Press release
Minister Doherty launches Public Consultation on State Pension Reform
From Department of Social Protection
Published on
Last updated on
From Department of Social Protection
Published on
Last updated on
The Minister for Employment Affairs and Social Protection, Regina Doherty T.D., will, today, launch a public consultation on the State Pension (Contributory).The closing date for receipt of submissions to the consultation is 3rd September 2018.
The consultation will help to inform the design of a new Total Contributions Approach (TCA) to the State Pension (Contributory) from 2020. A TCA option is also being made available later this year, as an interim measure, for people who reached State Pension age after 1st September 2012.
To mark the launch of the consultation, the Department of Employment Affairs and Social Protection is holding a half day seminar today on the Total Contribution Approach for interested stakeholders. Representatives from a broad range of organisations will attend.
Minister Doherty said:
“Today I am launching a consultation to inform the design of the Total Contributions Approach to pensions that will be implemented for all new applicants for State Pensions (Contributory) from 2020 onwards. The approach, first announced in the 2010 National Pensions Framework, and furthered in the Government’s “Roadmap For Pension Reform 2018-2023” plan published earlier this year, requires consideration from both a policy and budgetary perspective and my Department is progressing this important work.
“This consultation process will allow all stakeholders an important opportunity to contribute to the design of the State Pension system that will be used in Ireland for decades to come. Following the 3rd September, when the TCA consultation process closes, a detailed report will be compiled on the proposals and observations made by those who engaged in the consultation. I will use these contributions to prepare my proposals to Government on the shape of the final scheme.
“The TCA reform is part of a broader process to improve pension outcomes as set out in the Roadmap for Pensions Reform, 2018-2023. Under the Roadmap, we guarantee the State Pension will remain the bedrock of the Irish pension system.”
The Minister continued: “In addition to the security of the State Pension, it is also very important to ensure that all employees are putting aside sufficient funds for their old age, so that they won’t face an income shock in retirement. The Government will establish an Automatic Enrolment system to enable employees who do not currently set aside personal retirement savings to do so. There will be a separate consultation later this year, on auto-enrolment, and I look forward to hearing from you on that issue in due course.”
Minister Doherty confirmed that the interim TCA option for people who reached pension age after 1st September 2012 would be legislated for later this year.
“The interim TCA option, for post-2012 pensioners, the details of which I announced in January, will be legislated for later this year. Shortly afterwards, my Department will write to pensioners who may benefit from this reform, informing them of the steps they need to follow, both to seek a re-assessment of their pension, and to claim the new HomeCaring Credits that are part of the new system. The first payments are expected to be made in the first quarter of next year, including arrears due from March 2018.
ENDS
Note for Editor
[The TCA consultation which runs from today, 28th May to 3rd September 2018 can be accessed online at the Department of Employment Affairs and Social Protection website www.welfare.ie/consultations.]
Stakeholders invited to participate in the Seminar on the Total Contributions Approach
| Active Ageing Partnership |
| Active Retirement Ireland |
| Age Action Ireland |
| Age and Opportunity |
| ALONE |
| Employers Organisations (via IBEC) |
| Family Carers Ireland |
| Irish Countrywomen’s Association (ICA) |
| Irish Farmers Association |
| Irish Senior Citizens' Parliament |
| National Association of Widows in Ireland |
| National Federation of Pensioners Association |
| National Women’s Council of Ireland |
| National Youth Council of Ireland |
| Pensions Council |
| Retired Workers Committee |
| Retirement Planning Council |
| Social Justice Ireland |
| Spunout |
| Trade Unions (via ICTU) |
| Youth Work Ireland |