Susan Lynch: I refuse to be pushed out of health service
Veteran nurse Susan Lynch explains why the golden handshake on offer in the public service is far less attractive than it first appears
I REFUSE to be pushed out of the health service by some mandarins trying to save a couple of euro. That said, I was ready to go when the 'deal' was first announced.
There was huge interest in the hospital where I work and three information evenings were packed out by staff looking for information about how much money they could get.
A lot of nurses wanted to go -- but then they sat down and looked at the figures and realised they couldn't.
Many of them bought second homes with a huge mortgage so it would be financial suicide to go.
Others are suddenly the only earner in their home and they need to keep one income coming in.
And when you sit down and look at the figures, it's not all it's cracked up to be.
If you're in a senior position -- for example, a nurse manager two -- your retirement payments if you go at the end of February will be calculated on the pre-cut salary of €59,570.
You would come out with a lump sum after 40 years of service of €89,355 and an annual pension of €29,785.
If you go on March 1, after the deal closes, your retirement payments are based on a salary of €55,852 thanks to all the cuts. So you'd walk away with a lump sum of €83,778 and a pension of €27,926.
But then you have to add the sting in the tail before making a decision -- the little advertised Public Service Pension Reduction (PRPR) which applies to all those who avail of the offer to go early.
Those who decide to retire before the end of February face an additional tax on their pension every year.
The rate ranges from 6pc to 12pc so the €29,785 annual pension which was first on offer suddenly shrinks by €2,681 (6pc) per year to €27,104.
So in the end you might get more in the lump sum, but they manage to claw some of that back in tax every year forevermore.
And a lot of people don't realise that very few nurses have the maximum of 40 years' service so the money on offer isn't huge.
Many took time out to rear children, or job-shared for a number of years, or were only given temporary positions.
It took some nurses over 10 years to get permanent positions in the 1980s because of the tight pursestrings back then.
So some are actually staying on because they want to add to their years of service and guarantee a larger pension.
At first I'd actually made up my mind to go. I thought about the free time I would have and the lack of stress.
But then I crunched the numbers and realised that it was not financially worth it.
Not only is the 'early retirement' annual pension not as attractive as it first appears, but I also had to factor in any lost salary.
If I retire now I don't have the opportunity to save some of my earnings for another few years.
And then there's the social aspect. I've spoken to people who have retired and many of them miss the routine and the daily contact with other people. If you're not really keen to go, it's often a mistake to leave early.
So my job is not just about the money, it's also about the social aspect, the routine, and the independence.
And it's also about the patients who need nurses more than ever in our financially constrained system.
I'm not ready to go and I feel that I still have a lot to offer both the patients and the service.
I've worked in every ward in the health service -- maternity, surgical, coronary care -- and over that time I've built up huge skills and experience.
They might be able to get someone to do my job for cheaper -- but they won't find someone to do it better.
Susan Lynch (not her real name) is over 60 and has worked as a nurse in the Irish health service for almost 40 years
Irish Independent
