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Garda pension and Public sector pay increases.

  • 19-10-2022 10:28pm
    Registered Users Posts: 1,802 ✭✭✭tea and coffee

    Settle an argument for me, please.

    Someone in AGS retires and subsequently the public sector pay increase comes in.

    Is their pension increased in line with the pay increase?

    Also, does retiring before or after the increase have any impact on their lump sum gratuity?



  • lump sum is done at the rate of the date of retirement

    pension is calculated on the rate of the day and therefore goes up with salary increases to the relevant scale/grade

    note this is at ministerial discretion and not as such guaranteed under the relevant legislation/circular as i recall

  • oh apologies if you are referencing the backpay then i would think that if they had retired since the date to which the increase is backdated then they will be in line for both lump sum and pension back pay

  • Registered Users Posts: 1,802 ✭✭✭tea and coffee

    Thanks Kyla Wailing Umpire.

    They are yet to retire, and are wondering if they should wait til after the March pay increase to do so I.e work past 30 years.

    I have said they will receive (as you have said) relevant pay (I.e. pension) increases, but will indeed miss out on the increase in lump sum (as you state in your first post). However, I have said that it is not worth working past the 30 years as would essentially be doing do for "half" the pay (given they would be in receipt of the pension at that stage) and this would negate any increase of the lump sum by virtue of the proposed pay increases.

    Am I correct in all aspects?

  • *edit* im not clear what you mean that they would be receiving the pension- can you clarify please?

    if I understand you correctly, yes. ( edit above)

    once you have accrued maximum service i believe its correct to state that you would continue to contribute pension deductions (and i believe they are significant in the last ten years of gardai service because of fast accrual?) but receive no actual benefit for these payments.

    now, id encourage anyone to make sure of that via the relevant hr within their own dept to be certain, and also id note that every individual has to decide whether other factors outweigh the above- standard caveats!

  • Registered Users Posts: 5,834 ✭✭✭SouthWesterly

    They can get onto justice in killarney and request their estimates for retirement. Include his Reg.

    Payroll don't do this just so he knows.

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  • Registered Users Posts: 1,802 ✭✭✭tea and coffee

    Re your question:What I mean is:

    If they were to retire they would get (for arguments sake) €1500 a month for sitting on their behind. If they were to work on, they would get €3000 a month as per usual like they do during their working life, but in essence they are working for only €1500 of this, given they would get the other €1500 as their pension payments anyway.

    So therefore, any benefit they would get in the lump sum due to the March pay increase would be far negated by working for only "half" their salary.