Dáil Éireann Debate, Thursday - 23 March 2023
242. Deputy Peter Fitzpatrick asked the Tánaiste and Minister for Defence if, in lieu of forcing personnel who want to remain in the Defence Forces to retire on age grounds, he will consider a proposed fix of rehiring them under 2013 contracts; and if he will make a statement on the matter. [13558/23]
Amharc ar fhreagraMilitary life places unique demands on individuals and it is necessary that Defence Forces personnel are prepared to meet the challenges of all military operations. For this reason compulsory retirement ages for ranks in the Permanent Defence Force are considerably lower than in other employments.
The Public Service Pay Commission in their report on recruitment and retention in the Permanent Defence Force in 2019, included in their recommendations, the need to consider options to tackle barriers to extended participation in the Permanent Defence Force.
A joint civil/military review was subsequently completed in 2021. The Report of the Review Group made a number of recommendations for extended service limits across a number of ranks in the Defence Forces. This included extending the service limits to 50 years of age for all Privates and Corporals enlisted in the Permanent Defence Force on or after 1 January 1994. This recommendation was based on the advice of Military Management. It also took into consideration the finding from an adjudication of a claim which PDFORRA had taken though the Conciliation and Arbitration Scheme.
As current pension arrangements for personnel enlisted to the Permanent Defence Force on or after 1 January 1994, are based on date of entry to the Defence Forces, any proposals to amend the length of service requires the approval of the Minister for Public Expenditure, NDP Delivery and Reform, as there are impacts on accrued pension liabilities.
In December 2021, the Minister for Public Expenditure and Reform agreed to allow for an extended service limit, for Privates and Corporals, recruited post 1 January 1994, to serve beyond the 21 year service limit that existed before that date up to a revised service limit of 50 years of age, subject to them meeting certain criteria, including medical and fitness standards.
An interim arrangement was also agreed to allow for the continuance in service of Sergeants in the Permanent Defence Force who were due to be retired on age grounds at the end of 2022. Those Sergeants who were recruited since 1 January 1994 and would be due to retire on the basis of mandatory retirement age in 2022 and 2023, will not be required to do so until end-2024. The fast accrual pension terms will continue for those additional years.
Any changes in service limits or retirement ages must be in accordance with public sector pay and pension policy. The Public Service Pensions (Single Scheme and Other Provisions) Act 2012, provides that where a person has worked in a pensionable (non-Single Scheme) public service appointment in the 26 weeks immediately prior to re-appointment to that employment, they will not be a member of the single scheme but would retain their membership of their pre-existing public service pension scheme.
Members of the Permanent Defence Force have superannuation arrangements which allows them to accrue pension benefits over an accelerated shorter timeframe due to compensate for the fact that they have to retire at an age which is much younger than in other employments. There are arrangements in place for accelerated pension provisions, where pension and gratuity may be payable on retirement at age 50.
The Department of for Public Expenditure, NDP Delivery and Reform have established an Inter-Departmental Working Group to consider mandatory retirement ages and service limits for public service groups who have 'fast accrual' occupational pension arrangements. A number of meetings of this Working Group, of which the Department of Defence is a member, have taken place to date. The recommendations from the joint civil/military review of mandatory retirement ages of all ranks in the Permanent Defence Force are being considered as part of the work of this group.
There are clear staffing challenges across the Defence Forces. Compulsory retirement ages and service limits in the Defence Forces are one of the factors impacting manpower policy, which has to be balanced against the operational requirements of the Defence Forces.
Ongoing staffing challenges in the Defence Forces have been acknowledged and the Defence Forces are developing strategies to achieve increased recruitment and to address the current shortfall in numbers. My immediate focus is now on stabilising the staffing situation in the Defence Forces and thereafter in bringing the strength to the numbers required to meet the agreed level of ambition arising from the report of the Commission on the Defence Forces.
I have discussed this matter recently with the Minister for Public Expenditure, NDP Delivery and Reform. Options for interim measures pending the outcome of the work of the interdepartmental group are being considered.
