Dáil Éireann Debate, Tuesday - 22 March 2022
24. Deputy Brendan Smith asked the Minister for Social Protection the timescale for the Government response to the recommendations of the Pensions Commission with particular reference to an essential ending of forced retirement at 65 years of age; the consultations that have been carried out to date by her Department with relevant interest groups; and if she will make a statement on the matter. [14664/22]
Amharc ar fhreagraThe Pensions Commission was established in November 2020 to examine the sustainability of the State Pension system and the Social Insurance Fund, in fulfilment of a Programme for Government commitment. The Commission's Report was published on 7th October 2021. It established that the current State Pension system is not sustainable into the future and that changes are needed.
The Report takes account of an assessment of various analyses of population, labour force and expenditure projections; and an examination of international approaches. The Commission also undertook an extensive consultation process designed to encourage as many people as possible to have their say on sustainable State Pensions arrangements into the future. The submissions to the consultation are available on the Pensions Commission website at pensionscommission.gov.ie.
The Commission’s report set out a wide-range of recommendations in relation to the State Pension system and Social Insurance Fund, including recommending legislative provision to align retirement ages in employment contracts with the State Pension age.
Successive Governments have committed to supporting older peoples’ continued engagement in economic and social life, including in the National Positive Ageing Strategy (2013), the Report of the Interdepartmental Working Group on Fuller Working Lives (2016) and the Roadmap for Pensions Reform 2018 – 2023 (2018). Building on the work of these previous groups, the Pensions Commission supported measures to facilitate and encourage fuller working lives. The Commission also fully supported Government commitments to facilitate employees remaining at work past the prevalent contractual retirement age of 65 if they wish to.
The Government agreed in October 2021 that the Commission’s report and recommendations would be referred to the Joint Oireachtas Committee on Social Protection and also to the Commission on Taxation and Welfare for its views. That Joint Oireachtas Committee published its views on the 2nd February 2022. The Commission on Taxation and Welfare also submitted its views on the Pensions Commission’s PRSI related recommendations at the end of February. These various views will be considered carefully as part of our deliberations over the coming weeks.
In the interests both of older people and of future generations of older people, the Government intends to consider the comprehensive and far reaching recommendations in the Pensions Commission’s Report very carefully and holistically. My officials are currently examining each of the recommendations and in this regard are consulting across Government through the Cabinet Committee system. I think it is really important that we complete that work and get those views before reaching conclusions on any one recommendation such as the recommendation to align retirement ages in employment contracts with the State Pension age. In this regard, I intend to bring a recommended response and implementation plan to Government in April.
As the bedrock of the pension system in Ireland, the State Pension very effective at ensuring that our pensioners do not experience poverty. This Government is committed to ensuring that this remains the case for current pensioners, those nearing State Pension age and today’s young workers including those who are only starting their careers.
I hope this clarifies the matter for the Deputy.
