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Dublin: 8 °C Wednesday 22 May, 2013

Pension changes to impact former taoisigh and those on “Rolls Royce” salaries

A proposed new scheme will benefit lower paid public servants, says Minister Brendan Howlin.

Minister Brendan Howlin
Minister Brendan Howlin
Image: Oireachtas.ie

FORMER TAOISIGH WOULD  see their pensions cut under new proposed pension reforms.

The likes of Bertie Ahern and Brian Cowen are currently assessed separately for their pensions based on two salaries – one for being Taoiseach and one for being a TD. Under these changes these pensions will now be assessed as one, meaning that exemptions and deductions will apply to an overall figure.

Other holders of multiple pensions will also be affected.

Minister for Public Expenditure and Reform Brendan Howlin has told the Oireachtas Committee on Public Expenditure and Reform that the proposed new scheme holds benefits for lower paid civil servants, more so than those at the higher end of the pay scale.

He said that those who currently earn “Rolls Royce” salaries will feel the impact of the reforms. Pensions will now be calculated based on each year worked, rather than salary at the time of retirement.

Fine Gael TD Olivia Mitchell said that it would put an end to the promotion of people late in their employment, while Sinn Féin’s Mary Lou McDonald welcomed the news that multiple salaries are to be assessed as a lump sum.

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Comments (24 Comments)

  • How about holding back politicians pensions until they reach retirement age like the rest of us?

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  • When you don’t have a job any more you are unemployed, when you don’t get re-elected you are retired. Tremendous.

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  • Hell hath frozen over….. Politicians’ pensions are in the sights.

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  • Is it still true that if an Irish politician becomes an EU commissioner they are entitled to draw down their Irish pension while ‘working’ in Europe?

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  • about time should go astep further and stop the pension till they reach the age of 66-68…… soft day

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  • Will Enda still get his teachers pension on top of lots of others? Sickening how the politicians have their hands so deep in the cookie jar.

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    • The answer is a simple yes. Maybe we should look into a system like they have in U.S. where you can only work for one part of the government at a any one time, which would mean only one pension ever.

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  • PR pure and simple. All politicians know well they are outrageously overpaid, getting perks and back handers that you would be executed for back when our patriots fought and died for to help us get our country back.

    If they were honest, this whole show would have stopped decades ago. Its a system that protects the top tier, where even if a young honest politician joins a party, by the time they put a few years behind them, they are as corrupt and thieving as the people they replace.

    We are a nation in a pretty unique situation where we have the people, the will and the resources to be successful. But on the whole we are mostly a very ignorant nation of people (a few red thumbs..). We havent a clue about how “money’, paper debt is created and thus will be a slave to the creators and lenders of it.
    Our own army and police protect the very people who we should be protected from.
    Riots and government coups around the world have been started for far less important things.
    10,000s of millions have been stolen from us and our childern and childern’s childern will be paying this off for the rest of their lives due to our inaction.

    Ok, coherent “rant” over, tea break finished.

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  • A small bit done, a whole lot more to do.

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  • mel 28/06/12 #

    More softening up of the electorate making it look like they are doing something to politicians pensions
    Get ready for a really tough budget when you see this crap going on

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  • Some neck on Howlin. Bit of a pot calling the kettle black. What about you and your ministerial pals cushty pay packets and unvouched expenses? Sort that out too.

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  • I bet this “reform” will fall by the wayside, owing to “possible” civil law actions by the very people with the “Rolls Royce” salaries & pensions. We have the position that a 50 year old un-elected politician gets a state pension, they can also work at the same time (bet they don’t have problems finding a job), while companies are going out of business as the 50 year owner who has hundreds of thousands tied up in a pension can’t get access to the money to save the business until they are 65. If this is not corruption or at least “not in the public interest”, I don’t know what is.

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  • Another plan that will never be followed through. What about the billion euro going to Anglo bond holders this week? Now there’s real news!

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  • Good job Mr Howlin

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  • In the interest of transparency, please put a figure to the savings Minister Howlin or will the saving be redistributed among-st the ‘lower paid civil servants’ thus no actual saving in real terms. Good sound bite, in all probability no substance, like most of our politics across the spectrum. In my opinion our failed politicians and civil servants, should be put on the same allowances as social welfare recipients. Nothing more nothing less they had their time in the limelight and are all spectacular failures. The last decent true politicians this country had was Garret Fitzgerald (R.I.P) and until we get politicians of his caliber, we would be better off to hand the whole lot over to Angela.

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  • children, not childern

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