Brian O'Shea (Waterford, Labour)
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Question 146: To ask the Tánaiste and Minister for Health and Children if employees of the Health Service Executive who took up employment before 1 April 2004 must retire on reaching age 65 in all circumstances; and if she will make a statement on the matter. [11292/06]

Mary Harney (Dublin Mid West, Progressive Democrats)
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The Public Service Superannuation (Miscellaneous Provisions) Act 2004 removed the compulsory retirement age of 65 for "new entrant" public servants recruited after 1 April 2004. For existing employees, identified in the Act as not being "new entrant" public servants, the maximum retirement age remains 65.

However, public health service employees who have retired are sometimes re-employed on contract for various periods and have a very useful contribution to make. This generally occurs where vacancies have arisen in particular sectors due to a shortage of skilled personnel. My Department issued a circular last October which changed the method of calculation of pension abatement in these cases. In general, this means that where it is necessary to re-employ pensioners this can be done on the basis that they can earn, in effect, up to half what they would have earned in their previous position before their pension is reduced.