Written answers

Tuesday, 27 March 2018

Department of Employment Affairs and Social Protection

Public Sector Staff Retirements

Photo of Michael FitzmauriceMichael Fitzmaurice (Roscommon-Galway, Independent)
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575. To ask the Minister for Employment Affairs and Social Protection if the compulsory retirement age will be applicable to the private sector in view of the recent change to the public service compulsory retirement age; and if she will make a statement on the matter. [13566/18]

Photo of Regina DohertyRegina Doherty (Meath East, Fine Gael)
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I welcome the recent confirmation by the Minister for Public Expenditure and Reform to increase to 70 the compulsory retirement age of public servants recruited before the 1st April 2004.

In relation to compulsory retirement ages in the labour market more generally, there is no universal mandatory retirement age in Ireland. The setting of retirement age remains a matter for agreement between employers/employees and the employment contract.

Notwithstanding this, the Government believes that labour market practices should evolve to reflect the reality that as people live longer and healthier lives, many people wish to, and can, work longer and make a positive contribution through their work to our society.

This is why the recently launched ‘Roadmap for Pensions Reform 2018-2023’ confirms future commitments on top of a range of actions already taken to support a positive ageing environment, where older people are, to the greatest extent possible, encouraged and facilitated in participating in the workforce.

To this end, and with the input of the social partners, the Workplace Relations Commission recently published a ‘Code of Practice on Longer Working’. The code informs best practice in managing the engagement between employers and employees in the run up to retirement. This includes requests to work beyond what might be considered the ‘normal retirement age’ in the employment concerned. Following publication of this code, the Irish Human Rights and Equality Commission will now prepare and publish guidance material for employers on the use of fixed-term contracts beyond retirement age.

The Government is determined that the provisions detailed in the Roadmap for Pensions Reform will combine to result in greater employee flexibility in the retirement decision. To ensure this is the case, employment practices in this area will be kept under close review in the near term. Should it appear that these provisions are not resulting in improved flexibility for workers by the end of 2018, the Government will actively consider measures to restrict the capacity to use mandatory retirement provisions relative to the prevailing State pension age. To this end an Interdepartmental Group chaired by my Department will be convened to review practices in this area.

I hope this clarifies the matter for the Deputy.

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