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Pension Provisions

Dáil Éireann Debate, Thursday - 8 March 2012

Thursday, 8 March 2012

Ceisteanna (20)

Dessie Ellis

Ceist:

18 Deputy Dessie Ellis asked the Minister for the Environment, Community and Local Government his views on the amount of pension and lump sum payments made to city managers; and if he will make a statement on the matter. [13082/12]

Amharc ar fhreagra

Freagraí scríofa

Article 78 of the Local Government (Superannuation) (Consolidation) Scheme 1998-2007 deals with the pension entitlements of city and county managers. Under the existing arrangements a manager is entitled to maximum pension equal to half pensionable remuneration and a maximum retirement lump sum of one and a half times pensionable remuneration. A manager may also be entitled to up to 10 added years and a severance payment of up to half annual salary. The provisions in terms of added years and severance reflect the fixed term contract nature of city and county manager posts.

My Department has examined the new pension terms for secretaries general to assess how they apply to city and county managers. The implementation of new pension terms for managers will require legislation. In this regard, I will consult with my colleague the Minister for Public Expenditure and Reform in the coming weeks before the precise details of proposed legislative amendments are finalised. While I acknowledge that a review of the existing terms is required and, as I am indicating this is at an advanced stage, I wish to acknowledge the critical role city and county managers have played in delivering savings of over €735 million and staff reductions of 7,500 — equivalent to a 20% reduction — since 2008.

In this regard, city and county managers are committed to pursuing the reform agenda intensively in 2012 and have established a dedicated Office to drive this work. In particular, the Office is co-ordinating the approach to implementation of the Local Government Efficiency Review Group recommendations including in relation to staff reductions and shared services developments.

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