Róisín Shortall (Dublin North West, Labour)
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Question 116: To ask the Minister for Social and Family Affairs the number of pensions held that are integrated with the State pension; and the safeguards in place to protect the interests of pension holders. [29073/07]

Martin Cullen (Waterford, Fianna Fail)
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Although there are no statistics available in relation to the number of pensions that operate on an integrated basis, it is generally accepted that the system applies in the vast majority of defined benefit schemes. There were 1,411 defined benefit schemes registered with the Pensions Board at the end of 2006.

The manner in which integration is implemented can vary, but the most common method is by what is known as "salary offset". This means that the employer will regard the social welfare pension as providing pension rights in relation to part of the salary. Notional adjustments are made to salary that take account of this to arrive at the "pensionable salary," on which both employer and employee contributions to the occupational schemes are often based. When the pension is paid, the combination of the occupational scheme and the social welfare payment is intended to provide the retirement income as provided for under the scheme.

Under legislation, integration may only take place at the point when an occupational pension is first paid. Legislation does not permit reductions to be made to occupational pensions in payment to take account of subsequent increases in the social welfare pension. The legislation also provides for a minimum level of benefit to be paid from an occupational scheme based on the total contributions made by the employee to that scheme.

Róisín Shortall (Dublin North West, Labour)
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Question 117: To ask the Minister for Social and Family Affairs, further to Parliamentary Question No. 383 of 23 October 2007, his views on introducing controls and restrictions around the scheme whereby his Department forwards correspondence to pension scheme members and other persons to ensure that the interests of the State are protected in view of the fact that at least one large pension scheme has opted to contact all deferred members through this process, regardless of whether a valid address is on file for the pension scheme member. [29138/07]

Martin Cullen (Waterford, Fianna Fail)
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As I explained in my previous reply, my Department was approached by third parties to assist them in contacting individuals who could not be contacted at the address held in their name on the third parties' records. My Department has consistently maintained that it should be a last port of call in overcoming problems with contacting individuals and has engaged with third parties to the scheme accordingly. In general, third parties have respected this principle and safeguards applied to date have been appropriate.

The Department is aware of anecdotal evidence suggesting that one company may be attempting to contact individuals regardless of whether or not it holds accurate contact details. The company in question has already been reminded of the purpose of the scheme and advised as to more restrictive safeguards that may be put in place to ensure that no such widespread abuse of the scheme can take place. To date, the scheme has operated well and has been of great benefit to individuals. My department is of the view that it should not be unduly restricted due to the inappropriate action of a participant. As previously advised, the situation will be kept under review.