Thursday, 1 June 2017
Ceisteanna - Questions - Priority Questions
When inviting the public services committee of ICTU last month to the public service pay talks which are now in progress, I indicated a separate process of consultation would take place with an association representing public service pensioners. Most recently, my officials met with representatives of the Alliance of Retired Public Servants who articulated the concerns and interests of public service pensioners in regard the impact of the financial emergency in the public interest legislation on pensions in payment through the operation of the public service pension reduction, PSPR, and related matters. A further meeting is planned.
I should point out that a very significant part-unwinding of PSPR in three stages is taking place under FEMPI 2015, with PSPR affected pensioners getting pension increases via substantial restoration of the PSPR cuts on 1 January 2016, 1 January 2017 and 1 January 2018. This three-stage part-unwinding of PSPR is delivering significant pensions increases to PSPR-affected pensioners.
On 1 January 2016, all pensions of up to at least €18,700 became exempt from PSPR. From 1 January 2017, all pensions of up to at least €26,000 are now exempt from PSPR, and from 1 January 2018 all pensions of up to at least €34,132 per year will be exempt from PSPR. Those pensioners not fully removed from the reach of PSPR by dint of these changes will, in the majority of cases, benefit by €1,680 per year from 2018. The cost of these changes is estimated at approximately €90 million on a full-year basis from 2018.