Séamus Healy (Tipperary South, Workers and Unemployed Action Group)
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26. To ask the Minister for Jobs, Enterprise and Innovation as pay and pensions in payment are now processed separately in the public service, if he will introduce legislation to give the Alliance of Retired Public Servants a statutory right to access to the Labour Court and Labour Relations Commission; and if he will make a statement on the matter. [48118/14]

Richard Bruton (Dublin North Central, Fine Gael)
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I understand the Alliance of Retired Public Servants was set up in the recent past to oppose cuts to Pensions. I fully appreciate the concerns of retired and deferred members of pension schemes whose schemes are being restructured, particularly where such restructuring may impact on existing or potential pension benefits. The question of whether it is appropriate that pensioner groups have access to the State’s industrial relations machinery in pursuing pension scheme grievances has been raised for consideration.

It should be pointed out that the Trustees of a particular pension scheme are already 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.

This is an issue to which I have given careful consideration, particularly in light of representations made to me in this regard.

In addition, my Department also consulted with the industrial relations bodies under the auspices of my Department on the issues that arise in the context of collective representation of retired and deferred members of pension schemes in such circumstances.

In this context, it is important to stress that 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 which would put in place a mandated right to be part of the process would alter fundamentally the conduct of industrial relations.

As it stands, 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. Any proposed 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. It may be that it is within this framework that a collective approach could be most effective.

Finian McGrath (Dublin North Central, Independent)
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27. To ask the Minister for Social Protection the position regarding a pension fund and the role of employers (details supplied); and if she will make a statement on the matter. [48489/14]

Joan Burton (Dublin West, Labour)
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Defined Benefit pension schemes in Ireland are set up and maintained by employers on a voluntary basis. There has never been a statutory obligation on employers under Irish law to contribute to their pension scheme. Rather, when a defined benefits scheme is set up, the level of employer and employee contributions is agreed and established in contract in the scheme Trust Deeds and Rules. The Trust Deeds and Rules differ from scheme to scheme, and as with any contractual situation, contain the bounds on the level of obligation of the parties involved.

In the case of the Waterford Crystal Pension Schemes, these schemes were wound up in a situation where both the employer and the scheme were insolvent. As part of the wind-up process the assets in these schemes were distributed to meet the liabilities of the scheme to the extent that the assets were sufficient to meet these liabilities. You will be aware that the Government has approved a set of recommendations from the mediator to settle funding issues arising from the wind up of these schemes.

The costs associated with the mediated settlement will be drawn from the Central Fund. In Budget 2014 the Minister for Finance confirmed the introduction of an additional levy on pension funds at 0.15% for 2014 and 2015 to help fund the Jobs Initiative and to make provision for potential State liabilities emerging from pre-existing or future pension fund difficulties.