Vol. 513 No. 2
83 Ms Shortall asked the Minister for Finance the reason a public sector worker's superannuation contributions are lost on the death of the worker if he or she does not have a spouse; the reason these do not become part of the deceased person's estate; and if he will make a statement on the matter. [2094/00]
Public sector superannuation terms provide for a package of benefits, including pension and lump sum on retirement, death gratuity on death in service and spouses and children's pensions where the member predeceases the spouse or child.
I assume that the Deputy is referring to the fact that employee contributions under the spouse's and children's scheme are not refunded where, for example, the member is single at retirement or death in service. A single employee would, if retiring, qualify for pension and lump sum or, if the employee dies in service, a death gratuity would be payable to the estate. As regards the non-refund of contributions in these circumstances, the spouse's and children's scheme was established on an actuarial basis, with members' contributions being intended to meet one half of the cost. The actuarial costing took account of the fact that contributions are not refunded to single people. The scheme operates on the insurance principle, with all members contributing in order to provide pensions in respect of those members who on death leave eligible spouses and-or children.
