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Dáil Éireann debate -
Wednesday, 30 Jun 1999

Vol. 507 No. 3

Written Answers. - Pension Provisions.

Richard Bruton

Question:

196 Mr. R. Bruton asked the Minister for Education and Science if his attention has been drawn to the fact that the long service increment for principals is payable without application and without additional duties; and if it will be applied equally to all pensioners in accordance with precedent. [16885/99]

I am aware that the payment referred to by the Deputy is payable on the basis of service and without the need for an application. The position is that it was agreed between the parties to the PCW agreement that this payment would be an allowance rather than an increment in salary.

In accordance with the long-standing practice of my Department, the benefits of increases in salary are reflected in the pensions of all retired teachers and the benefits of allowances are reflected in the pensions of retired teachers who held those allowances during service. Since the payment is an allowance, it is not payable in the pensions of teachers who retired prior to the date from which the allowance was introduced, 1 August 1996.
It was also agreed between the parties to the PCW Agreement that the payment of the long service allowance would apply during the period of the early retirement scheme and that the early retirement scheme would operate on a pilot basis pending review in the light of the report of the Commission on Public Service Pensions. It is expected that the commission will report later this year. The early retirement scheme for teachers and the payment of the long service allowance will be reviewed at that time.

Richard Bruton

Question:

197 Mr. R. Bruton asked the Minister for Education and Science if his attention has been drawn to the fact that the new rating system for the principal's allowance is not been applied equally to retired principals breaching the long established practice dating back to 1973 that they will have parity of entitlements with those currently retiring. [16887/99]

I am aware that the revised scales of the principals' and deputy principals' allowances are not payable to teachers who retired prior to 1 September 1996, the date from which it was agreed that the revised scales would be effective.

The amount of a principal's or deputy principal's allowance is determined by a scale which is related to the size of school involved. With effect from 1 September 1996, the basis for payment has been changed from a system based on numbers of pupils enrolled to a system based on numbers of teachers employed; the scale of payments has also been extended with the effect of increasing the maximum allowance payable.

Any increase in the principal's or deputy principal's allowance which arises due to the restructuring of the scale is payable only to retired teachers who have received an increase in pay as a result of holding the scale point in question during service. An increase arising from the restructuring of the scale is not payable, therefore, to teachers who retired prior to 1 September 1996. This is in line with the longstanding practice that the scale of an allowance payable is determined at the date of retirement and that the retired teacher will continue to receive the benefit of the scale reached at retirement irrespective of whether enrolments in the school fall or rise after retirement.

There is no practice in my Department which decrees that retired principals will have "parity of entitlements" with those currently retiring. Parity in the case of teachers has always involved a distinction between incremental salary and allowances. The long-standing practice of my Department, dating back to at least 1968, is that the benefits of increases in salary are reflected in the pensions of all retired teachers and that the benefits of allowances are reflected in the pensions of retired teachers who held those allowances during service.

I met a representative group of principal teachers recently and I am currently considering the points put to me at that meeting.
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