Barry Cowen (Laois-Offaly, Fianna Fail)
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145. To ask the Minister for Social Protection her views on the Government's previous commitment to provide gratuity payments to Foras Áiseanna Saothair, the Irish national training and employment authority, community employment supervisors and assistant supervisors. [28730/15]

Kevin Humphreys (Dublin South East, Labour)
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The Government gave no commitment to provide gratuity payments to Community Employment Supervisors and Assistant Supervisors.

In July 2008, the Labour Court recommended that an agreed pension scheme should be introduced for CE Supervisors and assistant supervisors and that such a scheme should be adequately funded by FÁS, the funding agency responsible for CE at that time. The Department of Social Protection (DSP) is now responsible for CE. Neither FÁS nor DSP were parties to the LCR19293 (although FÁS did make a submission to the Court). The unions took the case under Section 20(1) of the Industrial Relations Act, 1969. The rulings for such a case are binding upon the claimant to the Labour Court, but are notlegally binding upon the respondents (i.e. the employers).

Notwithstanding the position of this Department in rejecting that liability for these costs should be met from public funds, this matter was the subject of discussions between the Department of Public Expenditure and Reform (D/PER) and the unions representing CE Supervisors. The D/PER’s position, as outlined to the unions, is that companies contracted by the State to provide a service, including in the community sector, have to manage their expenditure pressures, including labour and pension costs, from within existing funding levels.

It should be noted that this Department is not the employer of CE supervisors and such employees are not public servants, but are employees of the sponsoring organisations. The responsibilities of the sponsoring organisations as employers and the individuals concerned as employees must also be considered.

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 of their responsibilities under this Act at that time.

It should also be noted that 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.