Dáil Éireann Debate, Tuesday - 15 April 2014
506. Deputy Ann Phelan asked the Minister for Defence the status of negotiations with PDFORRA on its claim for a review of the maximum service of privates and corporals who enlisted post 1 January 1994; and if he will make a statement on the matter. [17625/14]
View answer507. Deputy Ann Phelan asked the Minister for Defence if allowing fully trained personnel to leave the PDF after only 21 years is inefficient use of resources; and if he will make a statement on the matter. [17626/14]
View answer508. Deputy Ann Phelan asked the Minister for Defence if personnel recruited post 1994 face a disadvantage in comparison to those members recruited pre-1994 in terms of the gratuity payment, pension arrangements and promotional opportunities; and if he will make a statement on the matter. [17627/14]
View answerI propose to take Questions Nos. 506 to 508, inclusive, together.
The unsatisfactory age and fitness profile of the Permanent Defence Force (PDF) was an issue of serious concern during the 1990s and was the subject of severe criticism by a series of external reports, mainly Price Waterhouse Consultants and the Efficiency Audit Group (EAG). One of the key areas identified for urgent action by the EAG was the development of a manpower policy with an emphasis on lowering the age profile of PDF personnel. The EAG's report was accepted by Government in 1995.
In an effort to alleviate the situation, the Government had already decided in 1993 to enlist personnel on a five year contract basis, following consultation with Permanent Defence Force Other Ranks Representative Association (PDFORRA). In 1997 agreement was reached with PDFORRA on a new manpower policy for the Defence Forces. This policy, applying to personnel enlisted after 1 January 1994, provided that service for Private Soldiers would initially be for five years with the option to be extended to a maximum of twelve years, subject to meeting standards of medical and physical fitness and conduct. Longer periods of service were envisaged for Non Commissioned Officers.
In 2004 PDFORRA submitted a claim under the Conciliation and Arbitration Scheme for a further review of the terms of service applying to personnel enlisting in the PDF after 1 January, 1994. A set of criteria was agreed with PDFORRA to provide longer careers for those who enlisted post 1 January 1994 while continuing to address the Government's objective of having an appropriate age profile to meet the challenges of a modern Defence Forces.
The criteria require that any person re-engaging after 12 years service must be able to continue to operate at their current level both at home and overseas on an ongoing basis. Re-engagement is subject to the individual soldier meeting specified criteria in regard to physical fitness, medical category, successful completion of military courses of instruction, service overseas and conduct ratings.
The maximum service period for these personnel is as follows:-
- Enlisted Personnel, up to and including the rank of Corporal (and equivalent Naval Service rank), may not serve beyond 21 years service.
- Enlisted Personnel, in the rank of Sergeant (and equivalent Naval Service rank), may be permitted to continue in service up to the age of fifty years.
- Enlisted Personnel in all higher ranks may serve to the age of fifty-six.
With the approach of 2015 the first effects of the agreement, whereby Privates and Corporals may not serve beyond 21 years, will be felt by PDF members in those ranks. A claim has been received from PDFORRA for a further review in relation to this matter. In accordance with normal procedures the Association's claim is being dealt with under the Conciliation and Arbitration Scheme for members of the PDF. As discussions under the Scheme are confidential to the parties involved it would not be appropriate for me to comment on the matter at this time, other than to emphasise that in dealing with this issue the manpower and operational needs of the Defence Forces must be the primary consideration. It is intended to finalise negotiations with the Representative Association within the next few weeks.
Depending on an Enlisted Personnel's date of entry there are variations regarding periods of service, retirement ages and benefits, details of which are set out below.
- A person who enlisted in the PDF, as a General Service Recruit, before 1 January 1994 may be permitted to continue in service up to the age of sixty years.
- A person who enlisted in the PDF on or after 1 January 1994 may be permitted to continue in service up to the age of fifty years in the rank of Sergeant and up to the age of fifty-six in all higher ranks.
- Enlisted personnel, in the rank of Corporal or Private, who enlisted after 1 January 1994, may not serve beyond twenty-one years service.
Enlisted personnel who joined the PDF before April 2004 – including the current cohort recruited since January 1994 – have pension scheme terms that are regarded as among the most advantageous available in the Public Service generally. They are subject to the same pension scheme terms as their pre-January 1994 enlisted counterparts. However, as outlined above, they have different upper service limits depending on rank at discharge date. Their pension and gratuity are payable immediately on discharge after relatively short periods of service, and regardless of age. Their minimum qualifying service is 21 years for immediate pension and gratuity. Maximum retirement benefits under these legacy pre-April 2004 pension schemes are payable after 31 years’ qualifying service.
For those who joined the PDF on or after 1 April 2004 and before 1 January 2013, their pension arrangements are more in line with other Public Service pension schemes, e.g. benefits are based on total pensionable service and pensionable pay at retirement date. They have a 'minimum pension age' of 50, which means that pension and gratuity is not normally payable immediately on discharge unless the person serves to age 50. Where leaving before age 50, benefits are not payable immediately but are 'preserved' and payable from age 60.
For those joining the PDF from 1 January 2013 onwards, the new Public Service Single Pension Scheme applies. Retirement benefits under this Single Scheme are based on 'career average earnings' rather than on 'final salary'. For PDF personnel, their minimum pension age is 50 as already applies to those who joined since 1 April 2004. Where leaving the PDF before age 50, retirement benefits under the Single Scheme will be preserved and generally payable in line with, and linked to, future Social Welfare State Pension age (66 rising to age 68). Where compulsory retirement/discharge from the PDF (other than on medical grounds) is before the minimum pension age of 50 on Human Resource policy grounds, preserved benefits will, exceptionally, be payable from age 60.
The position in relation to promotional opportunities for enlisted personnel is that they are promoted to fill rank vacancies in the establishment as provided for in the Defence Force Regulation (CS4) which outlines the numerical establishments and ranks of the Army, Naval Service and Air Corps. In the five years 2009 to 2013 inclusive, a total of 1,239 enlisted personnel were promoted to higher Non Commissioned rank.
