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Dáil Éireann debate -
Thursday, 22 Jun 2000

Vol. 521 No. 6

Written Answers. - Pension Provisions.

Nora Owen

Question:

115 Mrs. Owen asked the Minister for Social, Community and Family Affairs if, further to Parliamentary Questions Nos. 432 of 10 May 2000 and 294 of 30 May 2000, he will quantify the financial loss to private sector occupational pension scheme early leavers by the decision not to grant a statutory right to preservation and revaluation of pension benefits earned in respect of pre-1991 service. [17798/00]

My position on this issue is set out in my reply to Question No. 196 of 23 February 2000 and also the two other replies to which the Deputy refers.

While the figure requested by the Deputy is not available, I am satisfied that the Pensions Board acted on the basis of expert professional advice in expressing concern regarding the potential solvency implications for pension schemes if all pre-1991 service was revalued, and I remain committed to giving legislative effect to the Pensions Board recommendations on preservation and revaluation in the forthcoming Pensions Bill.

Pádraic McCormack

Question:

116 Mr. McCormack asked the Minister for Social, Community and Family Affairs the proposals he has to introduce a sliding scale whereby currently a widow with an average of 23.5 contributions qualifies for widow's pension and yet a widow with an average of less than 23.5 does not qualify in this regard; the plans he has for the introduction of a sliding scale so that a reduced pension could be paid to people with less average contributions; and if he will make a statement on the matter. [17828/00]

The widow(er)'s pension schemes recognise the particular financial difficulties that arise for people following the death of a spouse.

The qualifying conditions for the widow(er)'s contributory pension are already very flexible and make it relatively easy for a widow/er to qualify for a payment. For instance, to satisfy the yearly average conditions, a widow(er)'s entitlement may be based on either the full social insurance record or the record over the previous three or five years. A widow or widower may qualify on either his-her own or the late spouse's insurance record; in addition, social insurance contributions paid or credited under the National Health Insurance Acts since 1936 may be used to satisfy the requirement that 156 contributions are paid. In the circumstances, there are no plans at present to alter the qualifying conditions. However, the position will be kept under review.

A widow(er)'s non-contributory pension is available to those, without children, who do not qualify for a contributory pension. Those with children may qualify for the one-parent family payment. Both schemes are subject to a means test.

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