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Minister Donohoe launching the report today

Public Expenditure Minister Paschal Donohoe today published the Report of the Interdepartmental Group on Fuller Working Lives chaired by his Department.

The Group considered policy around retirement age in both the public and private sectors, examining implications arising from retirement ages now and in the future. The report makes recommendations on a policy framework to address the issues identified and to support fuller working lives.

The establishment of the Group came in light of the fact that people are now living longer, more active and healthier lives, as well as in light of the demographic pressures associated with an ageing population.

Expenditure on State pensions and relevant supplementary payments is set to rise from €7 billion in 2016 to €8.7 billion in 2026, assuming no rate changes – notwithstanding the rise in the age of eligibility for the State Pension from 66 to 67 in 2021 (and 68 in 2028).

The Group identified a set of framework principles to underpin policy in this area and made the following recommendations which will now be implemented by the relevant Departments:

• The Department of Jobs, Enterprise and Innovation is to ask the Workplace Relations Commission to prepare a code of practice around the issue of longer working;
• Employers should take steps to ensure that their policy on retirement age is clearly articulated;
• Employers and workers representatives should take measures to improve awareness among both workers and employers of options, rights and responsibilities around longer working;
• The Department of Public Expenditure and Reform is to review, with public service employers, the barriers to extended participation in the public service workforce up to the age of entitlement to the State Pension;
• The Department of Justice is to ask the Irish Human Rights and Equality Commission to ensure that appropriate guidance material is made available to employers on the use of fixed-term contracts beyond normal retirement age; and
• The Department of Education is to request SOLAS (The Further Education and Training Authority) and the Education and Training Boards in the context of the National Skills Strategy to develop appropriate solutions tailored to the needs of older workers in order to support them in staying attached to the workforce.

The Minister said: 

This is an important piece of work. People are, thankfully, living longer and healthier lives and this trend will continue into the future. An ageing population does creates challenges as well as opportunities that need to be explored. We need a policy framework to support those who want to continue to make an active contribution throughout their lives, including through work. Together with the National Positive Ageing Strategy, the recommendations set out in this Report will help us to achieve that.

You can read the report here. 

For more information read the press release here.