Seán Fleming (Laois-Offaly, Fianna Fail)
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447. To ask the Minister for Jobs, Enterprise and Innovation his plans to meet with an organisation (details supplied); and if he will make a statement on the matter. [31087/15]

Richard Bruton (Dublin North Central, Fine Gael)
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I, along with officials from my Department, met with the National Executive Committee of the ESB Retired Staff Association on July 27th last. At the meeting the Executive outlined their grievances in relation to collective representation access rights for retired persons on pension matters.

I fully appreciate their concerns and those 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.

It is important to bear in mind 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, where changes to pension schemes are negotiated at company level whether as a result of a crisis in the scheme or otherwise, the outcome of that engagement cannot, of itself, change the pension scheme. Rather, any proposed changes to the scheme are effected through 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.

In terms of changes to pension schemes generally, the Trustees of a particular pension scheme are required by law to act in the best interests of all the members, be they active, deferred or pensioner members. Until recently, this has been done on an individual basis.

The matter has received careful consideration and, as you will be aware, the Tánaiste and Minister for Social Protection has recently introduced regulations and approved amendments to guidance issued by the Pensions Authority to provide for the recognition by the trustees of a pensions scheme of groups representing the interests of pensioners and deferred members of pension schemes. These changes mean that all groups representing the interests of the various categories of pension scheme membership are treated the same in the context of the provisions in the Pensions Act

The changes to the Regulations will require the trustees of a pension scheme to notify the groups representing the interests of retired and deferred scheme members where the trustees of a scheme propose to apply to the Pensions Authority to restructure scheme benefits under section 50 of the Pensions Act. This notification affords the representative group an opportunity to make a submission to the trustees of the scheme in relation to such proposals.

In addition, the Pensions Authority is now required to notify groups representing the interest of scheme members where the Pensions Authority proposes to either issue a unilateral direction under section 50 of the Pensions Act to the trustees of a scheme to restructure scheme benefits or to wind up a pension scheme under section 50B of the Pensions Act. This notification affords the representative group an opportunity to make representations to the Pensions Authority in relation to such proposals.

The Regulations also give the representative group the right to appeal such a direction by the Pensions Authority to the High Court on a point of law.

In my view it is within this framework, rather than through the State’s industrial relations machinery, that a collective approach should be effected.

Arising from the meeting mentioned earlier, I have asked my officials to liaise further with the Association on the matter.