Martin Heydon (Kildare South, Fine Gael)
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288. To ask the Minister for Social Protection if there are any similarities between an insolvent pension scheme (details supplied) participating in PIPS through his Department and the insolvent pension scheme of Waterford Crystal, where workers reached a settlement with Government when their company failed leaving a large deficit in their pension scheme; and if he will make a statement on the matter. [23892/16]

Leo Varadkar (Dublin West, Fine Gael)
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The two pension schemes mentioned fall within the scope of the ruling of the European Court of Justice (ECJ) on the Insolvency Directive (2008/94). That ruling was in response to a reference by the High Court seeking clarification of the interpretation of European law emanating from EU Directive 2008/94EC on the protection of employees in the event of the insolvency of their employer.

The ECJ ruling has implications for any defined benefit pension scheme where, on the date of the wind up, both the scheme and the employer are insolvent (double insolvency) and where the date of wind-up was after the date of the ECJ ruling in the UK Robins case of 25 January 2007. Legislative changes were made to the Social Welfare and Pensions Act in 2013 and 2014 amending the Pensions Act 1990 to address the issue of double insolvencies.

With reference to the detailed pension scheme, it along with a number of other schemes have applied to the Pensions Authority for certification as an eligible scheme as outlined in legislation. My Department is presently designing a scheme to assist in establishing any liability arising from an affected pension scheme where the State may have a liability for a shortfall in funding of that scheme.

I hope this clarifies the matter for the Deputy.