FORMER TAOISIGH WOULD see their pensions cut under new proposed pension reforms.
The likes of Bertie Ahern and Brian Cowen are currently assessed separately for their pensions based on two salaries – one for being Taoiseach and one for being a TD. Under these changes these pensions will now be assessed as one, meaning that exemptions and deductions will apply to an overall figure.
Other holders of multiple pensions will also be affected.
Minister for Public Expenditure and Reform Brendan Howlin has told the Oireachtas Committee on Public Expenditure and Reform that the proposed new scheme holds benefits for lower paid civil servants, more so than those at the higher end of the pay scale.
He said that those who currently earn “Rolls Royce” salaries will feel the impact of the reforms. Pensions will now be calculated based on each year worked, rather than salary at the time of retirement.
Fine Gael TD Olivia Mitchell said that it would put an end to the promotion of people late in their employment, while Sinn Féin’s Mary Lou McDonald welcomed the news that multiple salaries are to be assessed as a lump sum.
The cap
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