Written answers

Thursday, 17 July 2014

Department of Jobs, Enterprise and Innovation

Industrial Relations

Photo of Clare DalyClare Daly (Dublin North, United Left)
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306. To ask the Minister for Jobs, Enterprise and Innovation if the Retired Aviation Staff Association will provide a model for the way pensioner groups may be organised and allowed access to the State's industrial relations machinery overcoming one of the potential difficulties pinpointed previously in relation to this issue. [32143/14]

Photo of Richard BrutonRichard Bruton (Dublin North Central, Fine Gael)
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The industrial relations system in Ireland is voluntary in nature both as regards access to the Labour Relations Commission and the Labour Court. Any change to that principle would alter fundamentally the conduct of industrial relations. Mandatory attendance at conciliation would clearly affect potential for agreed outcomes compared to situations where the parties attend voluntarily.

I understand that, as part of its process of engagement with stakeholders, the expert panel established to examine issues relating to the Aer Lingus/DAA pensions dispute met with representatives of pensioner members as represented by the Retired Aviation Staff Association, as well as representatives of the IASS Deferred Pensioners Committee.

In this context, I understand that the panel explained to both parties that the process was an industrial relations one, consistent with their terms of reference, and that the responsibility for dealing with both the pensioner members and deferred members of the scheme rested with the IASS Trustees.

Active members of pension schemes (through their Trade Unions) regularly engage with the employer to attempt to reach a common position as regards changes to pension schemes whether as a result of a crisis in the scheme or otherwise. In all such cases the outcome of that engagement can only be a collective agreement which cannot, of itself, change the pension scheme. Changes to the scheme are effected via the mechanisms set out in the trust deeds and rules of the scheme and are at the discretion of the parties so designated in the rules/deeds of the scheme.

Any consideration of a restructure of pension scheme benefits under section 50 of the Pensions Act must comply with the provisions in the Pensions Act and with guidance issued by the Pensions Board. This guidance makes provision for the notification of all pensioners in advance of any application to the Pensions Board to restructure scheme benefits. In such circumstances a pensioner will have at least one month to make a submission to the trustees of the scheme in relation to such a proposal. The Pensions Board must be satisfied that all the provisions in the guidance are complied with before the Board will consider issuing a notice to restructure scheme benefits.

It should be pointed out that the trustees of the scheme are required by law to act in the best interests of all the members. On that basis the trustees have to take account of the interests of the deferred and pensioner members in any proposals they make.

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