Written answers

Wednesday, 19 November 2014

Department of Social Protection

Community Employment Schemes Administration

Photo of Willie O'DeaWillie O'Dea (Limerick City, Fianna Fail)
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46. To ask the Minister for Social Protection in view of the fact that she has stated that 134 community employment supervisors will retire over the next three years, if this will change her estimate in previous written answers regarding pension provision of €3.75 million per annum required for retired community employment supervisors and if she will now consider the implementation of same; and if she will make a statement on the matter. [44479/14]

Photo of Kevin HumphreysKevin Humphreys (Dublin South East, Labour)
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The annual estimated cost of introducing a defined contribution scheme for CE Supervisors was estimated at €3.75m for 2008, if the Department were to be the main funding body. Subsequent years have been calculated to work out at an average of approximately €3.7m per annum.

The Department is not the employer in respect of any person engaged in CE schemes. The responsibilities of the sponsoring organisations and the individuals concerned must also be recognised when considering pension provision arrangements.

Employers (including CE Sponsoring Organisations) are legally obliged to offer access to at least one Standard Personal Retirement Savings Account (PRSA) under the Pension (Amendment) Act 2002. All CE sponsoring organisations were informed by the Department of their responsibilities under this Act at that time.

CE Supervisors may also qualify for the State Pension at 66 years of age. If they have accrued sufficient PRSI contributions (520 contributions @ full rate, equivalent to 10 years contributions) they will qualify for the State Pension (Contributory), which is not means-tested. In the event that there are insufficient contributions, the person may qualify for the State Pension (Non-Contributory), provided they satisfy the means test.

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