Dáil Éireann Debate, Monday - 9 September 2024
76. Deputy Michael Healy-Rae asked the Minister for the Environment, Climate and Communications if a matter regarding pensions will be addressed (details supplied); the reason they are being decreased unfairly; and if he will make a statement on the matter. [33899/24]
Amharc ar fhreagra87. Deputy Donnchadh Ó Laoghaire asked the Minister for the Environment, Climate and Communications when the revaluation of deferred benefits (details supplied) will be completed; and if he will make a statement on the matter. [34121/24]
Amharc ar fhreagra99. Deputy Michael Lowry asked the Minister for the Environment, Climate and Communications if he is aware of the ongoing issues faced by An Post retired pensioners regarding their pensions and pensionable entitlements, particularly those protected under Section 46 of the Post and Telecommunications Act 1983; the measures he is taking to rectify these issues; and if he will make a statement on the matter. [34667/24]
Amharc ar fhreagra100. Deputy Michael Lowry asked the Minister for the Environment, Climate and Communications if he can address the significant delays in the approval and payment of pension increases for An Post retired pensioners, which require Ministerial approval and have resulted in unacceptable delays, such as those experienced in 2022 and 2023; the measures he is taking to rectify these issues; and if he will make a statement on the matter. [34668/24]
Amharc ar fhreagra101. Deputy Michael Lowry asked the Minister for the Environment, Climate and Communications if he will take immediate action to review and rectify the impact of the 2013 ‘pension accord’, which has resulted in reduced pensionable entitlements, reduced pension gratuities/lump sums upon retirement, and the loss of parity of pension increases with pay increases for pre-1984 employees; if he will ensure that the promised review of the ‘pension accord’, which was due in 2023, is conducted without further delay, given the substantial surplus of €0.7 billion in An Post’s pension funds at the end of 2022; and if he will make a statement on the matter. [34670/24]
Amharc ar fhreagra107. Deputy Paul Murphy asked the Minister for the Environment, Climate and Communications if he has now approved the agreed increase in payments for the 7,000 An Post pensioners. [34743/24]
Amharc ar fhreagraI propose to take Questions Nos. 76, 87, 99 to 101, inclusive, and 107 together.
In relation to the revaluation of deferred benefits under the An Post Superannuation Scheme, my Department provided a response to the relevant Department on 12th August 2024, following consultation with An Post.
Under section 46 of the Postal and Telecommunications Services Act 1983, the Minister for the Environment, Climate and Communications, with the concurrence of the Minister for Public Expenditure, NDP Delivery and Reform, approves any superannuation schemes submitted by An Post. The operation of the schemes, including the ‘pension accord’, is a matter between the management of An Post, staff representatives and the trustees of the schemes.
The 1983 Act requires that, for civil servants who transferred to An Post on ‘vesting day’, which was 1 January 1984, An Post’s pension scheme must provide for not less favourable conditions than those to which the members of staff were entitled immediately before the vesting day.
Section 46 sets a minimum level of parity between the An Post Scheme and the scheme that applied to staff members of the Department of Posts and Telegraphs as it stood on the day before vesting day.
Section 46 does not provide that the conditions in the An Post Scheme must continue to match any subsequent improvement in pension conditions for the award of pension increases in the civil service; it does not give rise to an entitlement to pension increases other than those granted in accordance with the An Post Superannuation Scheme rules.
Prior to vesting day, any increases to pensions in payment were discretionary. They were awarded at the discretion of the Minister for Finance. The rules of the Scheme accurately reflect the pre-vesting day discretionary nature of pension increases in the public sector. The pension increase rule has remained unaltered since the commencement of the Scheme.
In accordance with the relevant Code of Practice for the Governance of State Bodies , An Post must seek Ministerial approval to increase pensions and deferred pensions for members of the An Post superannuation scheme. As per Circular 16/2021, all such proposals require NewERA’s views, as well as a business case setting out the strategic, policy and financial rationale for the proposed increase. Circular 16/2021 states that pension approval requests should be submitted for approval well in advance of any decision to implement changes in acknowledgement of the necessary processes that must be completed and in order to ensure that pension increases are not unduly delayed. It should be recognised that the time taken for the pension approval process is necessary to ensure that robust governance procedures are in place.
On 21 June 2024, An Post wrote to my Department seeking approval to a 2% increase to pensions in payment and deferred pensions from 1st January 2024. Consideration of the consent request is well advanced and a report from NewERA has been received. My Department is now expediting consideration of the matter. It is not possible, at this point, to set out the specific timeframe within which the decision-making process will be concluded by both shareholding Ministers.
