David Cullinane (Waterford, Sinn Fein)
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440. To ask the Minister for Social Protection the steps he will take to implement a recommendation (details supplied) that the former 74 Waterford Crystal workers who were deemed to be on contracts of service and who are subject to an appeal are paid on the basis outlined; and if he will make a statement on the matter. [12723/16]

Leo Varadkar (Dublin West, Fine Gael)
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The terms of the mediated agreement provided for the payment of a lump sum of €1,200 per year of scheme service to a maximum of 40 years, once the service in question was pensionable. Scheme service is defined as years and months of full or equivalent and permanent company service, completed by the former employee at the date of the windup of the Scheme, for the purpose of determining expected pension in retirement, to a maximum of 40 years. It includes periods of service purchased for backdated pension purposes.

While contract service was not pensionable, under the rules of the schemes, former contract workers who became permanent employees and members of the pension schemes were allowed to purchase periods of service. This purchased service is included in calculations for both the lump sum and pension. The Department has obtained legal advice, which confirms that unpurchased service at the date of winding up of the Waterford Crystal Pension Fund cannot form part of the liabilities of the pension scheme for the purposes of section 48B of the Pensions Act.

I hope this clarifies the matter for the Deputy.