefits must satisfy a range of contribution and other conditions. In the case of contributory pensions, this involves commencing payment of contributions ten years before pension age, payment of a minimum number of contributions at an appropriate rate and reaching a minimum average annual contribution rate. The State pension — contributory — is a valuable benefit and the conditions are designed to ensure that those qualifying have had a sufficient and ongoing attachment to the social insurance system.

The case reported on by the Irish Human Rights Commission, IHRC, involves a couple who were over 56 years of age in 1988 when compulsory social insurance for the self-employed was introduced. Accordingly, they were unable to satisfy one of the basic requirements for pension as they did not commence paying insurance ten years before pension age. In 1999 a special half rate pension was introduced for individuals in this group based on the payment of 260 contributions and, again, the couple involved did not satisfy the qualifying condition. While one party of the couple could have qualified had the necessary contributions been paid, because of advanced age the other person would not have been able to make the necessary contributions before reaching pension age. A refund of part of the social insurance contributions was available to such people from 1996.

Having considered the case, the IHRC has recommended that a reduced benefit be paid to people who, because of advanced age, could not satisfy the conditions for the special pension introduced in 1999. The recommendations of the IHRC are based on its assessment of the situation under the European Convention on Human Rights, the International Covenant on Civil and Political Rights and the European Code of Social Security.

On the European Code of Social Security, the IHRC places particular emphasis on provisions in regard to the position of people who, by reason of their age when provisions are introduced, cannot satisfy contribution or employment conditions. The Department makes annual reports on compliance with this code to the Council of Europe, summarising changes to the social welfare system. These reports are then referred to the committee of experts of the International Labour Organization, ILO, for its examination. The Department's 1999 report included details of the provisions on the self-employed that are now the subject of the IHRC investigation. At that time, the ILO committee confirmed that Ireland met its obligations.

Accordingly, as an initial step in its review of the IHRC report, my Department has asked the ILO's committee of experts for its views on the way in which the IHRC has interpreted the relevant articles. The position will be reviewed in the light of the views received.

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