1. Public Service Pensions in Ireland
Presentation by
Des O’Leary
Department of Finance (Ireland)
“Social Rights and Pensions for Civil Servants in some EU Member States” Vilnius, 9 November 2006

2. Public Service Schemes Origins
19th Century
Superannuation Acts still provide basis
Legislation and industrial relations agreements since the foundation of the State

3. Structures No single all embracing Scheme
Each Sector has its own Scheme –Enabled by legislation
Dept of Finance – overall responsibility – exercised through
Policy
Approval of individual schemes and changes - Model Scheme template
Funding

4. Three Strands Exchequer funded (Direct)
Health, Education, Civil Service, Security, Non Commercial State Bodies
Local Authorities (Local Gov Fund)
Commercial State Bodies (Funded Schemes)

5. Funding “Pay as you Go” basis – Voted National Pension Reserve Fund
Exchequer
Exchequer via Local Government Fund
National Pension Reserve Fund
“Funded” Schemes
Commercial State Bodies

6. Annual Costs(2006) Exchequer funded €1.58bn Local Authorities € 0.42bn
Total Estimate € 2.0bn

7. Pay and Pensions (Exchequer Funded)
(IV) 2006 Exchequer Pay & Pensions Bill
Expenditure by Sector
Health
41%
Education
32%
Civil Service
13%
Security
11%
Non-Comm. State
Bodies 3%
Non-Comm. State Bodies

8. Public service Numbers
Sector
Numbers
Exchequer Paid
257,013
Local Authority
33,000
Commercial Bodies
45,252
Total
335,565

9. (XI) Sectoral Breakdown of Exchequer Funded Public
Overview
(XI) Sectoral Breakdown of Exchequer Funded Public
Service Numbers 2006
Non-Comm. State
Bodies, 4.42%
Civil Service,
14.47%
Security, 9.61%
Education,
32.00%
Health, 39.49%
Health
Education
Civil Service
Security
Non-Comm. State Bodies

10. Model Scheme Defined Benefit Scheme Ancillary Benefits
Integrated with Social Insurance (1995)
Standard Accrual Generally
Minimum & Maximum Retirement Date
Remuneration and Service Calculations
Pro Rata
Integration
Parity with Pay
Ability to purchase & transfer Service
Abatement

11. How Change is managed and effected
Policy Review
Partnership Process
Conciliation and Arbitration Process
Legislation and Administrative Authority

12. Recent Developments Pension Commission Compulsory Retirement Age
General Review/Reform
Compulsory Retirement Age
Employment and Equality Legislation
Public Service Management Act
Ongoing Review

13. Cost Projections
Year €bn %GDP