S.I. No. 292/2015 - Education and Training Board Teachers Superannuation Scheme 2015

• (5) Subject to Paragraphs (9) to (11), where an application for cost neutral early retirement by a member is granted, the amount of lump sum and pension payable to the member shall be the amount, if any, arrived at by the formula:

[A + ((B/365) x (C — A))] x D

where

A is the actuarial reduction factor in relation to lump sum or pension specified in—

• (a) column (2) or (3), as the case may be, of the Table in Paragraph 6(a) of this Article in the case of members who have a preserved pension age of 60, and

• (b) column (2) or (3), as the case may be, of the Table in Paragraph 6 (b) of this Article in the case of members who have a preserved pension age of 65

B is the number of days since the member’s last birthday,

C is the relevant actuarial reduction factor specified in the definition of “A”, but, for the purposes of this definition, a reference in column (1) of Table(a) or (b) to an age of the member shall be read as a reference to that age at the member’s next birthday, and

D is the preserved benefit the member would be entitled to receive based on service referred to in Article 14 (Preservation of Benefits) and without the application of an actuarial reduction.

• (6) TABLES

Factors to be applied to preserved benefits to derive actuarially reduced benefits.

• (a)

Members with a preserved age of 60	Members with a preserved age of 60	Members with a preserved age of 60
Age last birthday	Pension	Lump sum
50	62. 4%	82. 2%
51	65. 1%	83. 9%
52	67. 9%	85. 5%
53	71. 0%	87. 2%
54	74. 3%	88. 9%
55	77. 8%	90. 7%
56	81. 6%	92. 4%
57	85. 7%	94. 3%
58	90. 1%	96. 1%
59	94. 8%	98. 0%

• (b)

Members with a preserved age of 65	Members with a preserved age of 65	Members with a preserved age of 65
Age last birthday	Pension	Lump sum
55	58. 2%	82. 4%
56	61. 1%	84. 0%
57	64. 1%	85. 6%
58	67. 4%	87. 3%
59	71. 0%	89. 0%
60	74. 8%	90. 7%
61	79. 0%	92. 5%
62	83. 6%	94. 3%
63	88. 5%	96. 1%
64	94. 0%	98. 0%

The values in these tables may be amended by a determination from time to time by the Minister for Public Expenditure and Reform, from an effective date specified by that Minister.

• (7) Where an application for cost neutral early retirement by a member is granted, the relevant actuarial reduction factor shall apply for the lifetime of the payment of the pension and the member shall not be entitled to receive a preserved pension on reaching the preserved pension age.

• (8) Where an application for cost neutral early retirement by a member is granted, a supplementary pension in accordance with Article 20 (Supplementary Pension) may be payable to the former member but not before reaching his or her preserved pension age.

Purchase of Notional Service and Cost Neutral Early Retirement

• (9) Where a member, who is not a new entrant, is purchasing notional service in accordance with Chapter 2 of this Part (Additional Voluntary Benefits: Purchase of Notional Service in this Scheme) on the basis of retiring on attaining 65 years of age and his or her application for cost neutral early retirement is granted then, in determining pensionable service for the purpose of the formula specified in Paragraph (5), the notional purchase actuarial reduction factors appropriate to retirement at 60 years of age shall be applied to the proportionate amount of notional service purchased at the time of resignation or, where purchase is being made by way of lump sum, the amount of notional service contracted for, and that figure shall be added to actual pensionable service.

• (10) Where a member, other than a person to whom Paragraph (1) applies, is purchasing notional service in accordance with Chapter 2 of this Part (Additional Voluntary Benefits: Purchase of Notional Service in this Scheme) and his or her application for cost neutral early retirement is granted then, in determining pensionable service for the purpose of the formula specified in Paragraph (5), the proportionate amount of notional service purchased at the time of resignation or, where purchase is being made by way of lump sum, the amount of notional service contracted for, shall be added to actual pensionable service.

• (11) Where a person who has been awarded Professional Added Years opts for cost neutral early retirement two reductions will apply. Firstly, the appropriate reduction arrangements (under the relevant Added Years Scheme) which apply in the case of termination of service below minimum pension age will apply. Secondly, the resultant service (if any) will then be added to actual service and the relevant cost neutral early retirement factor in the relevant Table in Paragraph 6 will be applied to the preserved benefits derived from the aggregate service.

Restriction on reckoning of service on subsequent employment.

• (12) Notwithstanding anything in Article 9(3)(a)(i), (Pensionable Service), where a person retires on foot of an application for cost neutral early retirement that has been granted and subsequently is appointed to a pensionable post, pensionable service in respect of which that application was granted shall not be reckonable for the purposes of calculating pensionable service on his or her future retirement or for transferring service in accordance with the Transfer Network.

Retirement on Medical Grounds

• (2) A member who has completed the vesting period but not the ill-health vesting period who ceases to be an active member on retirement on medical grounds in accordance with Paragraph (7) shall be eligible to receive a gratuity of 1/12th of pensionable remuneration for each year of pensionable service and, in addition, a gratuity equal to 3/80th of pensionable remuneration for each year of pensionable service, provided the member opts in writing to accept such gratuities in lieu of any preserved benefits under the scheme.

• (3) A member who has completed the ill-health vesting period and who ceases to be an active member on retirement on medical grounds in accordance with Paragraph (7), may have a period of notional service (to be referred to as “ill-health added years”) as provided for in Paragraph (4), added to his or her pensionable service and have pension and lump sum payable from a date as determined by the Board.

• (4) The ill-health added years shall be calculated as follows—

• (a) a member whose actual pensionable service is between 5 and 10 years will be allowed an equivalent amount of ill-health added years, provided such added years does not exceed the additional amount of pensionable service the member would have had, if he or she served to age 65 or, if earlier, the date on which the member’s contract of employment would expire;

• (b) a member whose actual pensionable service is between 10 and 20 years will be allowed the more favourable of—

• (i) added years equal to the period by which 20 years exceeds the member’s actual pensionable service, provided such added years does not exceed the additional amount of pensionable service the member would have had if he or she had served to 65 or, if earlier, to the date on which his or her contract of employment would expire; or

• (ii) 6years and 243 days, the added years not to exceed the additional amount of pensionable service the member would have had if he or she served to age 60 or, if earlier, to the date his or her contract of employment would expire;

• (c) A member who has more than 20 years of actual pensionable service at retirement will be allowed added years, whichever is the lesser of—

(i)6 years and 243 days, or

• (ii) the amount of additional service the member would have had, if he or she had served to age 60, or, if earlier, to the date on which his or her contract of employment would expire.

• (5) Where there is a limit stipulated for the total amount of added years in Paragraph 4 by reference to potential service to age 60 or 65, such years will be calculated in respect of job-sharing or part-time members as provided for in Department of Public Expenditure and Reform Circular 11/2012.

• (6) In calculating added years under Paragraph (4), service which is transferred under Article 9(3)(a)(i) (Pensionable Service) or in respect of which an application to transfer has been received by the Board shall be taken into account by the Board as if it was actual pensionable service.

• (7) Subject to the provision of the retirement procedures of the Board, as approved from time to time by the Minister, where a member ceases to be an active member on retirement on medical grounds, a benefit under this Article shall only be paid where the following conditions are met—

• (a) Medical evidence must be supplied, in relation to which the Board must be satisfied that the member is incapable due to infirmity of mind or body of discharging the duties of his or her post and that the infirmity is likely to be permanent. The member must, when requested by the Board, undergo examination by a registered medical practitioner and his or her case must be assessed by an Occupational Physician nominated by the Minister. The Occupational Physician will make a recommendation to the Board based on the evidence available;

• (b) the retirement must be wholly due to the infirmity;

• (c) the infirmity must not be caused by the member’s own fault or negligence;

• (d) the member must not have made a false declaration about his or her health nor have supressed a material fact about his or her health when applying to take up a post in the Board;

• (e) the decision to approve an application for retirement on medical grounds is made by the Board based on the recommendation of the Occupational Physician.

• (8) Where any of the conditions in Paragraph 7 are not met, Articles 11 (Pension Calculation on Retirement) and 12 (Lump Sum Calculation on Retirement) or Articles 14 (Preservation of Benefits), 15 (Preserved Pension Calculation including Preserved Pension payable on Medical Grounds), 16 (Preserved Lump Sum or Preserved Death Gratuity) or 18 (Cost Neutral Early Retirement), shall apply, as appropriate, in lieu of benefits under this Article.

(9)(a) An ETB Teacher who ceases to be an active member on retirement on medical grounds and is in receipt of ill-health retirement pension benefit, may from time to time be required by the Minister or the Board to submit medical evidence of the continued existence of the ill-health, and may be required to attend for medical examination.

• (b) Prior to taking up any teaching post, following application for and provisional appointment to such a post in the case of a former member to whom Paragraph (a) applies, he or she must submit fresh medical evidence to the Occupational Physician nominated by the Board.

• (c) If the Occupational Physician deems the ETB Teacher medically fit to teach,

• (i) pension benefits in payment will cease immediately on taking up a post under Paragraph (b),

• (ii) future pension and lump sum benefits will be based on actual service and will not include the notional ill-health added years in the calculation and

• (iii) the lump sum awarded on subsequent retirement will be reduced by the amount of the lump sum paid on the occurrence of the first retirement;

• (d) If a member fails or refuses to submit medical evidence of the continued existence of the ill-health and/or attend for medical examination the pension benefits in payment will cease.

Supplementary Pension

• (a) is fully insured as a member of this Scheme, or,

• (b) whose pension is calculated on a combination of service provided when the person was not fully insured and of service provided when the person was fully insured under this Scheme, and

who is in receipt of a pension under Article 11 (Pension Calculation on Retirement), 18 (Cost Neutral Early Retirement) or 19 (Retirement on Medical Grounds) or a preserved pension.

• (2) Where a member to whom Paragraph (1) applies—

• (a) for reasons outside of his or her control, fails to qualify for a Social Welfare Benefit or qualifies for a Social Welfare benefit at a reduced rate,

• (b) is unemployed and

• (c) other than a person in receipt of a pension under Article 19 (Retirement on Medical Grounds), has reached the minimum pension age or, in the case of a member in receipt of a pension under Article 18 (Cost Neutral Early Retirement), the preserved pension age,

then, so long as the Board is satisfied that the pre-conditions set out in this Article are met, the former member may, at the discretion of the Board, be paid a supplementary pension.

• (3) The amount of supplementary pension payable shall be the amount, if any, arrived at by the formula:

A — (B + C) where—

A is the amount of pension or preserved pension which would have been payable, in respect of the period for which he or she was a fully insured member, to the former member if he or she had not been fully insured;

B is the amount of pension actually payable to the former member, in respect of the period for which he or she was a fully insured member, and

C is the amount of personal Social Welfare Benefit payable to the former member.

• (4) A member who is in receipt of a supplementary pension under this Article, is obliged to inform the Board if circumstances change which would affect his or her eligibility for a supplementary pension or which would impact on the amount of supplementary pension for which he or she is eligible.

• (5) The Board shall review supplementary pensions in payment periodically and shall confirm whether or not a supplementary pension should continue in payment and the rate of such payment (if any).

Death Gratuity on Death in Service

• (a) his or her actual annual remuneration payable at date of death, or

• (b) the lump sum that would have been payable had the member retired on medical grounds on the date of his or her death,

and in the case of a part-time member or a job-sharer, the provisions of Department of Public Expenditure and Reform Circular 11/2012 will apply.

• (2) Notwithstanding the provisions of Paragraph (1), the gratuity may, in respect of an ETB Teacher who dies in service on or after 1 January 1986 and who is married or in a civil partnership at date of death, be granted at the discretion of the Board, with the approval of the Minister, but subject to Paragraph (3), to the spouse or civil partner, as appropriate.

• (3) Payment of a Death Gratuity under this Article is subject to compliance with the requirements of the Office of the Paymaster General.

Surrender of Portion of Pension

Gratuity or Allowance in Case of Injury

• (a) in the actual discharge of his or her duty, and

• (b) without his or her own default, and

• (c) by some injury attributable solely to the nature of his or her duty,

the Board may grant to him or her, and, if within seven years after the date of the injury, he or she dies as a direct result thereof, to his or her spouse, civil partner, father or mother, if wholly dependent on him or her at the time of his or her death, and to or in respect of his or her children, or any of them, such gratuity or allowance in money for life or for a limited period as the Board may consider reasonable and as may be sanctioned by the Minister either generally or in any particular case.

• (2) Where an allowance is granted under this Article to, or in respect of, an injured person and there is also payable to, or in respect of him or her, all or any of the following:

• (a) any other pension, allowance or temporary rehabilitation remuneration payable by the Board,

• (b) any lump sum or gratuity so payable,

(c)(i) any amount so payable by way of compensation under section 97 of the Social Welfare Consolidation Act 2005 , or by way of injury benefit or disablement benefit under Chapter 13 of Part 2 of the Social Welfare Consolidation Act 2005 ,

• (ii) State Pension (contributory), retirement pension, invalidity pension, illness benefit, disability benefit or unemployment benefit, and

• (d) where he or she has died, any pension payable to his or her spouse or civil partner under Chapter 13 of Part 2 of the Social Welfare Consolidation Act 2005 ,

the allowance under this article together with so much as may be equivalent to whatever is also payable as aforesaid shall not exceed five-sixths of the remuneration (inclusive of the money value of emoluments (being any apartments, rations or other perquisites in kind), if any) of the position in which he or she received the injury.

Chapter 2 Additional Voluntary Benefits: Purchase of Notional Service in this Scheme

Purchase of Notional Service — commencement (Chapter 2)

Purchase of Notional Service — interpretation

“1981 arrangements” means the arrangements, set out in S.I. 421/1986 concerning purchase of service, introduced with effect from 2 February 1981;

“1990 arrangements” means the arrangements, set out in S.I. 184/1992 concerning purchase of service, introduced with effect from 1 July 1990;

“regular part-time” means, in relation to a member of Part 2, (Members Personal Pension Provisions) a member who has been working part-time for not less than 2 consecutive years under a regular part time contract and has an established part-time work pattern as a proportion of full time attendance;

“relevant age” means—

(a)65 years of age in the case of a new entrant or in the case of a member, other than a new entrant, who opts to purchase service in accordance with the appropriate Table in Schedule 1, being a Table the heading of which specifies the age of 65;

(b)60 years of age in the case of members, who are not new entrants and who opt to purchase service in accordance with the appropriate Table in Schedule 1, being a Table the heading of which specifies the age of 60.

Purchase of Notional Service — application of Chapter 2

• (a) are in permanent or temporary full time or job-sharing positions or, from 20 October 2006, are in regular part-time posts;

• (b) would have not less than 9 years’ actual pensionable service (excluding purchased notional service) by the time they attain the relevant age;

• (c) subject to Article 27(10) (Purchase of Notional Service — General Conditions), are not on sick leave or suspended from duty (either with or without pay);

• (d) are not disqualified by virtue of having received, or having an entitlement to, retained benefits within the meaning of Schedule 2 (Limits on the amount of Service which may be Purchased); and

• (e) exercise a valid option in accordance with this Chapter.

Purchase of Notional Service — General Conditions

(2)(a) An option to purchase service by periodic deductions from salary may be exercised at any time during the member’s service, provided that—

• (i) he or she is in appropriate service at the time of exercise of the option,

• (ii) not less than 2 years will elapse between the date of the member’s next birthday and the date on which the member will reach the relevant age, and

• (iii) without the purchase of service under this Chapter he or she would not have 40 years pensionable service before reaching the relevant age.

• (b) For the purposes of Paragraph (a), “appropriate service” means—

• (i) pensionable service given as an ETB Teacher in a pensionable full time or a job-sharing capacity;

• (ii) pensionable service given on or after 20 October 2006 as a regular part-time ETB Teacher.

• (3) An option to purchase service by lump sum payment may be exercised while a person is a member of Part 2 subject to the following conditions:

• (a) where the option is exercised on or after 20 October 2006, it shall be exercised—

• (i) by way of a lump sum payment, no more than once during each year, provided that—

• (I) the amount of contribution is not less than 10% of the member’s annual rate of salary, or

• (II) where the amount of the contribution that would be required to purchase all of the service that is capable of being purchased under this Chapter is less than 10% of the member’s annual rate of salary or net salary as appropriate, the member shall purchase all of the service capable of being so purchased;

or

• (ii) by way of lump sum payment where a member has been on a period of leave without pay, in order to reckon such period or such shorter period as the member chooses, provided that it is exercised within 6 months of return to duty following such period of leave, and the period of leave has interrupted a periodic purchase contract;

• (b) where the option is exercised on or after 1 July 1990 and before 20 October 2006—

• (i) within 2 years of the person becoming a member of Part 2 (Members Personal Pension Provisions) or commencing full time service as an ETB Teacher whichever is later, or

• (ii) on the date of the member’s retirement or within 2 years prior to that date, or

• (iii) within 6 months of the member’s return to duty following a period of leave without pay provided that the amount of service which may be purchased in such a case shall not exceed the duration of the period of leave;

• (c) where the option is exercised after 2 February 1981 and before 1 July 1990, or before 2 February 1981 in the case of a member who was in pensionable service on that date, within 2 years of the person becoming a member of Part 2 (Members Personal Pensions Provisions), or 2 February 1983, whichever is the later.

• (4) Notwithstanding anything in the preceding provisions of this Article, where the amount of service being purchased is less than one year it shall be payable by way of a lump sum payment.

• (5) An option to purchase service by either lump sum or periodic deduction shall be exercised in writing while the member is giving pensionable service and before he or she reaches the relevant age.

• (6) A member shall be prohibited from revoking an option exercised in accordance with this Chapter except where notice in writing of the revocation is given before the lump sum payment is made or the periodic deductions commence.

• (7) In the case of an option exercised to pay by way of periodic deductions, a member may, if he or she so wishes, choose to cease paying the contributions—

• (a) on or after 20 October 2006, with effect from the date of his or her next available pay day, not being later than 4 weeks from the date of receipt by the Board of written notification of such cesser, or

• (b) before 20 October 2006, with effect from the date of his or her next birthday following receipt by the Board of his or her written notification of such cesser.

• (8) Where a member exercises more than one option to purchase service, each such option shall be treated separately for the purposes of this Chapter.

• (9) An option to purchase service by reference to 60 years of age shall not be available to new entrants.

• (10) A member who retires on ill-health grounds on or after 1 July 1990 shall be eligible to purchase service by lump sum payment, but not later than the date of retirement.

• (11) The reference in Paragraph (3)(a)(ii) to a period of leave having interrupted a periodic purchase contract shall be construed as a reference to a period of leave having been taken at a date falling within the period over which a contract to purchase service by periodic contributions operates.

• (12) Where a member, on or after 1 January 1995, goes on special leave without pay under a contract to work in a programme funded or recognised by the organisation known as Irish Aid for a minimum period of 6 months, Irish Aid may purchase under this Chapter notional service on behalf of the member for a minimum amount of notional service of 6 months and a maximum amount of 2 years.

Purchase Conditions for Specific types of Contracts

• (2) A member who is employed on—

• (a) a fixed-term contract which provides that it is non-renewable, or

• (b) a fixed-purpose contract which would not be expected to extend beyond a 9 year period,

may not purchase service under this Chapter unless he or she has prior pensionable service or has transferred service under approved transfer arrangements which, in either case, would result in potential service exceeding 9 years.

• (3) A member who is employed on a contract of indefinite duration shall be regarded as having potential service to the relevant age.

Purchase provisions for job-sharing and part-time members

• (2) On or after 1 July 1990 and before 20 October 2006, a member who is job-sharing may purchase service under this Chapter provided that—

• (a) the period over which his or her contract to purchase service under this Chapter is to operate will not expire before his or her reaching 65 years of age; and

• (b) either—

• (i) he or she has, at the time he or she exercises the option to purchase such service, been job-sharing for not less than 5 years, or

• (ii) he or she is not less than 50 years of age at the time he or she commences job-sharing.

• (3) On or after 20 October 2006, a member who is job-sharing or working part-time may purchase service under this Chapter provided that he or she has, at the time he or she exercises an option to purchase service, been job-sharing or working part-time for not less than 2 consecutive years in a regular part-time position.

• (4) Where a member who is purchasing service pursuant to Paragraph (2) or (3) increases his or her job-sharing or part-time attendance pattern, or returns to full-time service and, as a result, the service being purchased exceeds the amount required to bring his or her potential pensionable service, by the relevant age, to 40 years service, the contribution rate shall be adjusted or, if necessary, the payment of contributions shall be cancelled and the member is entitled to a refund of any excess contributions (including all contributions if necessary).

Purchase Provisions relating to leave without pay

• (a) the period commences on or after 1 July 1990;

• (b) the member concerned is otherwise eligible to purchase service under this Chapter;

• (c) the member concerned pays the appropriate contributions during the period of leave without pay; and

• (d) the application to have that period reckoned as notional service is made before the period of leave commences.

• (2) The contributions under this Article shall be payable before the last day of each of the following months, namely November, February, May and August.

• (3) The following contribution rates shall apply for the purposes of this Article:

• (a) in the case of leave without pay commencing on or after 1 July 1990 and on or before 20 October 2006, or leave without pay and the 1990 arrangements applied, the appropriate rate set out in the S. I. 184 of 1992;

• (b) in the case of leave without pay commencing on or after 20 October 2006, payment at the lump-sum contribution rate applicable to the member concerned and specified in the appropriate Table in Schedule 1 (Purchase of Notional Service Tables and Actuarial Reduction Tables for Purchase of Notional Service), determined by the member’s age next birthday on the last day of the quarter in respect of which the quarterly payment due is being calculated.

Provisions for payment of unpaid purchase contributions during a Periodic Purchase Agreement

• (a) making a single lump sum payment, of an amount determined in accordance with Paragraph (2), within 6 months from the date of return to duty from the period of leave, or

• (b) doubling-up on the periodic contributions for a period equivalent to the period of leave without pay when the member recommences payment of periodic contributions.

• (2) The amount of the single lump-sum payment referred to in Paragraph (1)(a) shall be the amount obtained by applying the purchase rate the member is paying under the purchase contract to the annual rate of salary applicable on the date the member returns to duty and multiplying that result by the number of days on leave without pay divided by 365.

Provisions for Periodic or Lump Sum Purchase of Notional Service

• (2) The amount of a periodic contribution payable under this Article shall be based on the member’s salary and the rate of contribution shall be determined in accordance with the appropriate Table in Schedule 1 (Purchase of Notional Purchase Tables and Actuarial Reduction Tables for Purchase of Notional Service), provided that the values in these tables may be amended by a determination from time to time of the Minister for Public Expenditure and Reform, from an effective date specified by that Minister.

(3)(a) Where a member opts to purchase service under this Chapter by way of lump sum payment, the contribution shall be based on salary at the date the member exercises the option and the rate of contribution shall be determined in accordance with the appropriate Table in Schedule 1 (Purchase of Notional Service Tables and Actuarial Reduction Tables for Purchase of Notional Service), provided that the values in these tables may be amended by a determination from time to time of the Minister for Public Expenditure and Reform, from an effective date specified by that Minister.

• (b) A lump sum payment under Paragraph (a) shall be paid not later than 6 months from the date of exercising the option.

• (c) Where payment is not made within the period specified in Paragraph (b), the exercise of the option shall be deemed invalid.

• (4) Where a member opts to purchase a number of years of notional service by way of periodic deductions or by way of lump sum and the pensionable remuneration by reference to which his or her retirement lump sum, death gratuity, preserved lump sum or preserved death gratuity includes pensionable allowances, an additional contribution will be payable by him or her by way of a deduction from the retirement lump sum, death gratuity, preserved lump sum or preserved death gratuity. The additional contribution will be the amount calculated as if—

• (a) at the date of retirement, resignation or death, he or she had exercised an option to purchase by a single payment the number of years of notional service which he or she had already opted to purchase, and

• (b) the rate of salary by reference to which the calculation is made is equal to the amount of the pensionable allowances.

(5)(a) Where, at any time, it appears to the Minister for Public Expenditure and Reform that the contribution rates or the actuarial reduction factors do not meet the requirement that the provisions contained in this Chapter are cost-neutral, he or she may revise such rates or factors.

• (b) The provisions of Paragraph (a) shall not apply to a person who, before the effective date of any revision of contribution rates or factors, had opted to purchase notional service under this Chapter.

Crediting of Purchased Service

• (2) In the case of a retirement by a member who entered into a contract under the 1981 arrangements, the member shall, in order to benefit from the service purchased, have attained the age of 60 years, except where he or she dies or retires on medical grounds.

• (3) A member who entered into a contract under the 1990 arrangements, shall have the service purchased reckoned with effect from date of commencement of pension payments, subject, where appropriate, to actuarial reduction provided for in Paragraph (6).

• (4) Where a member continues in service until the relevant age and where he or she is purchasing service under this Chapter by way of periodic contributions and continues to pay such contributions up to the relevant age, the full amount of any service purchased shall count as pensionable service.

• (5) Where a member, who is purchasing service under this Chapter by way of periodic deductions, ceases to pay such contributions before the relevant age, the amount of purchased service to be granted to the member shall be determined by the formula:

(A*B)/C

Where—

A is the number of years’ service which the member opted to purchase,

B is the period during which periodic deductions have actually been paid, and

C is the period during which periodic contributions would have been paid if the member had continued to pay such contributions up to the relevant age.

• (6) Service purchased by way of lump sum payment or the proportionate service (calculated in accordance with Paragraph (5) and purchased by way of periodic contributions) shall be actuarially reduced at a rate calculated in accordance with the appropriate Table in Schedule 1, Table 9 or 10 as applicable, (Purchase of Notional Service Tables and Actuarial Reduction Tables for Purchase of Notional Service), as adjusted to take into account the number of days for which purchase contributions have been made since last birthday, where the following circumstances apply:

• (a) a member who has purchased service under the 1981 arrangements qualifies, before 60 years of age, for a benefit, other than a benefit arising from death in service;

• (b) a member who has purchased service under the 1990 arrangements qualifies for a benefit before age 65, other than a benefit arising from death in service, or

• (c) a member, other than a member to whom Paragraph (a) or (b) related, who has purchased service under this Chapter qualifies for a benefit before the relevant age, other than a benefit arising from death in service.

• (7) When exercising an option to purchase service under this Chapter, a member may also opt for the preservation of benefits in circumstances where he or she satisfies the conditions for the award of such preserved benefits as specified in Article 14 (Preservation of Benefits), but if the member retires on medical grounds in accordance with Article 19 (Retirement on Medical Grounds) nothing in this paragraph shall restrict the right of the member to elect for a gratuity under Article 19(2).

• (8) Where a member who has purchased service under this Chapter qualifies for additional service on ill-health grounds under Article 19 (Retirement on Medical Grounds), the service purchased under this Chapter shall be credited, after the added service under Article 19 is credited.

Refunds of Purchase Contributions in certain circumstances (Chapter 2)

(2)(a) A member who is in pensionable service on or after 1 August 1998 and who has purchased service under this Chapter such that his or her total pensionable service would exceed 40 years and 91 days is entitled to a refund of those of the contributions paid under this Chapter as constitute the excess pensionable service.

• (b) The amount of moneys to be refunded under Paragraph (a) shall be determined by the formula:

(A/B)*C

where—

A is the excess service, and

B is the total amount of service purchased

C is the total value of the contributions paid

(3)(a) Where a member who has purchased service under this Chapter ceases employment with less than 9 years’ actual reckonable service, including transferred service, and does not transfer to a pensionable post in another public service body, all purchase contributions will be refunded.

• (b) Where a member who has purchased service under this Chapter ceases employment and does not transfer to a pensionable post in another public service body, and he or she has exceeded the limits specified in Schedule 2, the excess purchase contributions shall be refunded in accordance with the formula:

A/B*C

Where—

A is the excess service purchased,

B is the total amount of service purchased

C is the total value of the contributions paid

• (4) Where a member to whom Chapter 2 of Part 3 (Survivors’ and Children’s Contributory Pension Provisions — Closed Scheme) applies, while unmarried and not in a civil partnership—

• (a) dies in service, or

• (b) retires or resigns (other than when the member’s service is transferred to another organisation or service),

the former member or his or her legal personal representative is entitled to a refund of the survivors’ and children’s portion of the purchase contributions paid under this Chapter in accordance with the following:

• (i) if the member has paid by periodic deductions, the amount of the refund is all of the survivors’ and children’s portion of the purchase contributions paid, if the member was unmarried or not in a civil partnership at all times as a Part 2 (Members Personal Pension Provisions) member or all of the survivors’ and children’s portion of the purchase contributions paid since the member’s marriage or civil partnership or, as the case may be, last marriage or last civil partnership ended;

• (ii) if the member has paid by lump sum payments, the amount of the refund is the lesser of the following:

• (I) all the survivors’ and children’s portion of the purchase contributions paid where the member was unmarried or not in a civil partnership at all times during the period of Part 2 (Members Personal Pension Provisions) membership, or

• (II) the survivors’ and children’s portion of the purchase contributions paid as determined by the formula—

A/B*C, where—

A is the period (expressed to the nearest day) from the date the member’s marriage or civil partnership, or, as the case may be, last marriage or civil partnership ended, to the date of member’s final day of service,

B is the period (expressed to the nearest day) from the date on which the member exercised the option to purchase service to the member’s final day of service, and

C is the total value of the contributions paid.

• (5) The rate of contribution for survivors’ and children’s benefits is the rate obtained by subtracting the rate of contribution appropriate to a member who is not a member of Part 3 (Survivors’ and Children’s Benefits) from the rate of contribution actually paid.

• (6) A refund made in accordance with Paragraph (4) will be subject to the deduction in respect of any liability for income tax and any other statutory liability, as such deductions would apply to salary.

• (7) Where a member is purchasing service by periodic deductions and it becomes clear that he or she would not qualify for a benefit in respect of all of the service which he or she contracted to purchase, a revised rate of periodic contribution (using the same Table under which the original rate was determined) shall be determined based on the member’s age next birthday, on the date of the original option and the maximum period of purchased service which would be reckonable.

(8)(a) Where Paragraph (7) applies, the deductions at the revised rate referred to in that paragraph shall commence as soon as possible but excess contributions paid under the original option shall be offset against contributions due under the option exercised to make contributions at that revised rate.

• (b) The amount of the excess contributions under the original option shall be equal to the proportion of all contributions paid to date under that option determined in accordance with the formula—

A/B, where—

A is the portion of such service is respect of which the member would not qualify for a benefit, and

B is the period of service which the member contracted to purchase.

Transitional Arrangements

• (a) in the case of a lump sum purchase, the contribution due will be calculated by reference to the member’s salary on the date the option was exercised and must be paid in full within 6 months of that date,

• (b) in the case of an option to purchase by periodic contributions, payment will commence on the member’s next available payday and will continue until the date on which the member attains age 60. The arrears of contributions due for the period between the member’s relevant birthday (being a date not earlier than 27 April 2005) and the date of the commencement of payment of contributions must be paid within 12 months of that payday.

Transitional arrangements and purchase rates operative prior to 20 October 2006

• (2) Notwithstanding the revocations in Article 74, the Purchase Tables for Officers (Part 2 Membership) set out in S.I. 421 of 1986 continue to apply in respect of members who purchased or continue to purchase service under the 1981 arrangements and the Purchase Tables for Officers (Part 2 Membership) set out in S.I. 184 of 1992 continue to apply to members who purchased or continue to purchase service under the 1990 arrangements.

Part 3 Survivors’ and Children’s Benefits

Chapter 1 Current Survivors’ and Children’s Contributory Pension Provisions

Commencement (Chapter 1)

Interpretation (Chapter 1)

“child” means, subject to paragraphs (2),(3) and (4), a child, step-child or lawfully adopted child of the deceased who is—

• (a) under 16 years of age,

• (b) under 21 years of age, or with effect from 1 January 1997, under 22 years of age and who is—

• (i) receiving full-time instruction at any university, college, school or other educational establishment, or

• (ii) undergoing full-time instruction or training approved by the Minister with the consent of the Minister for Public Expenditure and Reform and provided by any person (in this Chapter referred to as “the employer”) for any vocation, profession or trade, or

• (c) permanently incapacitated by reason of mental or physical infirmity from maintaining himself or herself and who, when his or her permanent incapacity first occurred, was a person described in Paragraphs (a) or (b);

“children’s pension” has the meaning assigned to it by Article 42 and 43;

“deceased member” means a member or former member of Chapter 1 referred to in Article 39;

“deceased’s pension” has the meaning given in Article 40;

“former member” in respect of Chapter 1 membership, means a member of Chapter 1 who dies, retires on pension under Part 2 or resigns from employment as an ETB Teacher;

“pensionable service” means service which is pensionable under Article 9 and, in the case of a member of this Chapter who died in service or who, on or after I June 1973 retired on medical grounds, the member’s potential service to compulsory retirement age or, in the case of a new entrant, to 65 years of age, provided that total pensionable service shall not exceed 40 years;

“survivor’s pension” has the meaning assigned to it by Article 40.

(2)(a) Subject to Paragraph (b), where, in relation to a person referred to in Paragraph (b) of the definition of “child” in Paragraph (1), a break occurs in his or her full-time instruction or training then, unless the Board, with the approval of the Minister, in its absolute discretion otherwise directs, he or she shall, for the duration of such break, be regarded as having ceased to be a child for the purposes of this Chapter.

• (b) Where a child referred to in Paragraph (a), is undertaking a multi-annual programme of education, instruction or training, the relevant institution’s holiday period shall not constitute a break, provided that the child resumes the period of training or instruction immediately following the holiday period.

• (3) The following persons shall not be regarded as a child within the meaning of this Chapter, namely:

• (a) a person who was not wholly or mainly dependent on a member or former member immediately preceding the member’s death,

• (b) a person who is married, in a civil partnership or is cohabiting, or

• (c) a person referred to in Paragraph (b)(ii) of the definition of “child” in Paragraph (1) to, or in respect of whom, emoluments in respect of such instruction or training are payable by, or on behalf of, the employer and which are of such an amount as makes the person self-supporting,

save that, where the Board, subject to the direction of the Minister is satisfied that there are compassionate grounds for doing so, he or she may direct that a person be treated as such a child notwithstanding the foregoing provisions and, where the Minister gives such a direction, then, for so long as the direction remains in force, the person shall be treated as such a child.

• (4) Where in respect of a person to whom Paragraph (3)(c) relates, a break occurs in his or her education, instruction or training, then unless the Board with the approval of the Minister, in its absolute discretion, otherwise directs, he or she shall for the duration of such break, be regarded as a child for the purposes of this scheme.

Membership (Chapter 1)

• (a) a person admitted to Part 2 membership for the first time on or after 1 January 1986 with effect from the date he or she is admitted to such membership;

• (b) a person who having had Part 2 membership during the period from 1 September 1984 to 31 December 1985 elected in writing during that period to have this Chapter applied to him or her with effect from 1 September 1984 or the date his or her Part 2 membership commenced, whichever is the later.

• (2) Where a person who is entitled to exercise an option to become a Chapter 1 member dies before 31 December 1985 without having exercised the option, the option may be exercised by the person’s spouse or personal representative.

Power to grant Survivors’ and Children’s Pensions (Chapter 1)

• (a) where he or she is survived by a spouse or civil partner, a pension to that spouse or civil partner (in this Chapter referred to as a “survivor’s pension”), and

• (b) where he or she is survived by a child or children (whether or not a survivor’s pension is, or can be, granted), a pension for that child or those children (in this Chapter referred to as a “children’s pension”).

Survivors’ Pensions — Calculation (Chapter 1)

• (2) The survivor’s pension shall be one half of the deceased’s pension.

• (3) In the case where the former member dies while in receipt of a pension, other than a pension based on Article 18 (Cost Neutral Early Retirement), a preserved pension or a pension awarded on medical grounds, the deceased’s pension is—

• (a) where the deceased member was not fully insured, the amount of such pension, or

• (b) where the deceased member was fully insured, the pension which would have been granted to him or her if calculated by reference to net pensionable remuneration (survivor’s benefits) at the date of his or her retirement, as adjusted by reference to Article 68 (Adjustment to Pensions).

• (4) In the case where the former member dies following retirement on medical grounds, the deceased’s pension is the pension which would have been granted to him or her if it fell to be calculated by reference to—

• (a) where the deceased member was not fully insured, his or her pensionable remuneration at date of retirement as adjusted by reference to Article 68 (Adjustment to Pensions), and the pensionable service which the deceased would have had if he or she had served to age 65, or, to the date on which his or her contract of employment would expire if earlier, or

• (b) where the deceased was fully insured, his or her net pensionable remuneration (survivor’s benefits) at the date of retirement as adjusted by reference to Article 68 (Adjustment to Pensions) during the period between retirement and death and the pensionable service which the deceased would have had if he or she had served to age 65 or, to the date on which his or her employment contract would expire if earlier;

provided that in the case of a former member who was job-sharing or part-time, service to age 65 is calculated as set out in the Department of Public Expenditure and Reform Circular 11/2012.

• (5) In the case of a preserved pension being in payment to the deceased or where the deceased had an entitlement to a preserved pension, having attained the preserved pension age, the deceased’s pension is—

• (a) where the deceased was not fully insured, the amount of such pension, or

• (b) where the deceased was fully insured, the preserved pension which would have been payable to him or her if it had been calculated by reference to net pensionable remuneration (survivor’s benefits) at the date of resignation as adjusted by reference to Article 68 (Adjustment to Pensions) during the period between resignation and death.

• (6) In the case where the deceased member had entitlement to a preserved pension but at date of death had not attained the minimum pension age, the deceased’s pension is an amount equal to:

D x E/80 where

D is the number of years of reckonable service at the date of resignation and

E is—

• (a) where the deceased member is not fully insured, his or her pensionable remuneration at date of resignation as adjusted by reference to Article 68 (Adjustment to Pensions) during the period between resignation and death, or

• (b) where the deceased member is fully insured, his or her net pensionable remuneration (survivor’s pension) at the date of resignation as adjusted by reference to Article 68 (Adjustment to Pensions) during the period between resignation and death.

• (7) In the case where the deceased member dies while an active member of the scheme, the deceased’s pension is the pension to which he or she would have been eligible if Paragraph (4) applied to him or her at date of death and as if references in that paragraph to retirement were removed.

• (8) In the case where the deceased member elected to be paid a Cost Neutral Early Retirement Pension under Article 18, the deceased’s pension is the amount of the pension calculated in accordance with Paragraph (5), had the former member not received a Cost Neutral Early Retirement Pension.

Survivors’ Pensions — Grant and Payment (Chapter 1)

• (a) where the spouse or civil partner was, at the time of the death of the member or former member, cohabiting with a person other than the deceased, or

• (b) in respect of any period after the death of the member or former member when the spouse or civil partner is married, in a civil partnership or is cohabiting with any person.

• (2) Notwithstanding Paragraph (1), where—

• (a) a pension under this Chapter is not granted or ceases to be paid under Paragraph (1), and

• (b) at a date subsequent to the date of the marriage, civil partnership or cohabitation by reason of which the pension was withheld or ceased to be paid, the Board is satisfied that the marriage, civil partnership or cohabitation has come to an end, or that there are compassionate grounds for the payment of pension,

the Board with the approval of the Minister, may, if it thinks fit, grant or re-grant, as may be appropriate, the pension—

• (i) in the case of a marriage, civil partnership or cohabitation which has come to an end, from the date on which such marriage, civil partnership or cohabitation ended, or

• (ii) in any other case, from a date not earlier than the date on which the relevant application is received by the Board.

(3)(a) A spouse or civil partner shall not be eligible for a survivor’s pension under this Chapter in respect of more than one member.

• (b) Where a spouse or civil partner would, save for this paragraph, be eligible for a survivor’s pension in respect of two or more members, he or she shall be entitled to whichever pension provides him or her with the most favourable benefits.

• (c) As provided in section 54 of the 2012 Act, with effect from 1 November 2012, a person shall be eligible to receive only one survivor’s pension from a public service pension scheme, except in the case where the person is eligible for more than one survivor’s pension in respect of a deceased person who was in receipt of or was eligible to receive more than one public service pension.

• (4) Subject to Paragraph (1) and Article 69, (Cesser or reduction of benefits) a survivor’s pension may be paid for the whole of the period beginning on the death of the deceased and ending with the death of the surviving spouse or civil partner.

(5)(a) For the purposes of Article 47 (Non-periodic contributions), on the death of a member or former member of this Chapter who was not married and not in a civil partnership at retirement and who subsequently married or entered a civil partnership, a pension shall be payable under this Chapter based on all pensionable service, including service which, had the member or former member been married or in a civil partnership at retirement, would have been paid for by way of non-periodic contributions under that Article.

• (b) Where Paragraph (a) applies, the deceased member’s estate shall not be liable for the payment of any further contributions under that Article.

(6)(a) In the case of the death of a member or former member of Chapter 1 who was fully insured or where the member or former member’s pension was calculated on a combination of service provided when the person was not fully insured and service provided when the person was fully insured, the Board may, subject to Paragraph (b), pay to his or her spouse or civil partner a supplementary pension, the amount of which shall not exceed the amount, if any, obtained by applying the following formula—

A — B where—

A is the rate of survivor’s pension which would have resulted from the calculation referred to in Paragraph 40(3)(a) if the deceased’s pension had been based on pensionable remuneration, and

B is the rate of survivor’s pension resulting from the calculation referred to in Paragraph 40(3)(b) together with the personal rate of the contributory survivor’s pension, if any, payable to the spouse or civil partner.

• (b) The supplementary pension under Paragraph (a) may be payable in respect of any period during which the spouse or civil partner—

• (i) fails to qualify for contributory survivor’s pension where such failure is due to causes outside his or her control, or

• (ii) qualifies for contributory survivor’s pension at less than the maximum personal rate due to causes outside his or her control.

• (7) Notwithstanding Paragraph (6) where, on the death of a member or former member of this Chapter, other than a former member who qualifies for a preserved pension or a Cost Neutral Early Retirement pension, a survivor’s pension becomes payable, the rate of that pension may, in respect of the first month after his or her death, be increased to—

• (a) where he or she dies while a member of this Chapter, 1/12th the rate of his or her pensionable remuneration,

• (b) where he or she dies while in receipt of Temporary Rehabilitation Remuneration and the rate of Temporary Rehabilitation Remuneration is greater than the rate of the survivor’s pension, one twelfth of the rate of Temporary Rehabilitation Remuneration in payment at date of death, or

• (c) where he or she dies after being granted a pension and he or she is—

• (i) not fully insured, where the rate of pension payable to him or her on the date of his or her death is greater than the rate of survivor’s pension otherwise payable under this Chapter, 1/12th such rate of pension, or

• (ii) fully insured or where the pension is calculated on a combination of service provided when the person was not fully insured and service provided when the person was fully insured, where the rate of pension payable to him or her on the date of his or her death, if it had been calculated on the basis of net pensionable remuneration (Survivors’ Benefits) instead of net pensionable remuneration, is greater than the rate of survivor’s pension otherwise payable under this Chapter, 1/12th such rate of pension,

provided that the rate as so increased shall be reduced by the rate of any children’s pension payable under this Chapter and that the amount payable to the spouse or civil partner under this Chapter in respect of the period of one month commencing on the day immediately following that of the deceased member’s death may be paid at any time on or after the first day of such period.

Children’s Pensions — Beneficiaries (Chapter 1)

• (2) Where, save for this Article, there would be an eligibility for a children’s pension in respect of two or more members, the child shall count as eligible in respect of one of them in the way which, in the opinion of the Board, will give the most favourable overall result for the child or children in question.

Children’s Pensions — Rate and Mode of Payment (Chapter 1)

• (b) Where children are in the care of two or more persons, different parts of the children’s pension shall be paid to those persons in such proportions as the Board may determine.

• (c) A children’s pension shall be applied for the benefit of the children for whom it is granted.

• (2) A children’s pension may be paid only in relation to a period subsequent to the death of the deceased.

• (3) The rate of children’s pension under this Chapter is—

• (a) where the deceased is not survived by a spouse or civil partner or he or she is survived by a spouse or civil partner who subsequently dies, in respect of periods after the spouse’s or civil partner’s death—

• (i) where there is one child, 1/3 the deceased’s pension, or

• (ii) where there are 2 or more children, a rate in respect of each child equivalent to 1/2 the deceased’s pension divided by the number of children;

or

• (b) subject to Paragraph (4), where the deceased is survived by a spouse or civil partner—

• (i) where there are not more than three children, 1/6th the deceased’s pension for each child, or

• (ii) where there are more than 3 children, a rate in respect of each child equivalent to 1/2 the deceased’s pension divided by the number of children.

• (4) Where the children of the deceased are at the time of, or at any time after, his or her death in the care of some person other than the spouse or civil partner, the Board may, if it thinks fit, direct that for so long as they are in such care Paragraph (3)(a) shall apply notwithstanding that the spouse or civil partner is still alive and, where the Board so directs, Paragraph (3)(a) shall be construed and shall have effect in accordance with the direction.

• (5) Notwithstanding the foregoing provisions of this Article, subject to Paragraph (6), where the deceased is survived by a spouse or civil partner and a survivor’s pension is not granted under this Chapter or, if one is so granted and it ceases to be paid before his or her death, a children’s pension shall not be payable under this Chapter in respect of any period comprised within the lifetime of the spouse or civil partner or within the time in respect of which the survivor’s pension is not payable, as may be appropriate, unless the Board in its discretion directs that such a pension shall be payable and, where the Board gives such a direction, it may, if it thinks fit, further direct that Paragraph (4) shall apply as respects any such period.

• (6) The discretion provided for in Paragraph (5) may not be exercised in a case where a survivor’s pension is not payable due to the provisions of section 54 of the 2012 Act.

Periodic Contributions (Chapter 1)

(2)(a) Subject to Paragraph (b), the contribution shall comprise 1.5% of remuneration, and

• (b) for officers who remain in Limited Membership, contributions shall comprise 1.5% of actual remuneration,

provided that in the case of members referred to in Paragraph (a), where in respect of any period that the member is not working on a wholetime basis, the contribution rate is adjusted by reference to the proportion that the number of hours worked bears to the number of hours that would have been worked if the member had been working on a wholetime basis.

• (3) A person admitted to Chapter 1 membership shall commence payment of contributions specified in this Article with effect from 1 September 1984 or the date on which he or she becomes a member, whichever is the later, and ending when he or she ceases to be a member. Such payments shall be made at such times and in such manner as the Minister may determine.

• (4) Where a member of this Chapter is in receipt of reduced remuneration because of absence from employment during a period of sick leave, contributions will be payable by the member based on the amount of salary or pensionable remuneration, as the case may be, that would be payable to him or her if he or she was not so absent.

• (5) Contributions shall not be payable under this Chapter by a member for any period which does not constitute pensionable service.

(6)(a) At the discretion of the Board and subject to conditions specified by it, a member may elect to pay, over a period specified by the Minister, additional contributions—

• (i) subject to Paragraph (ii), equal in each case to the amount of the periodic contributions payable, or

• (ii) in the case of a member who is in part-time service or job-sharing and is not in Limited Membership, payable by reference to remuneration,

in respect of such period, to reduce an outstanding liability in respect of a period for which periodic contributions were not paid.

• (b) Where one or more such additional contributions are made under Paragraph (a), this Article shall apply to the person by whom the contribution or contributions is or are made subject to the modification that, in calculating the number of relevant years, such number shall be reduced by one for every annual contribution made by the person under Paragraph (a).

• (c) Additional periodic contributions under Paragraph (a) shall be refundable in accordance with the provisions of Article 45.

Refund of Contributions (Chapter 1)

• (b) Where a member who was awarded a pension on retirement on medical grounds in accordance with Article 19 is re-employed by the Board in a pensionable post, then any non-periodic contributions in respect of potential service to age 65 which were deducted from the lump sum payable on the initial retirement shall be returned to him or her.

• (2) A person who, on ceasing to be a member of this Chapter, has paid periodic contributions for a period in excess of 40 years is entitled at retirement or his or her legal personal representative is so entitled on the death of the member in service to a refund of such of those contributions, beginning with his or her initial contributions and working forward, as is necessary to secure that the period in respect of which such contributions are paid by him or her without being refunded does not exceed 40 years.

• (3) Where any contributions are refunded by the Board under this Article, they shall be refunded without interest and less an amount equal to any liability for income tax or any other statutory liability in respect of such contributions.

(4)(a) A Chapter 1 member who retires on pension or dies in service and who has been in the religious life and bound by a vow of celibacy throughout the period of his or her membership is entitled to a refund of his or her periodic contributions.

• (b) Where a person referred to in Paragraph (a) leaves the religious life or ceases to be bound by a vow of celibacy and subsequently becomes a member of this Chapter, he or she shall repay to the Minister the amount of the periodic contributions refunded to him or her, together with compound interest on that amount from the date of payment to him or her at such rate as the Minister, with the consent of the Minister for Public Expenditure and Reform, may from time to time determine.

• (5) Where periodic contributions are refunded in accordance with Paragraph (1) to a person who subsequently becomes a member of this Chapter, the period to which the contributions relate may become pensionable under this Chapter only if the contributions are treated as contributions refunded under Article 10 and are repaid in accordance the provisions of that Article.

Former Members returning to Membership (Chapter 1)

• (2) Where a person, on becoming a member of this Chapter, had at any time previously been a member of this Chapter and had paid periodic contributions during such period of membership, such period shall be excluded in determining the number of relevant years under Article 47(8) provided that—

• (a) no refund of those contributions is or was paid, or

• (b) such refund, where made in accordance with Paragraph (5) of Article 45, has been repaid in accordance with that paragraph, or