Tuesday, 12 November 2019

Questions (150)

Brendan Howlin


150. Deputy Brendan Howlin asked the Minister for Public Expenditure and Reform his views on whether there is an anomaly in the treatment of pensions of retired public servants taking up employment again in the public service and those who take up employment in the private sector; his plans to amend the Public Service Pensions (Single Scheme and Other Provisions) Act 2012 to address the anomaly; and if he will make a statement on the matter. [46546/19]

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Written answers (Question to Public)

The principle of abatement of a public service pension has always existed within the scheme rules of various public service pension schemes. Section 52(1) to 52(5) of the Public Service Pension (Single Scheme and Other Provisions) Act 2012 (the Single Scheme Act) extended abatement and provides that where a retired public servant, in receipt of a public service pension, is re-employed anywhere in the public service then no more of the pension when combined with the remuneration in the new job shall exceed the pensionable remuneration of the old job i.e. abatement shall apply.

It is important to note abatement is pro-rata and periodic i.e. account is taken of the work pattern and period of re-employment. The provision of abatement does not apply where an individual takes up employment in the private sector.

Overall, decisions taken by individuals to take up new public service positions after retirement are of course voluntary in nature. Abatement remains an important aspect of the Single Scheme Act.