Retired RTÉ staff relying on charity to heat homes
Pensioners suffering as def ined benef it scheme falls behind inf lation
RTÉ pensioners are being forced to turn to charity to help with their fuel bills, the national broadcaster chairperson has been told.
At a specially convened meeting last month, representatives of the broadcaster’s Pensioners Association, Superann, told Siún Ní Raghallaigh a group of at least 30 pensioners depend on help from the RTÉ’s Benevolent Society’s fuel scheme to heat their homes in colder months.
The people, who include the spouses of deceased staff members, contact the society up to twice a year to request help with their bills.
The association is currently lobbying the Government for a four per cent increase in its defined benefit pensions, which would be paid from the RTÉ pension fund which it says is in ‘rude health’.
In June 2022, the pensioners were given the green light for a two per cent rise in their pensions backdated to January of that year.
The pensioners also received a two per cent rise in 2021 but that was the first increase since 2008, meaning more than a third are now on €238 a week, less than the State pension which they are not entitled to claim. Their defined benefit pensions are not linked to union wage agreements in RTÉ.
The recently specially convened meeting was attended by former religious affairs correspondent Joe Little, the chair of RTÉ’s Pensioner’s Association Stephanie Fitzpatrick and Paula Mullooly, RTÉ’s outgoing Director of Legal Affairs. Mr Little and Ms Fitzpatrick expressed their concern the Government may ‘now find it easier to reject applications for long-overdue pension increases because of the current crisis over payments and the inadequacy of financial controls at RTÉ’.
They also warned that, if their appeals for the pension increases were rejected, they would organise ‘a national campaign on the issue’.
Pointing to the numbers seeking help paying their fuel bills, Ms Fitzpatrick said there are many other members and widowed spouses living in poverty who are ‘too proud to seek charity’.
And she said ‘many more are facing considerable anxiety about their financial prospects’.
Speaking to the Irish Mail on Sunday this week, Ms Fitzpatrick said: ‘To illustrate this, we read a letter a colleague had sent to [Public Expenditure] Minister Pachal Donohoe urging him to approve our trustees’ proposed increase immediately.
‘Despite the member receiving slightly above the scheme’s average pension, they had used up almost half their retirement lump sum in the past six years trying to make ends meet.’
An extract from the letter reads: ‘I am getting older and not only is my quality of life suffering, but I am also becoming very anxious about my future and how I am going to cope financially if this level of inflation continues and my pension does not keep pace. I put all my trust in the RTÉ Superannuation Scheme which I now bitterly regret.’
RTÉ’s defined benefit scheme, which was phased out in 1988 due to its cost, delivers members a guaranteed 50% of their income at the time of retirement which was considered a perk of working with the broadcaster. The workers contributed 6.5% of their income each month to their pension fund in lieu of PRSI, and the amount was topped up by RTÉ.
However, the cost of living has outpaced the pension benefits.
Like many other employees of semi-state bodies, because they did not pay PRSI, the RTÉ pensioners are not entitled to a State pension.
Ms Fitzpatrick told the MoS: ‘In the 15 years since 2008, our members have received a meagre two per cent increase. 2022 figures from the scheme highlight the shameful fact that 550 members – that’s 34%, – or over one-third of us – are on an average RTÉ pension of €12,383 which equates to €238 a
‘Real value of pensions has been eroded’
‘I put all my trust in the RTÉ scheme’
week. Next January they’ll get €44 a week less than what contributory State pensioners will be receiving.
‘To rub salt into the wounds, our many impoverished members qualify for none of the packages and benefits to which State pensioners are entitled.
‘The real value of our pensions has been drastically eroded by inflation. Between 2008 and October 2023, the Consumer Price Index has risen by 22.8%. Taking the two per cent increase into account, our members are almost 21% poorer in real terms than 15 years ago.’
People Before Profit TD, Brid Smith, who has campaigned on behalf of the RTÉ pensioners, previously said the issue also affects former employees of semi-state bodies such as the ESB and the Dublin Port and Docks Board.