Niamh Smyth (Cavan-Monaghan, Fianna Fail)
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66. To ask the Minister for Employment Affairs and Social Protection her plans to reinstate the State transition pension; her further plans to prevent persons forced to retire at 65 years of age having to apply for jobseeker's for one year until they reach the State pensionable age of 66; and if she will make a statement on the matter. [46590/17]

Regina Doherty (Meath East, Fine Gael)
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The Social Welfare and Pensions Act 2011 provided that the State pension age will be increased gradually over time. This began in 2014 with the abolition of the State pension (transition), which was available to people aged 65 who satisfied qualifying conditions. This measure standardised the State pension age for all of us to 66 years and this will increase to 67 in 2021 and to 68 in 2028. I will allow the rest of the official reply be taken as read in the Dáil record.

No changes are planned in the immediate future - no changes in this year's budget and no changes in next year's budget. The reason for that is twofold. First, I want to ensure that anybody who wants to work over the ages of 50 or 55 is enabled to do so. More importantly, for those people who are not working and who are on the rural social schemes, CE schemes or Tús that they are acknowledged and valued for the contribution they are making. No man or woman should be on the live register between the ages of 65 and 66, or 67 and 68, going forward, who does not want to be.

Additional information not given on the floor of the House.

In most cases, it is hoped that workers will continue to work up to the new State pension age. Where this is not possible, there are specific measures which apply to someone claiming jobseeker’s benefit from a date after their 65th birthday. Where qualified, these recipients may continue to be eligible for that payment until reaching pension age.

We are well aware that people are living for much longer. Life expectancy at birth has increased significantly over the years and is now at 78.4 years for men 82.8 years for women. This is very positive. As a result of this demographic change, the number of State pension recipients is increasing year on year. This has significant implications for the future costs of State pension provision, which are currently increasing by close to €1 billion every five years. The purpose of changes to the State pension age is to make the pension system more sustainable in the context of increasing life expectancy. This sustainability is vital if the current workers, who fund State pension payments through their PRSI, are to receive a pension themselves when they reach retirement age.

The Deputies should note that there is no legally mandated retirement age in the State and the age at which employees retire is a matter for the contract of employment between them and their employers. While such a contract may have been entered into with a retirement date of 65, in the context of the previous State pension arrangements there is no legal impediment to the employer and employee agreeing to increase the duration of employment for one or more years, if both parties wish to do so.

Niamh Smyth (Cavan-Monaghan, Fianna Fail)
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I appreciate what the Minister is saying. My experience is that more people are being asked to retire at 65 who do not want to, who feel they have a lot more to give and who are quite willing and anxious to keep working. There are many fit, able, capable and young 65 year olds out there who are quite anxious to keep working and who find it rather humiliating to have to retire and then go on jobseeker's payments when they have so much left to give. As the Minister said, it is important the contribution of people working on Tús and CE schemes is valued. Going forward, it is important people are not put into that demoralising situation where they are asked to retire when they do not feel that is where they should be at and, more importantly, that their contribution is recognised.

Regina Doherty (Meath East, Fine Gael)
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I agree with the Deputy. Others have suggested that I bring in legislation that removes the legal obligation for people to retire at 65, but there is none. We could bring in that legislation, and I think there is a Private Members' Bill on the books already.

John Brady (Wicklow, Sinn Fein)
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It is waiting on a signature.

Regina Doherty (Meath East, Fine Gael)
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It would not make any difference. The reason for that is because nobody can be made to retire at 65 today, unless it says so in their contract. That legislation, if one was to bring it forward, would not change those contracts. What we need to do is change society's view so somebody at 65 does not have to be retired if they do not want to be. I met wonderful people yesterday. Sixty is the new 40, and we will all be there before we know it - some of us are there now. We are living longer and we are vibrant and healthy. In this State we are living on average until we are 84 or 86. We should be encouraging workers. I believe the way to do that is to lead by example. If we can do that in the public sector, we might see the trickle effect. What we need to do is change societal norms. Just because a person gets to 65-----

Niamh Smyth (Cavan-Monaghan, Fianna Fail)
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People already do it in the private sector.

Regina Doherty (Meath East, Fine Gael)
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The Deputy is right. From our own perspective, we have lost a huge and valuable cohort of people in certain sectors of the public sector because we made them retire at 60. It is mad.