Leo Varadkar (Dublin West, Fine Gael) | Oireachtas source

I will ask for it, but there are other class K 4% categories as well, such as reasonably well paid public servants. It was added as a recession measure to pre-1995 public servants earning above a certain limit. I am sympathetic to the case the Senators are making, that people should not pay 4% PRSI and get no benefits. That should apply to everyone, even Deputies, Senators and judges, but if we were to make any change to this, we would have to look at it in the round. Unlike local authority members, public officeholders, Deputies, Senators and judges have good arrangements for pensions and get a lump sum when they retire. Severance arrangements are available to elected Members to tide them over should they lose their seats. It is a very different situation not just when compared with local authority members, but with other normal employees. The effect of amendment No. 2 would be a 4% increase in take home pay or more for Deputies and Senators. I do not think that is a good idea, given that we are preaching pay restraint and other things for other groups of people.

On the question of local authority members being able to make voluntary contributions for the past five years, that will not be of particular value to those who are currently serving on a local authority because they will be moving to class S. It may, however, be of use to those who retired from a council in the past couple of years.