Written answers

Wednesday, 18 September 2013

Department of Social Protection

Exchequer Savings

Photo of Mary Lou McDonaldMary Lou McDonald (Dublin Central, Sinn Fein)
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711. To ask the Minister for Social Protection the full year saving to the Exchequer were the CEOs' pay of all commercial semi-States under the aegis of her Department reduced by 10%; and if she will make a statement on the matter. [39264/13]

Photo of Joan BurtonJoan Burton (Dublin West, Labour)
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There are no commercial semi-State organisations operating under the aegis of the Department of Social Protection.

Photo of Mary Lou McDonaldMary Lou McDonald (Dublin Central, Sinn Fein)
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712. To ask the Minister for Social Protection the full year saving to the Exchequer if all non-commercial State sponsored bodies CEO salaries under the aegis of her Department were reduced by 10%; and if she will make a statement on the matter. [39274/13]

Photo of Joan BurtonJoan Burton (Dublin West, Labour)
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The statutory bodies operating under the aegis of the Department of Social Protection are the Social Welfare Tribunal, the Citizens Information Board and the Pensions Board. In addition, the Office of the Pensions Ombudsman comes under the remit of the Department but it does not have a Board.

Citizens Information Board

The savings to the Exchequer if the salary of the Chief Executive Office the Citizens Information Board was reduced by 10% would be in the region of €11,000 per annum.

Pensions Board

The Pensions Act 1990 (as amended) provides for the establishment of the Pensions Board and for the appointment of Board members.

At the outset, it should be noted that there would be no savings to the Exchequer if a 10% reduction to the salary of the Chief Executive Officer of the Pensions Board is self-financing. The Board is fully funded from a levy on all occupational pension schemes.

Pensions Board Change Programme

The Public Service Reform Programme provided for a critical review of the integration of the regulatory functions of the Pensions Board with the Financial Regulator and the merging of the Pensions Ombudsman with the Financial Services Ombudsman. The recommendations arising out of the Critical Review on the Pensions Board were approved by Government in April 2013 and were provided for in the Social Welfare and Pensions Act, 2013.

The governance structure of the Pensions Board is being restructured with two distinct arms as follows: Oversight of the Pensions Board will be undertaken by a three person body called the Pensions Authority. This will consist of a Chairperson and two officials from the Department of Social Protection and the Department of Finance. A separate unpaid Pensions Council, with a majority of members representing consumer interests, will advise the Minister on pensions policy.

Consideration is currently being given the appointment of the members of the new Pensions Authority. Section 7 of the Pensions Act provides for the payment to the Chair such remuneration and expenses as the Minister may, with the consent of the Minster for Finance sanction. It is expected that the post of Chair of the Pensions Authority will still be remunerated (fee in 2012 was €11,970). The remaining members will be civil servants and therefore these positions will not attract a fee.

Social Welfare Tribunal

No remuneration is paid to members of the Tribunal. The Tribunal meets only when and where required in order to deal with claims for Jobseeker's Allowance or Jobseeker's Benefit made in the context of an industrial dispute. Members can claim fees for attending hearings or meetings and are also entitled to claim for travel and subsistence expenses, where appropriate.

Photo of Mary Lou McDonaldMary Lou McDonald (Dublin Central, Sinn Fein)
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713. To ask the Minister for Social Protection the full year saving to the Exchequer if all State agency board members fees, non commercial State sponsored bodies and commercial semi State companies, under the aegis of her Department were reduced by 25%; and if she will make a statement on the matter. [39284/13]

Photo of Joan BurtonJoan Burton (Dublin West, Labour)
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The statutory bodies operating under the aegis of the Department of Social Protection are the Citizens Information Board, the Pensions Board, the Pensions Ombudsman (which does not have a board) and the Social Welfare Tribunal.

Citizens Information Board

Details of potential annual savings on fees for members of the Citizens Information Board should a 25% reduction be applied are set out as follows.

Total projected fees 2014
25% saving
€66,000
€16,500

The figure given for the projected annual fees for 2014 includes potential fees in respect of current vacancies. There are currently two vacancies on the Board. Two existing board members have declined to accept fees and potential amounts are not included for these in projected figures.

Pensions Board

The Pensions Board is fully funded from a levy on all occupational pension schemes. Therefore there would be no savings to the Exchequer if a 25% reduction was applied to the current Board Members’ fees.

Pensions Board Change Programme

The Public Service Reform Programme provided for a critical review of the integration of the regulatory functions of the Pensions Board with the Financial Regulator and the merging of the Pensions Ombudsman with the Financial Services Ombudsman. The recommendations arising out of the Critical Review on the Pensions Board were approved by Government in April 2013 and were provided for in the Social Welfare and Pensions Act, 2013.

The governance structure of the Pensions Board is being restructured with two distinct arms as follows:

-Oversight of the Pensions Board will be undertaken by a three person body called the Pensions Authority,. This will consist of a Chairperson and two officials from the Department of Social Protection and the Department of Finance.

-A separate unpaid Pensions Council, with a majority of members representing consumer interests, will advise the Minister on pensions policy.

Consideration is currently being given the appointment of the members of the new Pensions Authority. Section 7 of the Pensions Act provides for the payment to the Chair such remuneration and expenses as the Minister may, with the consent of the Minster for Finance sanction. It is expected that the post of Chair of the Pensions Authority will still be remunerated (the fee in 2012 was €11,970). The remaining members will be civil servants and therefore these positions will not attract a fee.

Social Welfare Tribunal

No remuneration is paid to members of the Tribunal. The Tribunal meets only when and where required in order to deal with claims for Jobseeker’s Allowance or Jobseeker’s Benefit made in the context of an industrial dispute. Members can claim fees for attending hearings or meetings and are also entitled to claim for travel and subsistence expenses, where appropriate. There was no expenditure in 2012 and 2013 to date as no hearings or meetings were required. Accordingly, no savings would have arisen if a reduction to fees had been implemented.

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