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Employers Walking Away from single insolvency DB schemes - not just double insolvency.

The sponsoring employers, Aer Lingus and Dublin Airport authority , [daa] both walked away from the deficit in the Defined Benefit IASS scheme. The situation is a single insolvency with both employers solvent.

The sentence above in the report...Meanwhile, the Irish Airlines Superannuation Scheme settled a protracted dispute with its sponsors – Aer Lingus and Dublin Airport Authority – over its €715m deficit ... needs clarification and could be misleading.

The IASS fund was restructured by reducing the benefits of everyone. Pensioners with their annuities or pensions for life saw these cut in January.

There was no money put into the Defined Benefit fund by the employers... they just walked away. They submitted a funding proposal to the Pensions Authority along with the trustees to make this happen.

The negotiations and engagements settlement mentioned above ONLY dealt with with active employees and deferred members. This was an off IASS balance sheet partial buy out of their liability for active and deferred members. The buy out arrangement was lump sums transferred to a Defined Contribution scheme and requires individual acceptance.

There was no buy out of the liability for pensioners, whole or in part..no negotiations, no engagements ...

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