Some Pension Bullet Points

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NOTE THAT SUBSEQUENT DEBATES IN THE OIREACHTAS ON IASS RAISED CONSIDERABLE ISSUES ON THE IASS PENSION SCHEME . GO TO ALERTS WEBPAGE FOR THESE LINKS - YOU SHOULD FIND THEM HELPFUL

SOME BULLET POINTS

As requested at the 2013 RASA AGM the Pensions Sub-Committee have compiled a list of some members bullet points to be drawn from if members wish to contact politicians/public representatives and others by letter.

It is considered that it would be best to select points, modify, or add where appropriate to reflect individual variations.

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Dear X (Minister, TD, Senator, Local Councillor, Public Representatives, Pension Regulators etc)

Select points from those listed below and add your own where appropriate

· Aer Lingus and DAA pensioners are concerned about the race to the bottom by politicians, Aer Lingus and DAA Management

· Aer Lingus was a semi-state company for most of its life and DAA continues to be one.

· Government interfered with our Pension Fund over the years. It dictated the Rules and approval of them. In 1969 the government directed the equalisation of contributions to save money for the employers. This resulted in increased contributions from employees and reduced contribution from employers.

· The employers controlled by government allowed the Companies to ignore the constant warnings of the actuaries on the weakness of the fund.

· Employers say they have no responsibility for the fund, amongst others by the use of Part VIII Rule 5, selective interpretation of fixed contribution rules, and ignoring rule contribution rule changes in 1976. This Rule was put there for the purpose of enlightened management to resolve pension problems together – not avoid the issue. Members contribution rates were also increased by an additional 1% in 1976.

· Employers materially influenced the pension scheme. They have power of veto over all the rules.

· The Minister for Social Protection changed the priority order to reduce pensions in payments again.

· In this regard you are pandering and walking to the tune of, the employers, the trade unions, financial institutions, pension industry and trustees. These are the people who brought about the problem. These groups take no responsibility for pension problem or interest in pensioners.

· Pension is deferred pay; salary foregone; money owed by the employers to employees. The employers have a duty to pay and make allowance for pensioners as creditors. They have a moral duty of care to their employees.

· Pensioners paid for 30, 35, 40 and even for 45 years into a fund; paid for any current pensioners and now expect others to meet commitment to them.

· Most pensioners have no potential to earn traditional income into the future. Many active members do.

· The 'early leaver/deferred' member loophole within the scheme was used as an incentive by the employers to encourage the take up of voluntary severance/leave and return/income streamers. The employers vetoed any changes to these rules

· A percentage of deferred members left to take up other positions and can therefore grow pensions.

· Others went on employer early retirement programs of different categories with expectations of promised pensions, which cannot now be achieved. Why should pensioners be asked to subsidise these promises?

· Minister, we were guaranteed a pension for life. We were contracted to join the Fund. It was a condition of employment. There was no advice that it might go up or down financially or otherwise.

· We do not want a change in priority order. People on pension will be expected to be living on a pension for 20 years. Why make a sacrificial lamb out of them.

· We can levy everyone for the Senior Bond Holders, for the Quinn Insurance Company, etc, but we cannot protect our pensioners.

· We have all seen our pensions from IASS frozen at April 2007's level at the same time our living costs and taxes and social charges increase significantly.

· All we seem to do is to remove benefits. You

- Took away Medical Card over 70’s

- Imposed Permanent Pension Levy

- Reduced the home package (ESB, telephone, fuel)

- Imposed USC for over 70’s at 4% or 7% if over 60.

- Abolition of State (Transistional) Pension

- Increased the cost of Healthcare