Clare Daly (Dublin North, Socialist Party) | Oireachtas source

The Minister's response is totally unacceptable. The statement that the crisis in defined benefit schemes is because of increased life expectancy and a downturn in the financial market is not true. He has failed to address the points I raised regarding very profitable companies that are using the current situation as an excuse to avoid their responsibility. Defined benefit schemes are not unaffordable nor unreasonable. We are talking about relatively modest pension schemes under which people had a certain expectation as to what they would get on their retirement. They contributed heavily out of their pockets and their employer sometimes contributed as well for them. Therefore, they have paid for their pensions. Unless the Government acts, these people will get nothing. People currently in work, some of whom have worked for up to 40 years, are being told by Deputies and Ministers, who can get quite a gilt-edged pension after 20 years, that the Government is going to do nothing for them. This is not good enough. Already, we have seen this happen at TSB and the Abbey Theatre, and now AIB is indicating it will close its defined benefit pension scheme. Some 300 other schemes are on the edge. What is the Government going to do to deal with this situation? It is unacceptable. In reality, pensions are deferred wages that have been earned by workers. They should not be gambled with and left open in this way. The Government has a responsibility to address the problem sooner rather than later.

See this speech in context