Mary Lou McDonald (Dublin Central, Sinn Fein)
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Question 187: To ask the Minister for Public Expenditure and Reform the saving to the State if the special severance gratuity payment and added years as agreed by the top-level appointments committee for all existing secretaries general, county managers, CEOs of non-commercial semi-states and office holders, including heads of vocational education committees, were withdrawn. [29543/11]

Brendan Howlin (Wexford, Labour)
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The special retirement terms provided to Top-level Appointments Committee (TLAC) appointees apply to Secretaries General. The Deputy will be aware that the terms are being reviewed at present. They do not apply to Chief Executive Officers of non-commercial State agencies whose departure terms are subject to a letter dated 26 May 1998 to all Departments. That letter delegated sanction to Departments to operate those terms within specific guidelines. However, the delegated sanction was withdrawn in 2010.

As regards Secretaries General, based on a current pensionable salary of €253,635, one added year would provide about €3,100 in extra pension per annum, and about €9,500 in lump sum. A maximum of 10 added years is possible. The severance cost would be €126,817. As stated above, these terms are being reviewed.

The superannuation terms of County Managers are provided for in Section 78 of the Local Government (Superannuation) (Consolidation) Scheme 1998, as amended by Section 23 of the Local Government (Superannuation) (Consolidation) (Amendment) Scheme 2007. These schemes are the responsibility of the Minister for the Environment, Community and Local Government.

The savings in respect of Chief Executive Officers of non-commercial State agencies would depend on the level of salary of each individual concerned. In general terms, where the CEO was subject to standard superannuation terms, the saving from not applying added years would be the product of pensionable salary multiplied by the number of added years divided by 80. The particular circumstances of the individual CEO's pension scheme may differ from this. A maximum of 5 added years is provided for in the letter of 26 May 1998.

As regards Vocational Educational Committees, this would be a matter for my colleague, the Minister for Education and Skills.

Officeholders are not given added years.