I move:
That Dáil Éireann hereby approves of the amendment of the Houses of the Oireachtas (Members) Pensions Scheme, made under section 6 (A) of the Oireachtas (Allowances to Members) Act, 1938, by
(1) the addition to sub-clause (1) of clause 1 of the following definitions:
"member" without qualification means a member of either House of the Oireachtas
"widow" means the widow of a member or former member
"child" means a child who is the issue of, or was legally adopted during, the marriage of a member or former member
"orphan" means a child both of whose parents are dead
"appropriate age" means the later of age 16 or the age not exceeding 21 years up to which a child is receiving full-time education;
(2) the insertion of "and their widows and children" after "Oireachtas" in sub-clause (1) of clause 2;
(3) the substitution in clause 5 of
(a) "eight" for "ten" and "10" in sub-clauses (1) (a), (4) (including the amendment to this sub-clause made with effect from 7 July, 1966) and (5).
(b) " 1/40 " for " 1/60 " in sub-clause (1) (c),
(c) "27 years, provided that the amount of pension in respect of the 27th year of service shall be reduced by one-third" for "40 years" in sub-clause (5),
(d) "person" for "former member of the Oireachtas" in sub-clause (8);
(4) the addition to clause 5 of the following sub-clauses:—
(10) The Trustees may pay to a widow
(a) whose marriage to her husband took place before he ceased to be a member, and
(b) whose husband was
(i) in receipt of a pension under this Scheme, or
(ii) a member after 1 December, 1960 and had not less than 8 years service as a member on the date of his death
a pension until her widowhood ceases not exceeding the greater of
(a) £250, or
(b) one-half of the pension payable to her husband under this Scheme or which would have been payable to him if he had ceased to be a member on the date of his death
together with an addition to such pension of £50 for each child under the appropriate age subject to the total amount so payable not exceeding the greater of
(a) £250, or
(b) the pension payable to her husband under this Scheme or which would have been payable to him if he had ceased to be a member on the date of his death.
(11) Where a widow was married to a member for less than a year prior to the date of his death and where there are no children of the marriage, the Trustees may, at their discretion, direct that no pension be paid to her.
(12) No pension shall be paid to a widow for any period during which she is a member but on her ceasing to be a member and provided she has not remarried payment of a pension under sub-clause (10) of this clause may commence to be resumed with effect from the date on which it would be payable if it were a pension under sub-clause (1) of this clause, and continue for any period during which it would exceed the pension, if any, payable to her under sub-clause (1) of this clause but no pension under the aforestated sub-clause (1) shall be payable to her during such period.
(13) The Trustees may pay to each orphan whose parent was
(a) in receipt of a pension under this Scheme, or
(b) a member after 1 December, 1960 and had not less than 8 years service as a member on the date of his death
a pension of £100 up to the appropriate age subject to the pensions payable to the orphans of such parent not exceeding the greater of
(a) £250, or
(b) one-half of the pension payable to such parent under this Scheme or which would have been payable to him if he had ceased to be a member on the date of his death
and, where both parents have been members, the parent eligible for, if he had ceased to be a member on the date of his death, or in receipt of, the smaller pension shall be disregarded for the purposes of this sub-clause.
(5) The insertion of "or if an orphan is entitled to receive a pension under this Scheme" after "thereof" in clause 10.
(6) the renumbering of the existing clause 11 as 11 (1) and the insertion of a new sub-clause as follows:
(2) Any amendment of this Scheme made between 1 April and 30 June, 1968 shall apply with effect from 1 December, 1960 (except in the case of the amendment already made to sub-clause (4) of clause 5, in which case it shall apply with effect from 7 July, 1966) but no payment shall be made by virtue of such amendment with effect from a date earlier than 1 April, 1968.
During the passage of the Oireachtas (Allowances to Members) (Amendment) Bill, 1967, I undertook to introduce in the House, as soon as the Bill was passed, a motion enabling widows' and orphans' pensions to be granted under the Houses of the Oireachtas (Members) Pensions Scheme and also to provide for an improvement in the pensions payable to members themselves. This motion gives effect to these aims.
In brief, the proposals are as follows:
(i) the fraction of one-sixtieth of the parliamentary allowance will be increased by 50 per cent to one-fortieth for each year of service, with a maximum of two-thirds, for both current and future pensions;
(ii) the minimum period of service required for pension will be reduced from ten to eight years. Any person who ceased to be a member of either House after 1 December, 1960 with eight years of service but less than ten years, will benefit as well as persons ceasing membership after 1 April, 1968;
(iii) the widow and children of any member who died on or after 1st December, 1960 with at least eight years service will be eligible for a pension. A widow's pension will be one-half of her late husband's entitlement with a minimum of £250. The widow's pension will be increased by a flat amount of £50 a year for each child, subject generally to the total not exceeding the late member's entitlement;
(iv) provision is also made for the suspension and termination of widows' pensions in certain circumstances. I might add that no widow's pension will be payable unless marriage took place during or prior to membership of either House of the Oireachtas;
(v) orphans' pensions will be £100 per annum each, subject to the total not exceeding £250 or one-half of the late member's entitlement, whichever is the greater and the position of orphaned children of a deceased female member is also provided for;
(vi) finally, where the widow of a member or former member qualifies for a member's pension, she will be paid either her pension as a member or the widow's and children's pensions appropriate to her case, whichever is the greater.
As I indicated when the Bill was before the House, a subsidy to cover the costs of the scheme over and above those which can be met from the Members' contributions is required. It is estimated that the improvements will increase the outgoings of the Fund by about £12,000 a year initially and it is proposed that the Exchequer will make a grant of £12,000 to the Fund this year. The total cost of the extra liabilities cannot be ascertained until they are examined by an actuary. It is proposed that this examination should take place at an early date.
The improved benefits in the scheme which I have outlined above will be payable with effect from 1st April, 1968.
