Single scheme to be introduced for new public sector workers [IrishTimes]
- Published: 10 December 2009
PENSIONS: EMPLOYEES ENTERING the public sector from 2010 will not only have to deal with lower salaries, but also potentially lower pensions upon retirement, given the Government’s plans to reform public service pension arrangements. The introduction of a single scheme, which is set to be in place by the end of next year, is expected to bring public pension terms in line with private sector norms.
From 2010 onwards, pensions will be based on “career average” earnings, rather than final salary as currently applies. In practice, this will mean that a specific “pension accrual rate” will be applied to pensionable pay, so that each year public servants will earn or accrue a certain amount of pension payable on retirement.
Full Story: www.irishtimes.com
