Written answers

Wednesday, 28 September 2005

Department of Transport

Pension Provisions

9:00 pm

Photo of Finian McGrathFinian McGrath (Dublin North Central, Independent)
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Question 764: To ask the Minister for Transport if he will give the maximum support and assistance to the retired aviation staff association (details supplied) at Dublin Airport with regard to the Irish Aviation pension scheme; and if he will make a statement on the matter. [24315/05]

Photo of Martin CullenMartin Cullen (Waterford, Fianna Fail)
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The Irish airlines general employees' superannuation scheme is a multi-employer scheme which, in addition to Aer Lingus and Dublin Airport Authority, formerly Aer Rianta, also includes a private sector company, SR Technics, formerly FLS Aerospace TEAM Aer Lingus.

I met with representatives of RASA on a number of occasions and I appreciate that they have genuine concerns about their pensions. In view of the planned sale and investment transaction in Aer Lingus and the restructuring of the State airports, my Department has been in touch with Aer Lingus and the DAA about developments on the pension scheme. I understand they are actively considering the issues that have arisen with regard to the pension scheme.

I should point out that the Aer Lingus Act 2004 and the State Airports Act 2004 both contain enabling provisions that allow Aer Lingus and the DAA to establish new pension schemes for employees and pensioners. In the event of any new scheme or schemes being established, the Acts referred to above provide that existing pensioners who come within the scope of the scheme will be transferred to the new scheme unless they elect to remain in the existing scheme. The Acts also ensure that the benefits granted to existing employees and pensioners under such a new scheme or schemes shall not be less than those granted under the existing scheme.

Photo of Trevor SargentTrevor Sargent (Dublin North, Green Party)
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Question 765: To ask the Minister for Transport if he will review the decision taken by the Government in 1969 which created the situation affecting members of the Retired Aviation Staff Association where since 1990 the pension increases in the Irish Aviation (General Employees) Pension Scheme have fallen behind the public service by approximately 50%; and if he will undertake to have this matter of inequity and lack of parity with other pensioners resolved before any other changes take place affecting the State Airport Authorities or Aer Lingus. [24333/05]

Photo of Martin CullenMartin Cullen (Waterford, Fianna Fail)
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The Irish airlines general employees' superannuation scheme is a multi-employer scheme which, in addition to Aer Lingus and Dublin Airport Authority, formerly Aer Rianta, also includes a private sector company, SR Technics, formerly FLS Aerospace TEAM Aer Lingus.

I met with representatives of RASA on a number of occasions and I appreciate that they have genuine concerns about their pensions. In view of the planned sale and investment transaction in Aer Lingus and the restructuring of the State airports, my Department has been in touch with Aer Lingus and the DAA about developments on the pension scheme. I understand they are actively considering the issues that have arisen with regard to the pension scheme.

I should point out that the Aer Lingus Act 2004 and the State Airports Act 2004 both contain enabling provisions that allow Aer Lingus and the DAA to establish new pension schemes for employees and pensioners. In the event of any new scheme or schemes being established, the Acts referred to above provide that existing pensioners who come within the scope of the scheme will be transferred to the new scheme unless they elect to remain in the existing scheme. The Acts also ensure that the benefits granted to existing employees and pensioners under such a new scheme or schemes shall not be less than those granted under the existing scheme.

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