Early Retirement Scheme Public Service

[Sunny]

Am I mistaken or is the Government allowing people to retire on full pensions at the age of FIFTY? The only thing is that they won't be able to collect 90% of the lump sum until they turn 60. So someone earning €80,000 a year can retire early on a pension of €40,000 a year (assuming 50% pension) at the age of 50. So at 10 years (until normal retirement age) x €40,000, that is pretty much a redundancy package of €400,000 and a full pension after that as well.

Surely it can't be that generous?

 

[aonfocaleile]

Re: Early Retirement Scheme Public Sector

You retire on your full pension - i.e.whatever number of years you have worked. For example, if at aged 50 you have worked 30 years in the civil service, you can retire and receive a pension based on the 30 years service. A "full pension" is 40 years. Previously, where people retired that early there was an actuarial reduction applied.

Edit to add that it is a generous scheme and it will achieve its goal, which is to reduce numbers in the civil service and the pay bill. Remember, most of those who opt for it won't be replaced. By the way, why is this a LOS issue? Surely it should be in the pensions forum?