Dáil Éireann Debate, Tuesday - 24 July 2018
409. Deputy Robert Troy asked the Minister for Public Expenditure and Reform the expected changes to the public service retirement age; if the changes will come into force from the date on which they were announced or from the date they are signed in to law; and if he will make a statement on the matter. [33216/18]
Amharc ar fhreagraOn 5 December 2017, the Government decided to increase the compulsory retirement age to 70, for most public servants recruited prior to 1 April 2004. The majority of these public servants currently have a compulsory retirement age of 65.
Primary legislation is required for the new compulsory retirement age to be implemented and to that end, a Bill entitled the Public Service Superannuation (Age of Retirement) Bill 2018, was published on Monday 9 July and passed all stages in the Seanad on Tuesday 17 July. The Bill is being treated as a priority and I will be seeking an early date in the Dáil for further consideration of the Bill in the Autumn.
The main provisions of the Bill are that:
- The vast majority of public servants recruited prior to 1 April 2004 will have a new compulsory retirement age of 70;
- Those public servants will continue to accrue retirement benefits up to the new compulsory retirement age of 70, subject to a maximum of 40 years' service;
- The "uniformed pension fast accrual" group, i.e. Gardaí, Firefighters, Prison Officers and the members of the Permanent Defence Force, will be unaffected by these changes.
The new compulsory retirement age will not come into effect until the legislation is commenced. In order to make some accommodation for public servants who reach the age of 65 in the period between the Government Decision of 5 December and the commencement of the necessary legislation, the Government approved some limited interim arrangements which became effective from the date of the Government Decision. The interim arrangements (which have to respect the current statutory position of the compulsory retirement age of 65), through retire and re-hire, enable pre 2004 public servants who reach the age of 65 to remain in employment only until they reach the age of eligibility for the State Pension (Contributory), which is currently 66. In accordance with the existing statutory position, therefore, public servants who avail of the interim arrangements have retired and received their pension benefits.
The new compulsory retirement age of 70 will apply to affected public servants who, on the date of commencement of the legislation, have not already reached their current compulsory retirement age.
