Financial Emergency Measures in the Public Interest Act 2010

Type Act
Publication 2010-12-22
Last updated 2023-01-01
State Partially repealed
Text Latest available text
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articles 18

This is the most recent text the official source publishes. It is not a snapshot of the law as it stood on the date of each change.

16 amending acts · 2023-01-01, revised-IE-2010-act-38@2023-01-01

in the public interest, to provide for the reduction of the amount of the payment of pension or other benefits (other than lump sums) payable to or in respect of certain persons who are or were in the Public Service (including former holders of certain offices, members and former members of the Houses of the Oireachtas and former members of the Judiciary) under an occupational pension scheme or pension arrangement (by whatever name called) which is provided for under the Superannuation Acts 1834 to 1963 or any other enactment or administrative measure to like effect, or is required to be made, approved of or consented to (however expressed) by one or more than one Minister of the Government; to amend the Financial Emergency Measures in the Public Interest (No. 2) Act 2009 and the National Minimum Wage Act 2000; and to provide for related matters

Reform history JSON API

AN ACT, IN THE PUBLIC INTEREST, TO PROVIDE FOR THE REDUCTION OF THE AMOUNT OF THE PAYMENT OF PENSION OR OTHER BENEFITS (OTHER THAN LUMP SUMS) PAYABLE TO OR IN RESPECT OF CERTAIN PERSONS WHO ARE OR WERE IN THE PUBLIC SERVICE (INCLUDING FORMER HOLDERS OF CERTAIN OFFICES, MEMBERS AND FORMER MEMBERS OF THE HOUSES OF THE OIREACHTAS AND FORMER MEMBERS OF THE JUDICIARY) UNDER AN OCCUPATIONAL PENSION SCHEME OR PENSION ARRANGEMENT (BY WHATEVER NAME CALLED) WHICH IS PROVIDED FOR UNDER THE SUPERANNUATION ACTS 1834 TO 1963 OR ANY OTHER ENACTMENT OR ADMINISTRATIVE MEASURE TO LIKE EFFECT, OR IS REQUIRED TO BE MADE, APPROVED OF OR CONSENTED TO (HOWEVER EXPRESSED) BY ONE OR MORE THAN ONE MINISTER OF THE GOVERNMENT; TO AMEND THE FINANCIAL EMERGENCY MEASURES IN THE PUBLIC INTEREST (NO. 2) ACT 2009 AND THE NATIONAL MINIMUM WAGE ACT 2000; AND TO PROVIDE FOR RELATED MATTERS.

[22nd December, 2010]

WHEREAS a serious disturbance in the economy and a decline in the economic circumstances of the State have occurred and are continuing, which threaten the well-being of the community;

AND WHEREAS as a consequence a serious deterioration in the revenues of the State has occurred and there are significant and increasing State commitments in respect of public service pensions;

AND WHEREAS it is necessary to cut current Exchequer spending substantially to demonstrate that public expenditure is being significantly controlled so as to ensure access to international funding and to improve the State’s international competitiveness;

AND WHEREAS the State is availing of financial assistance programmes provided by the European Financial Stabilisation Mechanism and the European Financial Stability Facility and the International Monetary Fund and it is necessary to take the measures in this Act as part of a range of measures provided for in those programmes to address the economic crisis in the State and to restore domestic and international confidence and to prevent a sovereign debt crisis affecting the State;

AND WHEREAS the expenditure on public service pensions is unsustainable and it is necessary to make reductions in payment to ensure that the State has sufficient resources to discharge its commitments and to enable it to provide public services;

AND WHEREAS the burden of a pension-related deductionand a reduction of remuneration has been borne by public servants and it is equitable that public service pensioners should share that burden;

AND WHEREAS the benefit of public service pensions is and will remain, after the enactment of the following Act, significantly and markedly more favourable than those generally available in other employment—

BE IT THEREFORE ENACTED BY THE OIREACHTAS AS FOLLOWS:

1. Interpretation.

1.— In this Act—

“Act of 2009” means the Financial Emergency Measures in the Public Interest (No. 2) Act 2009;

F1["aggregation of public service pensions" means the aggregation under subsection (3) of section 2 or subsection (5) of section 2A of two or more public service pensions payable to a pensioner for the purposes of the application of subsection (1) or (2) of section 2 or subsection (3) of section 2A, as the case may be, in relation to the pensioner;]

“Civil Service” means the Civil Service of the Government and the Civil Service of the State;

“lump sum” means a lump sum payment or gratuity payable on retirement, at a preserved pension age or on death, under a public service pension scheme;

“Minister” means the Minister for Finance;

“office holder” means—

“paying authority”, in relation to a public service pension, means the person or body responsible for making payments of the public service pension under the public service pension scheme concerned, or causing such payments to be made, to or in respect of a public servant or former public servant;

F2["pension adjustment order" means an order under—

“pensioner” F3[, subject to section 2A (inserted by the Financial Emergency Measures in the Public Interest Act 2013),] means a person who—

“preserved benefit” has the meaning it has in the Public Service Superannuation (Miscellaneous Provisions) Act 2004;

“preserved pension age”, in relation to a preserved benefit in a public service pension scheme, means the age of the public servant or former public servant concerned at which the preserved benefit becomes payable to him or her under the scheme;

“public servant” means a person who is employed by, or who holds any office or other position in, a public service body and includes an office holder;

“public service body” means—

in respect of which a public service pension scheme exists or applies or may be made,

“public service pension” means a periodic payment of a pension or other benefit by whatever name called, which is not a lump sum, payable to or in respect of a public servant or former public servant under a public service pension scheme;

“public service pension scheme” means an occupational pension scheme or pension arrangement, by whatever name called, for any part of the public service which—

F6[but, other than a scheme made in respect of the Central Bank of Ireland, does not include]—

“qualifying office” has the same meaning as it has in section 13 (inserted by the Oireachtas (Allowances to Members) and Ministerial, Parliamentary and Judicial Offices (Amendment) Act 1977) of the Ministerial and Parliamentary Offices Act 1938, that is to say—

“relevant date” means the date specified by the Minister in an order made pursuant to section 3(1)(b)(ii) of the Act of 2009;

“relevant Minister”, in relation to a public service pension scheme, means the Minister or Ministers of the Government responsible for the making or approval of, or the giving of consent to, the scheme;

“subsidiary” means a subsidiary within the meaning of the Companies Acts.

1A. F7[Application of Act to Central Bank of Ireland.

1A.— (1) This Act applies in respect of the Central Bank of Ireland only with its consent, given in writing to the Minister by the Governor of that Bank, and with the consent of the Minister for Finance given in writing to the Minister.

2. F8[Reduction in public service pension.

2.— (1) The annualised amount of a public service pension payable in accordance with his or her entitlement to a person who—

where the annualised amount payable is not more than €34,132 shall be reduced—

TABLE A

Annualised amount of public service pension Reduction
Up to €18,700 Exempt
Any amount over €18,700 but not over €204,000 6 per cent
Any amount over €24,000 9 per cent

TABLE B

Annualised amount of public service pension Reduction
Up to €26,000 Exempt
Any amount over €26,000 9 per cent

TABLE C

Annualised amount of public service pension Reduction
Up to €34,132 Exempt

where the annualised amount payable is not more than F9[€39,000] shall be reduced—

TABLE A

Annualised amount of public service pension Reduction
Up to €17,000 Exempt
Any amount over €17,000 but not over €24,000 8 per cent
Any amount over €24,000 but not over €60,000 12 per cent
Any amount over €60,000 but not over €100,000 17 per cent
Any amount over €100,000 28 per cent

TABLE B

Annualised amount of public service pension Reduction
Up to €22,000 Exempt
Any amount over €22,000 but not over €24,000 3 per cent
Any amount over €24,000 but not over €60,000 12 per cent
Any amount over €60,000 but not over €100,000 17 per cent
Any amount over €100,000 28 per cent

TABLE C

Annualised amount of public service pension Reduction
Up to €30,000 Exempt
Any amount over €30,000 but not over €24,000 12 per cent
Any amount over €60,000 but not over €100,000 17 per cent
Any amount over €100,000 28 per cent

F16[TABLE D

Annualised amount of public service pension Reduction
Up to €39,000 Exempt
Any amount over €39,000 but not over €60,000 12 per cent
Any amount over €60,000 but not over €100,000 17 per cent
Any amount over €100,000 28 per cent

TABLE E

Annualised amount of public service pension Reduction
Up to €54,000 Exempt
Any amount over €54,000 but not over €60,000 12 per cent
Any amount over €60,000 but not over €100,000 17 per cent
Any amount over €100,000 28 per cent]

all such pensions shall be aggregated for the purposes of the application of subsections (1) and (2).

2A. F17[Persons becoming pensioners after 29 February 2012: reduction in public service pension.

2A.— (1) For the purposes of this section—

TABLE A

Annualised amount of public service pension Reduction
Up to €29,300 Exempt
Any amount over €29,300 but not over €60,000 3 per cent
Any amount over €60,000 but not over €100,000 5 per cent
Any amount over €100,000 8 per cent

TABLE B

Annualised amount of public service pension Reduction
Up to €39,000 Exempt
Any amount over €39,000 but not over €60,000 2 per cent
Any amount over €60,000 but not over €100,000 5 per cent
Any amount over €100,000 8 per cent

TABLE C

Annualised amount of public service pension Reduction
Up to €60,000 Exempt
Any amount over €60,000 but not over €100,000 F21[3 per cent]
Any amount over €100,000 F20[6 per cent] ]

or

3. Calculation of public service pension not affected.

F22[3.— Nothing in section 2 or 2A shall affect the calculation of any public service pension entitlement (including an entitlement to a lump sum and an entitlement to periodic payments of pension or other benefits) of a person who—

4. Obligation on paying authorities to make payments.

4.—F23[(1) Without prejudice to subsection (2), reductions of public service pensions under section 2 F24[or 2A] shall be paid or disposed of as the Minister may direct and, in particular, the Minister may, for the purposes of the aggregation of public service pensions, direct a paying authority—

5. No power to pay public service pension other than in accordance with section 2.

5.— (1) Where the amount of a public service pension is reduced by section 2 F26[or 2A]—

6. Exemption, etc., from operation of section 2 in certain circumstances.

6.— Where the Minister is satisfied that exceptional circumstances exist (because of some particular aspect or condition relating to the public service pension or the public service pension scheme concerned, including the funding of that pension or scheme) in respect of a particular class or group of pensioners and those circumstances materially distinguish that class or group from other classes or groups of pensioners to which section 2 F29[or 2A] applies, then, the Minister, if he or she considers it to be just and equitable in all the circumstances to do so, may by direction—

and this Act, and any regulations made under this Act, shall be read subject to any such direction.

6A. F30[Duty to give information, etc.

6A. — (1) A pensioner shall, in relation to himself or herself, provide to a paying authority such information as is necessary for the purposes of the aggregation of public service pensions in relation to that pensioner.

for the purposes of the aggregation of public service pensions in relation to the pensioner concerned.]

6B. F31[Use of Personal Public Service Number (PPSN).

6B.— (1) A pensioner shall, in relation to a public service pension, supply his or her personal public service number to the paying authority concerned.

7. Amendment of section 2 of Act of 2009.

7.— (1) Section 2 of the Act of 2009 is amended by the insertion of the following subsection after subsection (2):

  • “(2A) The provisions of subsections (1) and (2) and Table 1 to this section shall, for the purpose of the application of those provisions to the remuneration of the holders of certain offices specified in this subsection, have effect on and from 1 January 2011 as if the reductions provided for in subsection (2) and that Table were as follows and a relevant provision that fixes the remuneration, or any part of the remuneration, of the holders of any of those offices shall be taken to have been so amended with effect on and from that date:

    • (a) in the case of the Taoiseach, a 25 per cent reduction of remuneration in lieu of a reduction of 20 per cent of remuneration;

    • (b) in the case of the Tánaiste, a 19.5 per cent reduction of remuneration in lieu of a reduction of 15 per cent of remuneration; and

    • (c) in the case of a Minister of the Government, a 19.5 per cent reduction of remuneration in lieu of a reduction of 15 per cent of remuneration.”.

8. Amendment of section 3 of Act of 2009.

8.— Section 3 of the Act of 2009 is amended—

  • “(ii) a later date specified by the Minister by order in accordance with subsection (3),

or a person who was at some time before the date specified under subparagraph (ii) a public servant and has a preserved benefit in a public service pension scheme in respect of which the preserved pension age of the person falls on or before that date, and”,

  • “(c) a person who is a spouse or child of a public servant or former public servant and who becomes entitled to payment of a public service pension as a spouse or child of that public servant or former public servant, as the case may be, under a public service pension scheme at any time after the date specified under paragraph (b)(ii) but only if that public servant or former public servant, as the case may be, was entitled before that date to payment of a public service pension under a public service pension scheme in respect of service as a public servant from which the entitlement of the spouse or child derives.”, and
  • “(4) In this section—

‘preserved benefit’ has the meaning it has in the Public Service Superannuation (Miscellaneous Provisions) Act 2004;

‘preserved pension age’, in relation to a preserved benefit in a public service pension scheme, means the age of the public servant or former public servant concerned at which the preserved benefit becomes payable to him or her under the scheme.”.

9. Amendment of Act of 2009.

9.— The Act of 2009 is amended by the insertion of the following section after section 9:

“Restriction on application of direction given by Minister.

9A.— The direction given by the Minister under section 6 in respect of a particular class or group of public servants to whom Table 2 to section 2 applies shall apply only in relation to the remuneration payable to that class or group and shall not apply for the purposes of calculating the pension entitlements (including an entitlement to a lump sum and an entitlement to periodic payments of pension or other benefits) of members of that class or group at any time after the date specified in an order made under section 3(1)(b)(ii).”.

10. Annual review and report to Houses of the Oireachtas.

10.— F32[…]

11. Regulations.

11.— (1) The Minister may make regulations for the purposes of this Act or in consequence of any of its provisions or for the purpose of enabling any provision to have full effect.

12. Removal of doubts.

F34[12.— (1) Subsection (2) applies where a doubt, question or dispute arises in the operation of this Act in respect of—

and the determination of the doubt, question or dispute by the Minister shall be final.]

13. Amendment of National Minimum Wage Act 2000.

13.— The National Minimum Wage Act 2000 is amended—

“11.— (1) The Minister shall, by order, declare a national minimum hourly rate of pay for the purposes of this Act of €7.65.

  • (2) The Minister may, by order, amend or revoke an order under this section (including an order under this subsection).

  • (3) The Minister may make an order under subsection (2) whether or not a recommendation under section 12 or 13 has been made.

  • (4) The Minister shall, for the purpose of deciding whether or not to make an order under subsection (2), take account of the following matters:

    • (a) changes in earnings during the period since the most recent making of an order under this section;

    • (b) changes in currency exchange rates during that period;

    • (c) whether during that period—

      • (i) unemployment has been increasing or decreasing, and

      • (ii) employment has been increasing or decreasing;

    • (d) the likely effect that the proposed order will have on—

      • (i) levels of employment and unemployment,

      • (ii) the cost of living, and

      • (iii) national competitiveness; and

    • (e) where a recommendation has been made under section 12 or 13, that recommendation.

  • (5) The national minimum hourly rate of pay declared by order under this section may include an allowance in respect of board and lodgings, board only or lodgings only at such rates as are specified in the order.”,

  • “(5A) A recommendation under subsection (4) or (5) shall not be made after the expiration of 13 weeks from the making of the request under subsection (3).”, and

14. Short title.

14.— This Act may be cited as the Financial Emergency Measures in the Public Interest Act 2010.

SCHEDULE Bodies to which the definition of “public service body” does not apply

1.

Any body corporate established by Act of Parliament before 6 December 1922 that, upon its establishment, was of a commercial character.

2.

Dublin Airport Authority, public limited company.

3.

Cork Airport Authority, public limited company.

4.

Shannon Airport Authority, public limited company.

5.

Bord Gáis Éireann.

6.

Bord na gCon.

7.

Bord na Móna.

8.

Córas Iompair Éireann.

9.

Coillte Teoranta.

10.

Electricity Supply Board.

11.

Eirgrid.

12.

A harbour authority within the meaning of the Harbours Act 1946 or company to which section 7 of the Harbours Act 1996 relates.

13.

Horse Racing Ireland.

14.

Irish National Stud Company Limited.

15.

Irish Aviation Authority.

16.

An Post.

17.

An Post National Lottery Company.

18.

Radio Teilifís Éireann.

19.

Railway Procurement Agency.

20.

Teilifís na Gaeilge.

F36[20A. Uisce Éireann.]

21.

Voluntary Health Insurance Board.

22.

A subsidiary of a body to which this Schedule relates, including a subsidiary of any such subsidiary.

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