Dáil Éireann díospóireacht -
Tuesday, 9 Jul 1991

Vol. 410 No. 6

Written Answers. - County Waterford Pensioner's Entitlement.

Brian O'Shea

Ceist:

69 Mr. O'Shea asked the Minister for Energy if he will review the pension entitlement of a person (details supplied) in County Waterford who lost out financially in relation to his pension on the transfer from the Department of Forestry to Coillte Teoranta in view of the fact that he retired on health grounds after 40 years service on 14 December 1984 but did not reach age 65 until 6 July 1990 which was after the vesting date of 1 January 1989 when the agreement, that all pensioners retiring after the vesting day would have their pensions paid by Coillte Teoranta, came into force.

Minister for Energy (Mr. Molloy)

There is no difference in the pension scheme operated by Coillte Teoranta in respect of pensioners who retired on or after 1 January 1989 and the pension scheme operated by the Forest Service of my Department in respect of pensioners who retired before that date.

Up to 1970 retiring forestry workers were only entitled to a pension under the Social Welfare Acts. In 1970 a non-contributory pension scheme for non-established State employees was introduced to supplement their social welfare pensions. The forestry pension is co-ordinated with the social welfare pension so that, in the case of a person with forty years service, the recipients combined income from the State forestry pension and the social welfare pension schemes should in general be equivalent to half his income prior to retirement.

The person concerned retired in 1984 on the grounds of ill-health and his initial forestry pension was co-ordinated with the appropriate rate of social welfare disability payable on his last day of paid service. When he received the contributory old age pension in July 1990, which is much higher than the disability rate, his forestry pension had to be reassessed and was reduced downwards to take account of the additional amount payable from the Department of Social Welfare. When the amounts of the two pensions he is at present in receipt of are combined they should equate approximately to the amounts he was receiving from disability benefit and the forestry pension amount payable prior to the reduction in his forestry pension.

The person's forestry pension is at present being revised upwards under the normal revision of pensions and he will shortly receive his up-to-date pension together with a small amount of arrears. His pension will continue to increase in line with any relevant future pay increases.