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Dáil
‹ Ceisteanna—Questions. Oral Answers. - Ministerial Pensions.

Ministerial pensions

Summary

The Minister said he would not introduce legislation to change the 1938 arrangement allowing former ministers to draw pensions alongside parliamentary salaries, noting earlier reviews had not recommended a change. Deputies challenged the arrangement and raised related questions about pension eligibility, payments alongside other public incomes, and reform of Members’ pay and conditions. The Minister said an independent review body’s full report was expected during the year, after which any necessary action could be considered.

asked the Minister for Finance if it is intended to end the practice of paying ministerial pensions to persons who are already in receipt of Dáil, European Parliament or judicial salaries; if it is intended to introduce any other modification to the ministerial pensions scheme; and if he will make a statement on the matter.

Comment on this

I do not propose to promote legislation to modify the pension terms of ministerial office-holders. The arrangement under which members of the Oireachtas or of the European Parliament who cease to be ministerial office-holders but draw their ministerial pensions in addition to their parliamentary allowances was made by legislation, that is, in the Ministerial and Parliamentary Office Act, 1938, following acceptance of the relevant recommendations of the Committee of Inquiry into ministerial and other salaries, etc. Serving office-holders do not receive pensions in respect of offices which they previously held. The Review Body on Higher Remuneration in the public sector, which is an independent body has, in its reports of 1972 and 1979, taken the level of all benefits available, including superannuation, and the conditions under which they are paid into account in making recommendations on the remuneration of office-holders. I have no doubt that they will again have regard to the superannuation provisions of office-holders in the course of their present review.

Comment on this

Is the Minister not aware of the grave public concern about the fact that former ministerial office holders who are still Members of the Oireachtas and who have Oireachtas salaries also receive pensions for their previous ministerial office? Does he not think that 50 years after the introduction of the Ministerial and Parliamentary Offices Act, 1938, it is now time that this procedure was reviewed particularly in a time of such grave economic stringency when the Minister is asking everybody to tighten their belts?

Comment on this

As I have said in my reply, this has been in operation since 1938. It was taken into account in 1972 and 1979 by the review bodies and they made no such recommendation as outlined by the Deputy.

Comment on this

Does the Minister accept that a proposal along the lines suggested in the question to modify or abolish pensions payable to people already in other useful employment would be a far more significant political gesture than his recent decision to defer the payment of the 15 per cent increase to people who are in single job positions?

Comment on this

Could I ask the Minister——

Comment on this

Is it not in order for the Minister to answer one question before proceeding to the next?

Comment on this
Seán Treacy An Ceann Comhairle Independent

I cannot compel anyone to answer questions in this House.

Comment on this

The Minister refused to answer it.

Comment on this

No, I did not refuse to answer it.

Comment on this

I waited for some time before getting up to ask my question.

Comment on this

I am sorry for delaying the House. As far as the 15 per cent deferral is concerned, that affects dual office holders also and not just single office holders. Also this was only an interim report of the review body. We will await the outcome of their full report which will deal with levels of pay, pension, remuneration and conditions generally.

Comment on this

Am I to take it from the Minister's reply that the Government do not propose to facilitate the passage of the Oireachtas and Ministerial Pensions Bill, 1986, referred to in item 14 on today's Order Paper, when it is brought forward by the Progressive Democrats again in this present Dáil as it was in the past Dáil? If it is the Government's intention to oppose that Bill which would have the effect of bringing about what is suggested in the question here, on what grounds are the Government opposing the Bill?

Comment on this

That would be a matter for the Government when the time comes.

Comment on this
Seán Treacy An Ceann Comhairle Independent

These are two different matters.

Comment on this

The review body are continuing their work. They are an independent body and will come back with their report. It was only an interim report which was published recently and when their full report is received I am sure that this matter can be fully debated and if legislation is required from any source, then it can be brought forward.

Comment on this

When will the full report be available?

Comment on this

I am told in the course of this year.

Comment on this
Gay Mitchell Mr. G. Mitchell Fine Gael

Would the Minister agree that many Members of the House are paid less than higher executive officers in the Civil Service and have disposable incomes of something in the region of the average industrial wage and less in many cases, despite the hours and the insecurity of the job? Would he also agree that Deputies do not receive any expenses within the constituencies as even every company representative receives for doing his duty? The solution to this whole question is a complete review of pay and conditions for TDs——

Comment on this
Seán Treacy An Ceann Comhairle Independent

This is Question Time.

Comment on this
Gay Mitchell Mr. G. Mitchell Fine Gael

——and others, including a review of the whole pension situation. Would the Minister, on considering the matter, agree to allow Deputies who feel that they should not benefit, to voluntarily give up their pension rights?

Comment on this
Jim Mitchell Mr. J. Mitchell Fine Gael

Exactly.

Comment on this
Gay Mitchell Mr. G. Mitchell Fine Gael

Perhaps Deputy O'Malley will take the lead in this regard.

Comment on this
Seán Treacy An Ceann Comhairle Independent

The Deputy is embarking on a speech.

Comment on this
Gay Mitchell Mr. G. Mitchell Fine Gael

In conclusion, would the Minister agree that those in receipt of outside pensions, such as ESB pensions, where many receive free electricity allowances also, should continue to draw salaries from this House? Would he further agree that anybody who receives——

Comment on this
Seán Treacy An Ceann Comhairle Independent

I am afraid the Deputy is abusing Question Time.

Comment on this
Gay Mitchell Mr. G. Mitchell Fine Gael

I am just about to sit down.

Comment on this

This is part of the performing rights contract.

Comment on this
Gay Mitchell Mr. G. Mitchell Fine Gael

Would the Minister further agree——

Comment on this
Seán Treacy An Ceann Comhairle Independent

I would ask the Deputy not to abuse Question Time in this way.

Comment on this

He will have to be paid royalties if he continues any longer.

Comment on this
Gay Mitchell Mr. G. Mitchell Fine Gael

A Cheann Comhairle, I have been interrupted by Deputy O'Malley. My relationship with the Performing Rights Society is well known. Would the Minister further agree that we should abolish payments to all TDs who receive over £100,000 in fees from the public purse already? Would he agree that this is a whole lot of nonsense that has been made up by some people independently?

Comment on this

Generally, in relation to all the points mentioned with regard to Members of the House I would agree with everything that Deputy Mitchell has said.

Comment on this

Would the Minister for Finance confirm that before any office holder receives a pension arising out of his office he must apply for the pension? As yet it is not known that any Deputy has failed to apply.

Comment on this
Seán Treacy An Ceann Comhairle Independent

I am passing on to the Private Notice Question.

Comment on this

Is the Minister for the principle or against it?

Comment on this
Seán Treacy An Ceann Comhairle Independent

There are too many Deputies offering. I am going on to the Private Notice Question.

Comment on this

I should like the opportunity of replying to a couple of the points made last. There are two things which need to be said here. First, the review body has two members of the Labour Court on it. Secondly, it is well known by quite a number of the membership of this House that everybody who is honoured to perform in a ministerial capacity must sever any links he or she has in any other capacity. That may last for a short term or a long term; nobody ever knows. That factor is not taken into account. It is disappointing, as Deputy Mitchell has said, to find Deputies and a former Minister putting forward such ideas. These matters were dealt with by independent review bodies before I was born, more recently in 1972 and 1979 and at the present time. That should be taken into account by the Deputies in this House and then, by their statements, the public at large would really know what the true position is.

Comment on this
Deputies

Hear, hear.

Comment on this
Jim Mitchell Mr. J. Mitchell Fine Gael

Could I ask the Minister would he agree with me——

Comment on this
Seán Treacy An Ceann Comhairle Independent

I cannot allow Question Time to be turned into a debate. I am turning to the next item on the Order Paper. I am concluding this matter. I call on Deputy Mitchell to conclude.

Comment on this

I am of no concern.

Comment on this
Jim Mitchell Mr. J. Mitchell Fine Gael

Would the Minister agree that this is a matter which should be dealt with by an independent commission, as it is being, and that it is appalling hypocrisy that the Leaders of two parties should raise this question in the Dáil for political purposes when they themselves are drawing substantial public pensions?

Comment on this

Hear, hear.

Comment on this

A final supplementary.

Comment on this
Seán Treacy An Ceann Comhairle Independent

I pass to Private Notice Question in the name of Deputy Spring. Will Deputy Mac Giolla bear with me now? I have called a Private Notice Question.

Comment on this

A Cheann Comhairle, you will agree that due to the total incompetence of the two outgoing parties in the Coalition Government there are insufficient questions on the Order Paper so that instead of concluding Question Time at 3.45 p.m. we have finished at 3.15 p.m.

Comment on this
Seán Treacy An Ceann Comhairle Independent

That is no reason for the Chair to allow a debate to ensue.

Comment on this

Four of the questions were put down by The Workers' Party.

Comment on this
Seán Treacy An Ceann Comhairle Independent

Has the Deputy a question?

Comment on this

The supplementary questions in this Question Time are being taken up by the Fine Gael Party who have not one question down on the Order Paper. I want to ask a final supplementary. Would the Minister agree to review the position of the period in office after which a Minister gets a pension and extend it from three years to 30 years' service? In other words, after a Minister has been 30 years in service he gets a pension, as happens in the ESB or other employment after 30 years of paying into a pension fund? Would the Minister agree that that is the way to tackle the question?

Comment on this
Jim Mitchell Mr. J. Mitchell Fine Gael

And perhaps a salary on top of it.

Comment on this

Is the Minister very pleased at the incompetence shown by these so-called Opposition parties which leaves him with such an easy ride today?

Comment on this

All I can say is that there were nine questions, two of which were taken together. We have spent 45 minutes on those nine questions. I do not think any Deputy was denied the opportunity to ask any question.

Comment on this

Two questions were from me.

Comment on this

I replied to them and to all the supplementary questions that were raised. That is my duty here. In so far as what Deputy Mac Giolla has said now is concerned, I shall await the outcome of the review body's investigation. They are an independent body and if any action is required subsequent to their report, then we will take it and bring it before this House.

Comment on this

And will the Minister make sufficient——

Comment on this
Seán Treacy An Ceann Comhairle Independent

There is a Private Notice Question in the name of Deputy Spring.

Comment on this

Deputy Mac Giolla must not have read his own letters.

Comment on this