Dáil Éireann Debate, Tuesday - 15 January 2019
274. Deputy Fiona O'Loughlin asked the Minister for Public Expenditure and Reform the situation regarding public service employees who are on or about to participate in the interim arrangements of a fixed one year contract and may want to avail of the extension to 70 years of age under the Public Service Superannuation (Age of Retirement) Act 2018; and if he will make a statement on the matter. [1083/19]
Amharc ar fhreagra275. Deputy Fiona O'Loughlin asked the Minister for Public Expenditure and Reform if a person (details supplied) can be considered for the extended retirement age in the Civil Service. [1084/19]
Amharc ar fhreagra276. Deputy Fiona O'Loughlin asked the Minister for Public Expenditure and Reform the number of persons in the Civil Service availing of the one year extension before retirement; and if he will make a statement on the matter. [1085/19]
Amharc ar fhreagraI propose to take Questions Nos. 274 to 276, inclusive, together.
On 5 December 2017, the Government made a decision to increase the compulsory retirement age to 70, for public servants recruited prior to 1 April 2004. Primary legislation was necessary to bring this decision into effect and the compulsory retirement age of 65 continued to apply until the enactment of the Public Service Superannuation (Age of Retirement) Act 2018 on 26 December 2018. Under the Act, any relevant public servant who had not already reached his/her compulsory retirement age before 26 December 2018 now has a new compulsory retirement age of 70.
Prior to the enactment of the Public Service Superannuation (Age of Retirement) Act 2018 on 26 December 2018, the compulsory retirement age of 65 continued to apply and pre-2004 public servants reaching that age were required to retire. In recognition of the fact that there would be an unavoidable delay between the Government Decision to amend the compulsory retirement age and the enactment of the legislation necessary to bring that change into effect, I introduced temporary arrangements for those facing compulsory retirement in the interim. These arrangements enabled public servants who reached the age of 65 to retire as required but to be rehired for 1 year until they reach the age of eligibility for the State pension (66). Enactment of the legislation has no effect on those public servants who are availing of the interim arrangements. The terms of their fixed term contracts will continue to apply and they will cease working at age 66 as previously provided. In the Civil Service, my understanding is that there are approximately 150 people who have availed of this arrangement.
The purpose of the interim arrangements was to offer a limited, temporary solution to individuals who reached the age of 65 before the commencement of the necessary legislation. It was clearly indicated that availing of the arrangements did not confer any rights to any new arrangement that might be provided for in future legislation and I understand that the arrangements were welcomed in that context. If the interim arrangements had not existed, individuals in this position would have had to cease working at age 65. Public servants who are currently availing of the interim arrangements have retired (at 65), received lump sums and are receiving pension (subject to abatement). They are thus in a very different position to public servants who had not yet reached the age of 65 before the enactment of the legislation.
The necessity for people reaching the age of 65 to enter the interim arrangements ceased with effect from 26 December 2018. Any relevant public servant reaching the age of 65 on or after that date has a new compulsory retirement age of 70 and can choose to remain at work up to that age, on current terms and conditions.
