Written answers

Thursday, 12 January 2012

Department of Justice, Equality and Defence

Pension Provisions

5:00 pm

Photo of Gerry AdamsGerry Adams (Louth, Sinn Fein)
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Question 206: To ask the Minister for Defence if it is the case that Irish Air Corps pilots can retire after 15 years service and receive a pension payable from the date the pilot leaves the service; the number of persons who currently benefit from this arrangement and are in receipt of a pension before normal retirement age; the cost to the State on an annual basis; his plans to review the current practice; and if he will make a statement on the matter. [1732/12]

Photo of Alan ShatterAlan Shatter (Dublin South, Fine Gael)
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Under the pre-April 2004 Defence Forces Pensions Schemes, commissioned officers in the Permanent Defence Force (PDF) – including Air Corps pilots – may qualify for payment of pension and lump sum immediately on retirement after 12 years' pensionable service, regardless of age. However, these arrangements have undergone fundamental reform. This process of reform began with the previous Government's acceptance of the broad thrust of the recommendations of the Commission on Public Service Pensions, including the pension terms to apply to future new entrants across the public service generally. Under the Public Service Superannuation (Miscellaneous Provisions) Act 2004, revised occupational pension arrangements apply to all military personnel – including Air Corps pilots – who join the PDF as new entrants on or after 1 April 2004. Their pension scheme terms provide for a 'minimum pension age' of 50. This means that pensions and gratuities will not normally be payable immediately on retirement unless the person serves to age 50. Where leaving the PDF before age 50, benefits are not payable immediately but are 'preserved' and payable from age 60.

As part of further reforms, a new single pension scheme will apply to all future new entrants joining the public service, including the PDF. It is expected that this new single scheme will come into operation in 2012. As provided in the relevant Bill published in September 2011 by the Minister for Public Expenditure and Reform, the new scheme will include a move to calculating retirement benefits based on career average earnings rather than on final salary. For such new entrant PDF personnel, it is proposed that the current minimum pension age of 50 will continue to apply.

It should be noted that the requirement for certain groups e.g. military, police and fire-fighters, to have enhanced pension arrangements together with earlier retirement ages is internationally accepted in the public service context. Given the robust nature of their duties such groups are required to retire earlier than the norm and, as such, have traditionally had accelerated pension arrangements.

With regard to the numbers of retired Air Corps officers in this category and their associated pension costs, the relevant detailed information sought by the Deputy is not readily available. However, I have asked that a search of records be undertaken in both the Department and the Defence Forces to determine the extent to which the information sought by the Deputy can be made available and once this is complete I will revert further to him in the matter.

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