Section 142 of the Local Government Act 2001 and the Local Authority Members (Gratuity) Regulations 2002 to 2006 provide that, subject to certain conditions, a councillor who ceases to be a member of a local authority is entitled to receive a gratuity payment at, or after, the age of 50. This is regardless of whether the retirement is voluntary, as a result of failure to be re-elected or for any other reason, such as being elected to be a member of Dáil Éireann following the abolition of the dual mandate in 2004.
Where a person ceases to be a member of a local authority before age 50, the gratuity will be paid when the person reaches age 50. The Regulations allow the gratuity to be paid before age 50 where retirement is due to permanent infirmity or where the member dies in office.
The representational payment to councillor's is currently €17,359 per annum with effect from 1 September 2019. The gratuity is calculated as 4/20ths of a councillor’s representational payment for each year of service, from 4 May 2000, subject to a maximum twenty years’ service. The gratuity amount is calculated based on the amount of the representational payment either at the time of retirement or when the former member reaches the qualifying age of 50.