Written answers

Tuesday, 24 January 2012

Department of Public Expenditure and Reform

Pension Provisions

9:00 pm

Photo of Seán FlemingSeán Fleming (Laois-Offaly, Fianna Fail)
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Question 251: To ask the Minister for Public Expenditure and Reform the organisations designated as approved organisations for the purpose of section 4 of the Superannuation and Pensions Act 1963 which are covered by Superannuation (Designation of Approved Organisations) Regulations 1987, signed by the Minister for the Public Service on 9 March 1987; and if he will outline in respect of each the persons transferred in respect of each of the organisations through the public service transfer network; the calculations in respect of the cost associated with any service transfer from each of these organisations and the date and the amount billed by the public service to each of these organisations; the date and the amount these costs were paid by these organisations to his Department and the actuarial calculations that took place; the way these were verified in respect of estimating the cost associated with these transfers; and if he will make a statement on the matter. [3449/12]

Photo of Brendan HowlinBrendan Howlin (Wexford, Labour)
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The issue raised by the Deputy relates to the provisions of the Public Sector Transfer Network (PSTN) which enables individuals to transfer service from one member organisation to another for superannuation purposes. Membership of the PSTN is voluntary and organisations which apply to join are designated by Statutory Instrument as 'approved organisations' under Section 4 of the Superannuation and Pensions Act 1963 (No 24 of 1963). The organisations designated under the specific Regulations referred to by the Deputy, the Superannuation (Designation of Approved Organisations) Regulations 1987 (SI No. 110 of 1987), were the Nuclear Energy Board (NEB) and Fine Gael.

While my Department would be involved in transfers of service either into or out of the Civil Service, it has no involvement in transfers between the individual members themselves and, consequently, has no information regarding the numbers, costs, etc., of such transfers. As regards transfers involving the Nuclear Energy Board (NEB) and the Civil Service, and Fine Gael and the Civil Service, the available records indicate that there have been no transfers between the NEB and the Civil Service; and one transfer from Fine Gael to the Civil Service.

In relation to the Fine Gael case, the contributions payable by Fine Gael to the Civil Service are: (a) 1/80th of the uprated Fine Gael salary at the date of leaving Fine Gael, for every year of transferred service, payable six monthly in arrears for the duration of pension payments by the Civil Service, plus (b) a single contribution towards the cost of the retirement lump-sum of 3/80ths of the same salary figure in respect of the same amount of service. This means that both organisations will contribute to the overall cost of the individual's retirement benefits. No contributions have yet been received for the case in question.

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