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department of social and family affairs annual report 2006 - Welfare.ie

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goal 1: retired <strong>and</strong> older people<br />

To ensure adequate, secure <strong>and</strong> sustainable pensions for retired <strong>and</strong> older<br />

persons <strong>and</strong> provide additional services in response to changing needs which<br />

allow them to maintain a reasonable st<strong>and</strong>ard <strong>of</strong> living on attaining retirement age<br />

At the end <strong>of</strong> December <strong>2006</strong> approximately<br />

338,000 people were in receipt <strong>of</strong> retirement<br />

or old age pensions while just under 62,000<br />

qualif<strong>ie</strong>d adults <strong>and</strong> 3,300 children also benefited.<br />

In addition there were almost 1.6 million<br />

recip<strong>ie</strong>nts <strong>of</strong> the Households Benefit Package<br />

(Electricity/Gas Allowance, Free Television Licence<br />

<strong>and</strong> Telephone Allowance) <strong>and</strong> the Free Travel<br />

Pass, the majority <strong>of</strong> whom were in receipt <strong>of</strong><br />

pensions for older people.<br />

> Service Delivery Modernisation<br />

Programme<br />

In <strong>2006</strong> the Service Delivery Modernisation<br />

(SDM) programme has exp<strong>and</strong>ed to encompass<br />

Retirement Pension, Old Age Contributory Pension<br />

(renamed State Pension (Transition) <strong>and</strong> State<br />

Pension (Contributory) in <strong>2006</strong>), Free Travel,<br />

Bereavement Grant <strong>and</strong> the Overpayment <strong>and</strong><br />

Debt management system.<br />

> OBJECTIVE 1<br />

Ach<strong>ie</strong>ve a high level <strong>of</strong> customer satisfaction by<br />

delivering <strong>social</strong> insurance <strong>and</strong> assistance pensions<br />

<strong>and</strong> additional services to a high st<strong>and</strong>ard.<br />

Some 220,000 existing pensioner customer<br />

records were successfully migrated to the SDM<br />

system <strong>and</strong> day–to-day work on pension claim<br />

administration is now being processed on the<br />

new system.<br />

goal 1: retired <strong>and</strong> older people<br />

> Customer Service<br />

Following the decision that persons on Invalidity<br />

Pension would transfer automatically to State<br />

Pension (Contributory) (SPC) on reaching age<br />

66, arrangements for migration <strong>of</strong> Invalidity<br />

Pensioners to SPC were completed on schedule in<br />

September <strong>2006</strong>. Over 9,400 Invalidity Pensioners<br />

were transferred to SPC <strong>and</strong> received their first<br />

SPC payment on 29 September <strong>2006</strong>. Procedures<br />

have been put in place to automatically transfer<br />

Invalidity Pensioners that turn 66 years <strong>of</strong> age to<br />

SPC on a weekly basis.<br />

Processing times for pension claims improved on<br />

2005 in a majority <strong>of</strong> pension categor<strong>ie</strong>s.<br />

For details see Appendix 1 – Status Report on<br />

organisational targets.<br />

> OBJECTIVE 2<br />

Ensure the overall pension system provides a<br />

reasonable level <strong>of</strong> replacement income for retired<br />

<strong>and</strong> older persons <strong>and</strong> their survivors by:<br />

(a) Providing adequate <strong>and</strong> sustainable state<br />

pensions <strong>and</strong><br />

(b) Ensuring extensive, secure <strong>and</strong> adequate<br />

supplementary pension provision, in<br />

consultation with the Pensions Board.<br />

(a) Providing adequate <strong>and</strong><br />

sustainable State pensions<br />

> Budget 2007 increases<br />

Budget 2007 (December <strong>2006</strong>) provided for<br />

pension increases <strong>of</strong> €16 <strong>and</strong> €20 for contributory<br />

<strong>and</strong> non-contributory pensions respectively. This<br />

brought the maximum rate <strong>of</strong> payment for the<br />

contributory pension to €209.30 per week <strong>and</strong><br />

the non-contributory payment to €200 per week<br />

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