Oireachtas Joint and Select Committees

Wednesday, 8 May 2024

Select Committee on Social Protection

Automatic Enrolment Retirement Savings System Bill 2024: Committee Stage

Photo of Heather HumphreysHeather Humphreys (Cavan-Monaghan, Fine Gael) | Oireachtas source

I thank the Deputies for their comments. I do not propose to accept these amendments because section 11 already sets out that the board of NAERSA will contain a person who has knowledge of or experience in matters relating to the interests of employees. This person could well turn out to be a representative of ICTU, or someone who would otherwise meet the approval of trade unionists.

When appointing people to the board I must ensure that, collectively, it has the necessary experience relating to the functions and the responsibilities of the authority. Membership of the board is therefore not constituted on the basis of sectoral representation but instead on what that person has to offer to the authority.

Deputies should note that I have not specified an employer representative group either. This is appropriate because section 11 provides that: "The duties imposed on members of the Board in the performance of their function sunder this Act shall be owed by them to the Authority and the Authority alone." Therefore, their first loyalty is to the board.

Moreover, ICTU is not necessarily representative of all automatic enrolment participants. The unfortunate fact is that very many of the AE participants will not be members of any trade union. Workers who enjoy trade union representation tend also to enjoy good pension provisions, so they would not be picked up by AE in the first place. In short, I do not propose to accept these amendments. With due respect to ICTU and to trade unions generally, I think the proposed amendments are too limiting and are not in line with the purpose of that section of the Bill.

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