Séamus Healy (Tipperary South, Workers and Unemployed Action Group)

The scheme is part and parcel of a campaign which has demonised and continues to demonise public servants.

I refer to the increase in age proposed under this scheme. The scheme is part of various proposals and implementations to increase retirement age from 60 to 65 and thence to 66, 67 and 68, on a compulsory basis. I have no difficulty with public servants who want to work until they are 65, 66, 67 or 68, provided they can do so on an optional basis. The must be allowed to continue to work on an optional basis and should not, as is the case with the Bill, be forced to do so on a compulsory basis. Allowing people in the public service to remain in work into their mid-60s will have a knock-on effect in respect of employment. Fewer employment opportunities will arise if more people remain in the service.

Yesterday, in reply to a point made by the leader of Fianna Fáil, the Taoiseach stated that excessive "administration charges imposed by pension funds can absorb the vast majority of the temporary pension levy". The levy to which the Taoiseach referred amounts to 0.6% and he stated yesterday that the administration charges imposed by pension funds could cover the costs relating to it. I tabled amendments to the relevant legislation which dealt precisely with this matter. Those amendments were designed to ensure that neither contributors to pension schemes nor those who are already on pensions would be affected by the levy. One of the amendments to which I refer proposed that the administration charges relating to the schemes should be used to absorb the levy. Unfortunately, that proposal was voted down by the Government. I am asking that a amendment of that nature be tabled by the Government in respect of the Bill before the House to ensure the pension levy will not be used - as is the case at present - to increase contributions from members or to reduce the pension payments of those who have already retired. The Taoiseach has accepted the point I made in respect of the levy and I ask that he take action to ensure a suitable amendment be introduced.

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