Written answers

Tuesday, 23 June 2015

Department of Social Protection

Pension Provisions

Photo of Robert TroyRobert Troy (Longford-Westmeath, Fianna Fail)
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152. To ask the Minister for Social Protection the pension rights for Community Employment Supervisors; and if she will acknowledge the need for negotiations with the sector regarding same. [24485/15]

Photo of Kevin HumphreysKevin Humphreys (Dublin South East, Labour)
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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 apprised 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 will qualify for the State Pension (Non-Contributory), provided they satisfy the means test.

The Deputy will be aware that CE supervisors are the employees of private companies. In the circumstances, it is not possible for the State to take over responsibility for funding pension arrangements for employees of private companies, even where those companies are reliant on State funding. This position was confirmed by the Department of Public Expenditure & Reform (D/PER) to this Department in March of this year.

The D/PER’s position is that private companies contracted by the State to provide a service, including those in the community sector, must manage their expenditure pressures, including labour and pension costs, from within existing funding levels.

It should be noted that the Department of Social Protection is not the employer of CE supervisors and such employees are not public servants. They are employees of limited companies that receive public funding. If this pension claim was to be funded by the State, it would have an impact on pay costs and would result in potential claims from employees of other companies that receive State funding and operate in the community and voluntary sectors.

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