Dáil Éireann Debate, Thursday - 2 May 2024
189. Deputy John McGuinness asked the Minister for Social Protection if retired nurses who paid a D stamp all their working life and were not allowed to opt for paying an A stamp will have their pension entitlements reviewed to allow them to qualify for a maximum pension rather than the reduced pension they are currently in receipt of; and if she will explain the rationale of the decision that has led to this anomaly. [20041/24]
View answerPublic service pension policy is a matter for the Minister for Public Expenditure, NDP Delivery and Reform. However, as regards social insurance contributions, these are made in accordance with the legislation and the employment terms and conditions in force at the time they are made, and eligibility for social insurance benefits flows from those particular contributions.
Civil and public sector employees recruited prior to 6 April 1995 pay social insurance contributions at modified rates under classes B, C and D. Amongst the class B contributors are permanent and pensionable civil servants and Gardaí; the class C contributors are commissioned army officers and members of the army nursing service; and the class D contributors include permanent and pensionable employees in the public service, other than those insured at classes B and C. Civil and public servants recruited from 6 April 1995 pay social insurance at the standard class A rate.
Prior to 6 April 1995, civil and public servants did not have access to the full range of social insurance benefits as their terms of employment protected them against the main contingencies of illness and retirement, and the risk of unemployment was not considered a factor due to the nature of their employment.
Consequently, such contributors pay less in social insurance contributions in return for fewer social insurance benefits. For example, class D contributors currently pay a contribution at the rate of 0.9% on their weekly earnings up to €1,443 and 4% on weekly earnings over that amount and their employers pay a contribution of 2.35% on all employee earnings. Class D contributors are currently entitled to widow's, widower's or surviving civil partner's (contributory) pension, guardian's payment (contributory), occupational injuries benefits, parent's benefit and carer's benefit.
In contrast, civil and public servants recruited from 6 April 1995 pay a class A social insurance contribution of 4% on their weekly earnings and their employers pay a contribution of 8.8% where employees’ weekly earnings are €441 or less and 11.05% where their employees’ weekly earnings exceed €441. Class A contributors have access to the full range of social insurance benefits.
