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

Nothing sums up the tail of the two Irelands in which we live more than the issue of pension provisions and the double standards which prevail. Many of the Deputies have highlighted very well the absolute obscenity of the gilt-edged pensions paid to bankers and politicians, the very people responsible for the economic crisis in the first place, and those elderly vulnerable citizens being asked to carry the can for this mismanagement with the undermining of the State pension and the virtual erosion of many of the private pension schemes which are leaving many workers exposed.

It is sickening to listen to the whimpering of Labour Party backbenchers, whose points would be hilarious if it were not for the fact that they are in government and responsible for dealing with the current situation. It is absolute waffle to say nothing can be done. It is absolutely not the case. Hiding behind contractual obligations is not good enough. Asking them to hand back the money is not good enough. A Labour Party Deputy complimented Eugene Sheehy on the meaningful contribution he made by handing back a portion of his pension. Is this what the Labour Party has been reduced to? It is a joke.

Bertie Ahern once came in here and moved a piece of legislation to benefit one individual in a tax avoidance scam. If it can be done this way, it can be done the other. Legislation can be introduced. If the Government feels it must give them the money in one hand, then take it back with the other through 100% taxation or a 100% levy. Let them live on the State pension like everybody else. There is no place for any excuse on this, but the Government is not prepared to tackle it.

The Government has no problem whatsoever engaging in erosion and sneaky actions such as last year's budget which changed the rules on PRSI contributions and left women workers in the main, who took time out of the workforce to raise their families, worse off by €1,500 per annum. This sounds like a pittance when we hear the amounts hundreds of thousands of euro bandied around when discussing pensions, but it is an annual heating bill or the difference between food and a decent standard of living. To be honest, the process of attacking the gains of the welfare state in the name of austerity which the Labour Party has gone along with so well is an absolute insult.

Behind this issue is the overall crisis in pension provision globally. It is not only in Ireland. One of the excuses thrown up is that people are living longer and we have to be able to deal with this. The solution is supposedly to make people work longer. What an absolute indictment of capitalism. We have a system where because of benefits in science and improved health, people have the opportunity to live a longer and healthier life but this is a problem. Our solution is to make them work until they go into the grave. Meanwhile, their children and young people are on dole queues throughout Europe and cannot get a job. It is the wrong way around. For people to be able to retire with dignity requires pension provision and money. It is not good enough to say we do not have the resources for this when the European economies are sitting on more wealth now than they ever had in any other period. The difference now is that this wealth is more unequally divided.

The trade union movement which is affiliated to the Labour Party fought long and hard for the welfare state and for the right of people to retire with dignity. It is now in office when private pension schemes are being eroded. We saw the debacle a number of years ago when SRT Technics and Waterford Glass workers, who spent decades paying into private pension schemes, ended up with nothing because no pension protection schemes were in place. I worked in Aer Lingus and we will not get back our contributions into the scheme, not to mind the company's contribution. Pensions are profited from and mismanaged and the Government needs to deal with this.

We need to look at this the other way around or upside down. Tens of billions of euro in pension funds are invested outside the State. The Government should creatively use the relief to invest this money in Ireland in a public works programme to put people to work and sustain pensionable jobs in future. It is the only way out of the situation.

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