Written Answers - Pension Provisions

Thursday, 8 July 2010

Dáil Éireann Debate
Vol. 715 No. 2

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  254.  Deputy David Stanton  Information on David Stanton  Zoom on David Stanton   asked the Minister for Health and Children  Information on Mary Harney  Zoom on Mary Harney   further to Parliamentary Questions Nos. 249 and 301 of 19 January 2010, if she will list the bodies which qualify as Health Service Executive service providers under section 38 of the Health Act 2004 and so are classified as public service bodies; the bodies to which the HSE pays a grant towards running costs under Section 39 of the Health Act 2004 and so are not liable for pension levy or salary reductions; and if she will make a statement on the matter. [31446/10]

Minister for Health and Children (Deputy Mary Harney): Information on Mary Harney  Zoom on Mary Harney  The Financial Emergency Measures in the Public Interest (No. 2) Act 2009 (FEMPI), provides for the application of a [621]reduction in remuneration for all public servants. For the purposes of the Act, a public servant includes a person who is employed by, or who holds any office or other position in a public service body. The Health Service Executive and bodies funded under Section 38 of the Health Act 2004 are public service bodies, as defined in the FEMPI legislation.

Grant aided agencies (funded under Section 39 of the Health Act 2004) are not directly affected by the pay adjustments provided for under the Financial Emergency Measures in the Public Interest (No. 2) Act 2009 because Section 39 agencies are not public service bodies as defined in that Act and their employees are not public servants. However, as the Deputy knows, the Government has decided to reduce its payroll costs in various ways — principally by reducing the salaries paid to public servants and reducing the numbers employed. It has also decided to seek further reductions in the fees paid for certain professional services under the provisions of the Financial Emergency Measures in the Public Interest (No. 1) Act 2009. These and other measures agreed in Budget 2010 are deliberately designed to protect the existing levels of public services and to provide a more sustainable payroll cost base into the future.

In that context, the grant funding of Section 39 Agencies is subject to the general efficiency savings for the health sector provided for in the Budget. Accordingly, it is entirely appropriate that Section 39 Agencies and other HSE funded voluntary providers take appropriate measures to ensure that they continue to provide the same level of service in 2010 as previously, notwithstanding the reductions in their funding. It is the responsibility of each individual employer to decide exactly what mix of actions should be taken to achieve this goal, to take appropriate legal and other advice, to consult and inform its employees/trade unions as necessary and to manage the HR and industrial relations implications of its decisions.

In relation to the pension related deduction, all employees, including full time and part time employees on the payroll of Section 38 agencies, who are, or are entitled to be, members of a public service occupational pension scheme or pension arrangement are subject to the deduction provided for under the Financial Emergency Measures in the Public Interest Act (No. 1) 2009.

Agencies funded by the HSE under Section 38 of the Health Act 2004 are listed in the following table:

Voluntary Hospitals
Adelaide & Meath Inc. N.C. Hospital Tallaght
Beaumont Hospital
Cappagh National Orthopaedic Hospital
Children’s University Hospital, Temple Street
Coombe Women’s Hospital
Mater Misericordiae Hospital
Mercy University Hospital, (Cork)
National Maternity Hospital, Holles Street
Our Lady’s Hospital for Sick Children, Crumlin
Rotunda Hospital
Royal Victoria Eye & Ear Hospital
South Infirmary Victoria Hospital
St. James Hospital
St. John’s Hospital (Limerick)
St. Luke’s Hospital
St. Michael’s Hospital, Dun Laoghaire
St. Vincent’s University Hospital

Voluntary Agencies — Primary & Community Services
Beaufort — St Mary’s of the Angels — merged with St John of God’s
Brothers. of Charity, Lota (Southern)
Cope Foundation
St. John of God, Tralee
Cork Dental Hospital
St. Patrick’s, Kilkenny
Brothers. of Charity, Waterford (South-Eastern)
Carriglea (Sisters of the Bon Sauveur)
Brothers. of Charity — Galway Region
Brothers. of Charity, Limerick (Mid-West)
Daughters of Charity, Limerick
Brothers. of Charity, Clare
Daughters of Charity, St Anne’s Centre, Roscrea
Brothers. of Charity — Roscommon Region
Cregg House (Sisters of La Sagesse Services)
Cheeverstown House
Leopardstown Park Hospital
Royal Hospital, Donnybrook, Dublin
Our Lady’s Hospice, (Harold’s Cross)
Peamount Hospital (Newcastle)
Stewart’s Hospital, (Palmerstown)
Children’s Sunshine Home
Drug Treatment Centre Board
Kare, Morefield, Newbridge, Co Kildare
Moore Abbey (Sisters of Charity)
Sisters of Charity (Laois/Offaly Centre)
Sisters of Charity (Delvin)
Dublin Dental Hospital Board
National Rehabilitation Hospital
St. John of God Eastern Region
Sunbeam House Services
Central Remedial Clinic
Incorporated Orthopaedic Hospital (Clontarf)
St. Michael’s House, Dublin (incorporates St Mary’s Auxiliary Hospital)
St. Vincent’s, Fairview
Daughters of Charity, Navan Road
St. John of God, Drumcar

The part of the question which deals with the bodies to which the HSE pays a grant under Section 39 of the Health Act 2004 has been referred to the Executive for attention and direct reply to the Deputy.


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