Bernard Allen (Cork North Central, Fine Gael)
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Question 98: To ask the Minister for Social and Family Affairs if he is concerned that people face the prospect of spending up to three years in retirement without the State pension in view of the National Pensions Framework [15401/10]

Aengus Ó Snodaigh (Dublin South Central, Sinn Fein)
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Question 108: To ask the Minister for Social and Family Affairs if it is equitable to require workers to wait until they are 68 years of age before receiving their State pension, as proposed by the National Pensions Framework, while others such as ex-Ministers can receive a public pension well in advance of this age and while they are still in employment; and if he intends to introduce provisions to make ex-Ministers wait until they are 68 years of age before receiving their ministerial pension. [15491/10]

Éamon Ó Cuív (Galway West, Fianna Fail)
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I propose to take Questions Nos. 98 and 108 together.

The challenges facing the Irish pension system are clearly outlined in the National Pensions Framework. In particular, it is noted that the task of financing increasing pension spending will fall to a diminishing share of the population. There are currently six workers for every pensioner and this ratio will decrease to less than two to one by 2050.

Increasing state pension age is one of the ways in which we can sustain the pensions system and also maintain the value of the State Pension at 35% of average earnings.

People are living longer and healthier lives with average life expectancy set to rise even further in the future, up to 89 years for women and 83 for men. People will still, therefore, be spending at least the same amount of time in retirement as they are today, even with a later State pension age.

At present, the majority of people qualify for State Pension at age 66. From 2014, age 66 will be the standard pension age for everyone. The qualifying age will be increased to 67 years of age in 2021 and 68 in 2028.

In order for changes in the pensions area to have an impact, attitudes must change in relation to longer working from both employers and employees. At the workplace level, employers must seek to retain older employees and create working conditions which will make working longer both attractive and feasible for the older worker. Where this is not possible and people leave paid employment before state pension age, they will be entitled to apply for another social welfare payment until they become eligible for a State Pension, as is the current situation.

While public service pensions are a matter for the Minister for Finance, the Deputy may be aware that 'new entrant' Ministers as defined in the Public Service Superannuation (Miscellaneous Provisions) Act 2004 will not be entitled to receive a ministerial pension until age 65, at the earliest. The new public service pension scheme which was announced by the Minister for Finance in Budget 2010 will include Ministers and it is proposed that pension age will be linked to the State pension age.