Róisín Shortall (Dublin North West, Labour)
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Question 169: To ask the Minister for Defence the arrangements in place to ensure that national pay awards and other increases applicable to the pensions of former civilian Defence Forces staff are paid on time; the arrangements in terms of staff numbers to ensure that the national pay agreement award due on 1 November 2006 is paid on time; and if he will make a statement on the matter. [32487/06]

Róisín Shortall (Dublin North West, Labour)
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Question 170: To ask the Minister for Defence the amount paid out in interest by his Department in the past three years for which figures are available due to the late payment of pay and pension increases; and if he will make a statement on the matter. [32488/06]

Willie O'Dea (Limerick East, Fianna Fail)
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I propose to take Questions Nos. 169 and 170 together.

At the outset, I should explain that the Office of the Paymaster General, Department of Finance, is responsible, upon the receipt from my Department of the pension rate in each particular case, for the payment of pensions to retired employees, including retired civilian employees. Every effort is made to ensure that pension rates for pensioners are updated on a timely basis to take account of any pay increases that might be paid from time to time to serving employees.

In general, any pension increases due to retired employees as a result of the application of any national pay awards are paid as soon as possible following the payment of increases to serving employees. However, from time to time, delays may occur if, for whatever reason, the rates of pension payable to individual pensioners have to be revised for reasons other than the application of national pay awards.

The Deputy will be aware from my reply to a PQ she tabled on 27 September last that my Department is currently engaged in a review of the rates of pension payable to all the retired civilian employees of my Department. As my Department has in excess of 1,200 civilian pensioners, the Deputy will appreciate the scale of the task involved. I am pleased to inform the Deputy that the rates of pension paid to a majority of the pensioners involved have now been reviewed and the revised rates have been forwarded to the Paymaster-General's Office for payment. In many cases, the review has resulted in increased levels of pensions for the pensioners concerned. I understand from the Paymaster General's Office, that it is anticipated that any pension increases due to retired civilian employees arising from the pay awards set out in the Sustaining Progress Agreement will be implemented by 1 December 2006.

The implementation date of the first phase of the pay increases set out in the new Social Partnership Agreement, Towards 2016, is 1 December 2006. The application of the pay increases across the range of employments in the State industrial sector, including civilian employees with the Defence Forces, requires the approval of the relevant Performance Verification Group (PVG) for that sector. The pensions of former civilian employees with the Defence Forces will be adjusted, as appropriate in the normal way, when the PVG has decided that payment of the 1 December 2006 pay increases is warranted.

In relation to the Deputy's query regarding the amount paid out in interest by my Department in relation to the late payment of pension increases, I have made enquiries with the Paymaster General's Office (the body responsible for the payment of pensions) concerning this matter. I understand that no interest payments have been made to date.