Written answers

Tuesday, 22 September 2020

Department of Employment Affairs and Social Protection

Pension Provisions

Photo of Emer HigginsEmer Higgins (Dublin Mid West, Fine Gael)
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569. To ask the Minister for Employment Affairs and Social Protection the steps she will take to ensure that persons who are required to retire at 65 years of age do not have to sign on; and if she will make a statement on the matter. [25619/20]

Photo of Heather HumphreysHeather Humphreys (Cavan-Monaghan, Fine Gael)
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The Programme for Government commits to introducing a Retirement Payment for 65 year olds paid at the same rate as Jobseeker's Benefit without a requirement to sign on, partake in any activation measures or be available for and genuinely seeking work.

I wish to assure the Deputy that I have made the introduction of the new Retirement Payment an immediate priority for my Department. Officials in my Department are currently considering the design of the scheme and assessing the necessary legislation, ICT system requirements and administrative processes required to support the introduction of this payment.

I will bring proposals for this new payment to Government shortly and the necessary legislation will be introduced later this year.

I hope this clarifies the matter for the Deputy.

Photo of Joe CareyJoe Carey (Clare, Fine Gael)
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571. To ask the Minister for Employment Affairs and Social Protection when she will bring forward the necessary legislation to keep the State pension age at 66 years of age as committed to in the Programme for Government; if persons turning 66 in early 2020 should apply for their pension now; and if she will make a statement on the matter. [25621/20]

Photo of Heather HumphreysHeather Humphreys (Cavan-Monaghan, Fine Gael)
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The Programme for Government “Our Shared Future” states that the planned increase in the State Pension Age next year will be deferred. The State Pension Age will remain at 66 years. This will require amendment to primary legislation and the Government will bring the necessary legislation before the Oireachtas later this year. I hope that there will be cross party support for this legislation.

It is recommended that a person applies for the State Pension (Contributory) three months before they turn 66 years of age.

The public policy and social issues in relation to funding a sustainable and adequate State pension system are complex. Therefore, the Programme for Government also commits to establishing a Commission on Pensions to examine a range of issues including contributions, calculation methods, sustainability, eligibility and intergenerational fairness. The Terms of Reference for the Commission are currently being developed and options for its membership are being considered. I will bring proposals to Government in that regard as soon as possible.

The Government is acutely conscious of the need to consider the sustainability of the State’s finances. However, this is not the only consideration when thinking of the State pension age. The State Pension is the bedrock of the pension system in Ireland. It is extremely effective at ensuring that our pensioners do not experience poverty. This Government is committed to ensuring that this remains the case.

I hope this clarifies the matter for the Deputy.

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