The members of ARCOIreland remain deeply concerned at the confusion and uncertainty that continues to surround the provisions of the PUBLIC SERVICE PENSIONS (SINGLE SCHEME) AND REMUNERATION BILL 2011. The Executive Committee of ARCOIreland has held a number of special meetings to discuss the implications for its members of the proposals contained in the Bill. The Bill has the potential to radically affect former members of the Defence Forces who are currently employed in other sectors of the Public Service and those who are contemplating seeking employment in the wider Public Service now and in the future. As we currently understand, the Bill when it becomes law will permit the retrospective abatement of pensions earned while serving in the Defence Forces to which people have property rights.
These pensions have already been reduced as a result of current Government policies, however it is now intended to effectively wipe out these existing pension rights for those who have moved to the Public Sector and are providing valuable skills in many specialist and general areas of the sector. The Association contrasts the treatment of the recent relatively modest reductions to the pensions of senior public servants (20% reduction for those with pensions over 100,000 euro per year.) and the intention to impose a one hundred percent reduction of pension entitlements for our members. ARCOIreland has recently written to Mr. Brendan Howlin, T.D. in relation to the linking of future pension increases to the CPI. The Association is opposed to these outright reductions and the CPI issue and is currently endeavouring to represent these views to the appropriate channels.
Since the formation of employment and pension policies for the Defence Forces it has been a factor of these policies that members of the Defence Forces have relatively short careers and have been provided with pension arrangements to suit these career policies. While modifications and adjustments have occurred in pension terms over the last decade and a half the underlying policy principal of a short career and earlier pension entitlements have been recognised and remain in place. Officers of the Permanent Defence Force are actively encouraged and are indeed required to leave the service at an early age. They cannot therefore be equated with Public Servants who can serve until at least age 65 and in some cases beyond. As most will still have young families to rear, mortgages to service etc., they cannot afford to fully retire. They must therefore, by necessity and not simply by choice, seek out a second career while they are still considered employable.
ARCOIreland has been in consultation with a number of Public Service organisations including RACO and PDFORRA who have similar concerns. ARCOIreland is also seeking specific legal advice on the retrospective aspect of this legislation. We are grateful to RACO for providing ARCOIreland with their legal opinion on these areas of concern, a copy of which we have uploaded here with their agreement.
ARCOIreland has completed a survey to quantify those who may be affected and is aware that it will impact on a significant number of retired officers. ARCOIreland is also concerned that a number of other categories, such as the widows of retired officers who are in Public Service employment, may be drawn into the net.
ARCOIreland is seeking a meeting with the Minister for Justice, Equality and Defence, Mr. Alan Shatter, T.D., and with other interlocutors to put forward and argue its case. Based on the outcome of these contacts it will consider if it is appropriate to make a submission at the Committee Stage of the Bill and what further steps need to be taken.
