John Halligan (Waterford, Independent)

Consideration should be given to putting in place an opt-out clause because it is not as hare-brained a proposal as some might think. Some economists have stated that the possibility of introducing such a clause should be examined.

The unions are standing over the findings of the independent Trident report, which states that a teacher entering the new scheme at the beginning of his or her career would pay more into the pension than he or she would ever receive in return. Many teachers will end up not only fully funding their pensions but there is also the possibility that they could over-subscribe to them. That would be nonsensical. Surely the Government can, even at this late stage, see the merit in consulting the unions in respect of this issue.

I wish to draw the House's attention to the urgent need to restore the balance between public and private sector pension provision. While pension benefits in the public sector are in need of reform, they are nonetheless protected. The same is not the position with regard to private sector workers who in my view will be obliged to pay even higher taxes after the forthcoming budget while tax relief will be stripped away from their pensions. Between the confiscation of pension savings by the Government and the poor returns from so many badly managed funds, increasing numbers of people in the private sector are asking why they should bother making pension contributions in the first instance. If the Government is committed to encouraging people to plan for retirement in a realistic way, it must reconsider the decision to reduce the pension contribution tax relief without delay.

Deputy Durkan referred to how great it is that people can work until they are 65, 68 or even older. Did he consider the position of farmers, labourers or hotel workers in that regard? If one asks these people whether they want to continue to work until they reach the age of 68 or 70, they will state that they most certainly do not wish to do so. Do we want to work people to death? That is certainly what the Government is proposing to do in the Bill before us. I have not met one person who is involved in shift work or who works hard in his or her job as a hotel employee or a farm labourer who has informed me that he or she would be prepared to work until the age of 68 or 70. What is being proposed is despicable. People should have the choice to work to a later age if they so wish. However, forcing them to work until they reach 68 or 70 years of age is nothing other than promoting a system of slave labour.

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