Brendan Smith (Cavan-Monaghan, Fianna Fail)
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1554. To ask the Minister for Employment Affairs and Social Protection her plans to amend the legislation and regulations for eligibility for the State pension (contributory) (details supplied); if her attention has been drawn to the fact that many persons have been denied full rate of payment due to the present method of calculation of entitlements; and if she will make a statement on the matter. [36273/17]

Regina Doherty (Meath East, Fine Gael)
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The National Pensions Framework (2010) proposed that a “Total Contributions Approach” (TCA) should replace the yearly average approach, for new pensioners from 2020. The aim of this approach is to make the rate of contributory pension more closely match contributions made by a person. Officials of my Department are currently working on the detailed development of the TCA with a view to making proposals for consideration later in the year. An important element in the final design of the scheme will be the position of people who have gaps in their contribution records for various reasons, and this factor is being considered very carefully in developing this reform.

This is a very significant reform with considerable legal, administrative, and technical elements in its implementation. Following completion of the Actuarial Review of the Social Insurance Fund later this year, a refined proposal will be developed. My Department will then conduct a period of consultation with relevant stakeholders including interest groups, representative bodies and the Oireachtas. Following the consultation period, I will submit a proposal to Government seeking approval of the new approach, which in turn will require legislation to be passed by the Oireachtas.

I hope this clarifies the matter for the Deputy.