Gerry Adams (Louth, Sinn Fein)
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Question 190: To ask the Minister for Public Expenditure and Reform the steps he has taken to reduce salaries and pensions for senior staff in the Department of An Taoiseach. [23770/11]

Brendan Howlin (Wexford, Labour)
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The rates of pay currently applying to grades in the civil service are set out in Circular 28/2009: Revision of pay of Civil Servants Application of pay adjustments in accordance with the Financial Emergency Measures in the Public Interest (No. 2) Act, 2009. This circular can be accessed at http://per.gov.ie/circulars2009/. Following the introduction by the Government in June last of a pay ceiling of €200,000 p.a. for senior public service posts, all current incumbents of Secretary General posts voluntarily waived their entitlement to any salary in excess of €200,000 p.a. New appointees to such posts are subject to the €200,000 p.a. pay ceiling.

The superannuation terms applying to grades in the civil service are set out on my Department's website www.cspensions.gov.ie. There are special provisions for Secretaries General, whose terms of appointment included the Top Level Appointments Committee (TLAC) exit terms. These terms are currently being reviewed by me. In addition, the Deputy will also be aware that the Single Public Service Pension Scheme, the bill for which has been published by the Government, includes the following provisions.

1. Raise the minimum public service pension age - it is proposed this be increased initially to 66 to bring it into line and link it henceforth with the social welfare state pension age, rising on a phased basis to 67 and 68.

2. Set a maximum retirement age of 70 – at present for most new entrants to the public service, there is no maximum retirement age.

3. Move to the calculation of pensions on the basis of "career average" earnings rather than final salary - the introduction of a career average rather than a final salary system is fairer and more equitable than a final salary system in that it affects the pension paid to those who have high earnings especially in late career (for example, a person promoted to top management later in their career) more than those who may have a relatively 'flat' career progression (for example, nurses, teachers).

These provisions will apply after commencement of the legislation to new recruits to the Civil/Public Service, and to those who are not existing civil/public servants within 6 months of taking up their employment.