Claire Kerrane (Roscommon-Galway, Sinn Fein)
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1628.To ask the Minister for Health if he has raised concerns over the proposal to apply the Department of Public Expenditure, National Development Plan Delivery and Reform Circular 24/2022 retrospectively to December 2022 for healthcare professionals (details supplied); and if he will make a statement on the matter.[34025/24]

Stephen Donnelly (Wicklow, Fianna Fail)
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Pension abatement has been a long-established principle of civil and public service pension schemes. It originally applied to retired public and civil servants who returned to an appointment within the same body or sector from which they retired.

The Public Service Pensions (Single Scheme and Other Provisions) Act 2012 extended the principle of pension abatement to apply to retired public and civil servants who return to work in any public or civil service body and abatement as per the Act has been in operation since 1 November 2012.

Department of Health Circular 21/2005 – Suspension or Reduction of Allowances (Pensions) on Public Health Sector Superannuation Schemes – issued on 20 October 2005 following consultation between the Department of Health and the Department of Finance. This circular allowed public health sector pensioners earn up to 50% of the remuneration of their former post before any reduction in pension is made subject to certain conditions.

This was a departure from the normal application of pension abatement which is calculated on a periodic basis (fortnightly, monthly, etc) and pro-rata basis (taking account of the work pattern of the individual, e.g., part-time or work-sharing).

On 21 December 2022, the Department of Public Expenditure, NDP Delivery and Reform (DPENDR) issued Circular 24/2022 - Guidance on the application of Abatement of Public Service Occupational Pensions under section 52 (1) to (5) of the Public Service Pensions (Single Scheme and Other Provisions) Act 2012. This Circular provides guidance on the correct application of pension abatement in respect of all public and civil servants in accordance with the provisions of the 2012 Act.

On foot of the transmission of DPENDR Circular 24/2022, the Department of Health informed the HSE that Department of Health Circular 21/2005 was rescinded and that correct abatement, on a pro-rata and periodic basis, as per DPENDR Circular 24/2022, should now be applied.

If should be noted that HSE was advised that DPENDR Circular 24/2022 would be applied in respect of all pensioners appointed on or after 21 December 2022, i.e., the date of issue of Circular 24/2022.