Dáil Éireann Debate, Tuesday - 24 July 2018
410. Deputy Carol Nolan asked the Minister for Public Expenditure and Reform the measures he is putting in place to yield in whole or in part the pension claims of community employment supervisors in budget 2019 and to honour Labour Court Recommendations LCR 19293 and LCR 16000; and if he will make a statement on the matter. [33545/18]
Amharc ar fhreagraAn issue which has been under discussion by the Community Sector High Level Forum relates to community employment supervisors and assistant supervisors who have been seeking, through their union representatives, the allocation of Exchequer funding to implement a Labour Court recommendation relating to the provision of a pension scheme.
At the April 2017 meeting of the Forum, my Department outlined its intention to conduct a detailed scoping exercise in order to comprehensively examine and assess the full potential implications of the issues under consideration. In considering the particular matter referred to, regard must be had to the costs and precedent of such an arrangement were one to be created.
A meeting of the Forum took place on Thursday, 23 November 2017 where the findings of the scoping exercise were shared with members of the Forum. A follow up meeting to deal with technical questions arising from the exercise took place on Friday, 15 December 2017.
While CE supervisors and assistant supervisors represent only a very small part of the wider community and voluntary sector, any provision of State funding for such a scheme in respect of those employees could potentially give rise to claims for similar schemes on the part of those workers in the broader sector who are in an identical position to CE workers.
The detailed scoping exercise carried out by my Department clearly illustrated that this matter presents very significant issues for the Exchequer, with a potential cost to the State of between €188 million per annum and €347m depending on the size of the sector which is difficult to ascertain, in respect of funding to enable an employer pension contribution in State funded Community and Voluntary organisations. This excludes any provision for immediate ex-gratia lump sum payment of pension as sought, which could, depending on the size of the sector, entail a further Exchequer cost of up to €318 million.
As has been previously stated to this House it continues to be the position that state organisations are not the employer of the particular employees concerned and having regard to this position it is not possible for the State to provide funding for such a scheme. The employees in question are, or were, employees of private companies notwithstanding the fact that the companies concerned are, or were, in receipt of State funding.
