Irish govt refuses to back down on public sector pension contribution increases

The Irish government has refused to back down on its plans increase public servants’ pension contributions.

According to the Irish Independent, a dispute has broken out as to whether to scrap the issue of a higher pension contribution for those on gold-plated pension schemes at talks on a new pay deal.

The Irish Independent learned from sources close to the talks that the issue may be moved into a separate process for further negotiation. Nonetheless, it is understood that the government is rejecting union attempts to have the issue completely discarded.

There are currently 23,000 public servants on the best pension deals including judges, guards, prison officers and members of the defence forces.

However, unions are still trying to have newer entrants, who are on a less beneficial plan since 2013, excluded. Yet, it is understood that any increase in payments, on top of existing contributions is unlikely to exceed what they are currently paying in a pension levy, an average of 5 per cent of pay.

"At the moment, the Government is looking for a pension contribution increase from everybody, but unions are holding the line for the post-2013 staff who are paying the pension levy and a 6.5pc contribution and not getting value on it. Unions will go hard on it," sources added.

It was added that moving the issue of “those on fast accrual schemes, who clock up a full pension with less service than most public servants” has been “mooted”.

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