Written answers

Thursday, 15 December 2005

Department of Education and Science

Pension Provisions

5:00 pm

Photo of Willie PenroseWillie Penrose (Westmeath, Labour)
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Question 95: To ask the Minister for Education and Science her response to the recent report of the Pensions Ombudsman, which included particular criticism of employers in the educational sector; the action she intends to take arising from the report; and if she will make a statement on the matter. [37197/05]

Photo of Mary HanafinMary Hanafin (Dún Laoghaire, Fianna Fail)
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The Pensions Ombudsman can investigate complaints referred to him by an actual or potential beneficiary of an occupational pension scheme or a personal retirement savings account, PRSA. These complaints can be against trustees, managers, employers, former employers or administrators.

The annual report of the Pensions Ombudsman for 2004, published earlier this year, raised issues regarding internal disputes resolution procedures and the respective roles of different Departments with respect to decision making in respect of pension schemes.

An internal disputes resolution procedure is essentially an internal appeal process under which a member or former member of a pension scheme may have a complaint or dispute regarding his or her entitlements under the scheme considered and determined. The aim is to resolve, where possible, the issues involved without the need to proceed to the Pensions Ombudsman.

There were some instances during 2004, the first full year of operation of the Pensions Ombudsman service, where my Department was unable to meet the timeframe allowed for internal disputes resolution. This was partly due to the complexities of the cases involved, including the need to consult with the Department of Finance as necessary, and partly due to the need, at the outset of this new service, to determine whether particular issues in regard to pensions were appropriate for determination by the Minister for Education and Science rather than the Minister for Finance.

The question of responsibility as between the Ministers has now been clarified and it is accepted that where a particular pension scheme provides for an appeal to the Minister for Finance, the internal disputes resolution is a matter for that Department and that, in all other cases involving the pension entitlements of education sector staff, the internal disputes resolution is a matter for my Department.

My Department recognises that the Pensions Ombudsman performs an important service for pension scheme members both in the public and private sectors and will continue to co-operate with that office on any cases that are within my Department's remit. A total of five complainants from the education sector referred their cases for determination by the Pensions Ombudsman during 2004.

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