‘Early retirement’ complaints

THE Single Farm Payment was blamed for only a handful of farmers entering the Early Retirement Scheme (ERS) this year, but bureaucracy and other disappointments may also have put farmers off the scheme.

Now, retired farmers have welcomed minor concessions to ease their SFP difficulties, but many farmers are disappointed that they no longer get any ERS pension because the value of their old age pension now exceeds the value of their ERS pension.

The scheme was the fifth biggest cause for complaints by farmers to the Ombudsman’s Office in 2003; it was the subject of 17 complaints.

At least one of these complaints reflected bad management in the Department of the procedures for reducing ERS pension payments by the amount of national pension payments which they receive.

One case brought to the Ombudsman’s Office stemmed from the Department failing to take account of non-contributory pension increases announced in the Budget, when calculating ERS payments.

As a result, the person who complained to the Ombudsman was overpaid for almost 12 months.

On discovering its mistake, the Department issued a standard letter used in cases of overpayment, demanding repayment within six months.

Ombudsman Emily O’Reilly said,

“While I accept that mistakes can happen and, generally speaking, public bodies are entitled to recover overpayments, I hold the view that where the fault lies with a public body it should adopt a flexible approach in recovering overpayments.

“This is particularly the case where there is no evidence that the person receiving the overpayment had contributed in any way towards the error.”

Ms O’Reilly said that, following contact with her Office, the Department agreed that it would revise the terms of the standard letter it issues in such cases, to allow the participant an opportunity to discuss the terms under which the repayments can be made.

“I considered that this was a positive step taken by the Department which will benefit others in a similar position in future,” she said.

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