Richard Bruton (Dublin North Central, Fine Gael)
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Question 423: To ask the Minister for Justice, Equality and Law Reform if his attention has been drawn to a submission by the Retired Prison Officers Association to have rent allowance reckonable for pension purposes prior to 1994; if this submission has been assessed; and if he will make a statement on the matter. [12975/06]

Michael McDowell (Dublin South East, Progressive Democrats)
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I am aware that such a submission by the Retired Prison Officers Association was made to my predecessor.

Clause 2(iii) of the Programme for Competitiveness and Work, PCW, provided that claims for improvements in pay and conditions be addressed on a basis which would involve change in structures, work practices or other conditions of service. Negotiations took place with the Prison Officers Association under this clause and agreement on a package of measures was reached. One of the issues which was agreed with the association was that rent allowance would be pensionable to members of the Prison Service serving on or after 1 January 1994. It was also agreed with the association that rent allowance would be reckonable for the purpose of calculating lump sums or death gratuity in the case of members who retired or died in service in the period 1 January 1993 to 31 December 1993. In such cases pension would only be adjusted to take account of rent allowance with effect from 1 January 1994.

Making rent allowance pensionable had cost implications. As clause 2(iii) of the PCW put a ceiling on the overall cost of agreements, a cut-off date for the pensionability of rent allowance needed to be agreed. The dates outlined were an integral part of the agreement with the association.

The issue of pensions generally is a matter for the Minister for Finance. It is established practice that if an allowance becomes pensionable, or a new pensionable allowance is introduced with effect from a specific date, officers who have retired before that date do not benefit from such development. This has been consistent policy for all public service groups.