Written answers
Tuesday, 23 January 2024
Department of Public Expenditure and Reform
Public Sector Pensions
Emer Higgins (Dublin Mid West, Fine Gael)
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231. To ask the Minister for Public Expenditure and Reform on the situation confronting gardaí enlisted post-1995 who are required to retire at age 60 years but are ineligible for their full pension until 66 years of age; what measures are in place to bridge this pension gap, which compels numerous retired Garda members to depend on social welfare; and if he will make a statement on the matter. [2935/24]
Paschal Donohoe (Dublin Central, Fine Gael)
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For all public servants who are fully insured (Class A PRSI) and who have been appointed before 1 January 2013 (introduction of Single Scheme) pension payment comprises of three components:
1. Public Service Occupational Pension payable by the public service employer from Voted expenditure, the calculation of which takes account of Social Insurance benefits that may be payable to the individual,
2. Social Insurance Benefit(s) (Jobseeker’s Benefit, State Pension Contributory (SPC) etc.), payable, subject to eligibility, by the Department of Social Protection (DSP) from the Social Insurance Fund and
3. Where the full rate of SPC is not payable, a bridging pension equivalent to a non-integrated pension i.e. a pension based on 1/80th per year of service to max of 40 years, referred as an ‘Occupational Supplementary Pension’, which is payable, subject to eligibility, by the public service employer from Voted expenditure.
This approach is often referred to as an ‘integrated’ pension, as it takes into account the fact that employees are fully socially insured and includes the value of the social insurance benefit(s) in the total value of the pension. This is to prevent “double pensioning” where both an occupational public service pension and the SCP would be payable.
In some cases, through no fault of the civil/public servant, they do not qualify for the full SPC or qualify for a Social Insurance benefit at less than the full rate of SPC; however, their occupational pension has assumed that they will receive the full State Contributory pension. The occupational supplementary pension provision provides that the occupational pension may be modified through a supplementary adjustment, to ensure a post 1995 recruit receives a total benefit (both occupational pension and Social Insurance benefits) which amounts to the pension which would have been payable if the occupational pension not been so integrated. The occupational supplementary pension is therefore essentially a bridging payment to ensure that an individual’s overall public service pension entitlement is met.
As mentioned above, the payment of an Occupational Supplementary Pension component is subject to eligibility, including the following:
- A public service pensioner may only qualify for an occupational supplementary pension if they have reached minimum pension age in their scheme, or have retired on grounds of ill-health;
- Are not engaged in paid employment;
- Fail to qualify for a Social Insurance benefit or fail to qualify for such benefit at the maximum rate. Their failure to qualify must be due to causes outside their control.
My Department are fully aware that the requirement to engage with DSP as part of the process for qualifying for an occupational supplementary pension is presenting difficulties for individual Gardaí, and at INTREO offices. My officials are in the process of reviewing the processes involved and have been engaging with key stakeholders with a view to establishing if a more efficient and streamlined approach is possible.
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