The number of people who were boarded out with an invalidity pension dropped to 413 last year from 732 in 2007, according to figures tabled in Parliament by Education and Social Welfare Minister Dolores Cristina.
The government two years ago had moved legislation which tightened the rules on eligibility for invalidity pensions.
The new law also laid down that an invalidity pension was not permanent and people who were boarded out would be regularly monitored.