GSP20-21 Retirement Policy – An Post

Description

 

The CWU and An Post has concluded agreement on a Retirement Policy, a copy of which is attached.

The agreement ensures there will be a consistent approach by the Company in the way retirement is planned for. Furthermore, it establishes the approach to requests by members seeking to extend their working life, beyond the Maximum Retiring Age. It also confirms how the Normal Retirement Age (NRA) is calculated which incorporates the following:

1. Employed pre-Vesting Day i.e. prior to 1^st January 1984

For those employed pre vesting day, Normal Retirement Age is the date on which they reach the age of sixty years.

2. Paying Class D PRSI

For those paying Class D rate of PRSI and who joined post Vesting Day, provided that at such time their age is not less than 60 years, it will be either, when they have completed 40 years’ pensionable employment or, the date on which they attain the age at which the State Pension (Contributory) is payable.

3. Paying Class A PRSI

For those paying the Class A rate of PRSI the Normal Retirement Age is the date on which they become eligible for the State Contributory Pension, currently age 66.

 In all cases the Maximum Retirement Age is the date on which an employee might become eligible for the State Contributory Pension i.e. 66.

A key concern for the Union was the failure by the Company in some instances, to contact and prepare employees in a timely manner for their retirement, which resulted in uncertainty. Consequently the following agreed approach will apply:

1. A member of HR will meet with any employee 12 months before their NRA and 12 months ahead of any minimum age / service at which they can retire to ascertain their intentions and hear any concerns or issues they may have.
2. They will ensure that the employee has access to a pre-retirement course if they wish to attend one. This will enable them to gain access to professional information on pensions and pension related matters.

The policy will also recognise that some employees may change their mind about retiring early or wish to extend their retirement date and the policy ensures this.

In addition it is agreed employees approaching their MRA will be given the opportunity to extend their working life for up to 12 months at a time in the following circumstances:

1. To ensure specialised roles and specialised knowledge are retained within the Company where this is needed.
2. To ensure that the role/job continues to be performed during any handover/recruitment phase and to ensure no interruptions/gaps in the role/job.
3. To ensure continuity of service, knowledge and standards in particular projects undertaken by the Company.
4. To meet employee requirements to prepare better for retirement or to improve pension provision.

Applications from members for extensions should be sent to the Company at least 12 months before the MRA, setting out the reasons they are seeking an extension, the duration and whether it is sought on a full time or part time basis. Any request will be considered by the Company and the member will be provided with a written response. Each case will be considered on its merit and the Company will take the following into account when deciding on an application to extend the members working life:

a. Individual’s circumstances and their ability to give regular and reliable service

b. The need for intergenerational fairness i.e. allowing younger workers to progress

c. Creation of a balanced age structure within the Company

d. Succession Planning

e. Motivation and dynamism through the increased prospect of promotion

f. The continuing need for their role

g. Consideration of any risks from a health and safety perspective to the employee or others.

The policy will be reviewed on an ongoing basis. Please bring to the attention of all members.

Attachment to GSP 20-21 Retirement Policy – An Post

Publication Type: Circular