Dáil debates

Wednesday, 9 July 2014

State Airports (Shannon Group) Bill 2014 [Seanad]: Report Stage

 

11:30 am

Photo of Timmy DooleyTimmy Dooley (Clare, Fianna Fail) | Oireachtas source

Therefore, in the context of this grouping, I will make some comments about the pension entitlements of a number of employees who in the late 1960s transferred from the Civil Service to the companies at Shannon and Cork Airports. They did so on the clear understanding that their terms and conditions, including their pension entitlements, would be no worse as a result of the transfer to the new companies than if they had stayed in the Civil Service. Frankly, that did not happen and legislation to formalise the transfer was not produced until 1998. Notwithstanding the comments that had been made and the assurances that had been given in this House during the 1970s and by successive Governments - Ministers had indicated that the terms, conditions and pension entitlements would be no different - the legislation enshrined in 1998 provided no such legislative basis for the maintenance of these pension entitlements. The employees now find themselves significantly worse off. The assurances they had been given did not materialise in the legislation of 1998, although this should have happened. It was not deemed appropriate to provide for this in legislation at the time because all pension funds were operating from a stronger position. Now, when the employees who transferred retire and will compare their benefits with those of people of the same grade and with the same pay and general conditions who remained in the Civil Service, they will find they only have a pension of approximately €12,000 in comparison to a pension of approximately €24,000 for those who remained in the Civil Service. This is a huge discrepancy. Many of the employees who transferred now find it enormously difficult to read the record of the House and see the assurances given in good faith on behalf of the then Government that their pensions would not be any worse than if they had remained in the Civil Service.

I know successive Ministers and departmental officials have looked at this issue. I know, too, that the amendment I have proposed in this regard is not acceptable because it would place a potential charge on the State, but this does not get away from the fact that successive Governments have always acted in good faith on commitments given by previous Administrations. Sadly, Members on this side who were in government in the past failed to do this. I appeal to the Minister, perhaps in his final hours as Minister for Transport, Tourism and Sport - I wish him will in what may emerge over the course of the afternoon-----

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