Members of Parliament are entitled to a service pension in terms of Chapter 280 of the laws of Malta. On the other hand, members of the Public Service, including the Malta Police Force, the Armed Forces, the Correctional Services and others, who were in employment in the Service up to the December 31, 1978 are entitled to a pension in terms of Chapter 93 of the laws of Malta under the Pensions Ordinance.
It is a reality that the conditions and benefits provided under the Members of Parliament Pensions Act are far more generous than those under the Pensions Ordinance.
Statistics show that the Treasury doles out over €2 million a year in special pensions to a relatively small group of retired Members of Parliament. Indeed, Chapter 280 provides for a ‘special’ pension to MPs over and above the ‘normal’ benefits to which all Maltese citizens (including, of course, our MPs) are entitled.
The Members of Parliament Pensions Act states that only those MPs who served for two legislatures qualify for this special pension.
Earlier this month, the government decided to abandon its plans to extend these pension privileges to MPs who serve for just one legislature after the Opposition withdrew its initial support to the amendments.
Within the context of the ensuing debate on the proposed amendments to the Members of Parliament Pensions Act there resulted a public outcry at the nature of the exclusivity of amendments proposed.
The National Association of Pensioners (NAP), on its part, wishes to make public some relevant information on this issue and thus raise awareness about the conditions and entitlements provided in terms of the Pensions Ordinance for members of the public service when they retire.
Comparisons are odious and the NAP does not wish to question MPs’ rights to stand for their own interests, but in doing so they should also be less insensitive to the situation of other lesser brethren whom they like to claim they represent or represented.
Members of the public service are entitled to a full rate of service pension after having been in harness for 30 years and over. A public officer becomes entitled to a service pension at reduced rate after 10 years in service. Officers who give a service between 11 and 29 years are entitled to a proportion of the pension according to the number of working years.
The rate of pension paid under the Pensions Ordinance shall not exceed two-thirds of the highest pensionable emoluments received by the officer at any time in the course of his/her service in Malta.
A service pension paid in terms of the Pensions Ordinance is never increased – it is capped and frozen for life!
As an example, one can cite the case of a public officer who retired 20 years ago with a service pension of €600 monthly.
MPs should be less insensitive to the situation of other lesser brethren whom they like to claim they represent or represented
He/she would still be receiving today the same amount they got on the date of retirement and will continue to do so up to the day when he/she passes away. Moreover, the widow or widower of the deceased pensioner is not entitled to a Survivors Pension.
No wonder we pray that our beloved departed pensioned ex-public officers hopefully go to lead a better life in the hereafter!
One can clearly see that the pension conditions and benefits applicable to former public officers are much less than those applicable to ex-MPs under the Members of Parliament Pensions Act.
According to reports, the Association of Former MPs in a press conference (unsurprisingly attended by ex-MPs from all components of the political spectrum) stated that since MPs give so much to the country to the extent that they even degrade themselves for the sake of their voters they should be well compensated for their sacrifices.
This statement begs the question: “In this country of ours do we have a small group of citizens who are more privileged than others?” MPs consider themselves as sacrificial lambs instead of looking back with pride and satisfaction at having served nobly their country for whatever period of time.
The National Association of Pensioners appeals to all groups catering for the needs of service pensioners to act together as one in defence of their rights. The service pension issue, which has been a bone of contention for the last 40 years or so, should be taken in hand without further delay as it has now become a festering wound on thousands of pensioners and their spouses – a grave injury that cries out for justice.
Our representatives in Parliament should feel in duty-bound to take note of this and of the national controversy that they have caused by their tactlessness on the issue of their own pensions. We include also in our appeal for justice the many other pensioners in the private sector who also contributed to the wealth of the nation during a lifetime of work and dedication.
They should also not be forgotten.
Louis Cilia is president of the National Association of Pensioners.