Dáil Éireann Debate, Tuesday - 22 September 2020
43. Deputy Brendan Smith asked the Minister for Social Protection her plans to introduce a total contributions approach in relation to the assessment of a person’s contributory pension entitlements; and if she will make a statement on the matter. [25066/20]
Amharc ar fhreagraThe Programme for Government “Our Shared Future” commits to the introduction of a Total Contributions Approach (TCA). This approach, when it is introduced, is intended to be a fairer and more transparent system aligning a person’s contributory pension more closely with the contributions they make over their working life. It is anticipated that the approach will include provision for people who take time off work to undertake caring duties. The public policy and social issues in relation to funding a sustainable and adequate State pension system are complex. The Programme for Government also commits to the establishment of a Commission on Pensions to examine a range of issues including contributions, calculation methods, sustainability, eligibility and intergenerational fairness. The Terms of Reference for the Commission on Pensions are currently being developed and options for its membership are being considered. Proposals will be brought to Government in that regard as soon as possible. Once it has concluded its deliberations, the Commission will report to Government by June of next year.
This Government is acutely conscious of the need to consider the sustainability of the State’s finances. The State Pension is the bedrock of the pension system in Ireland. It is extremely effective at ensuring that our pensioners do not experience poverty. The Government is committed to ensuring that this remains the case.
I hope this clarifies the matter for the Deputy.
