asked the Minister for Transport and Power if he will take steps to come to some arrangement with Córas Iompair Éireann whereby the company, whether with Government aid or otherwise, will introduce a revised and improved pension scheme, particularly with a view to eliminating the present provision by which CIE pensions are reduced when the recipient reaches the age of seventy years.
Ceisteanna—Questions. Oral Answers. - CIE Pension Scheme.
26.
Under Section 44 of the Transport Act, 1950 CIE has already all the necessary authority to prepare and submit to me any amending superannuation scheme.
I understand that arising out of a suggestion in a Labour Court recommendation that there should be discussions on pensions, welfare, etc., CIE invited the Irish Congress of Trade Unions to take the initiative in forming a committee which would, on behalf of all the unions concerned, formulate and discuss with CIE proposals for amendments in the pension scheme. So far as I am aware, this committee has not yet been formed.
As explained in my reply of 12th December, 1962, to a previous question on the subject of CIE pensions, the provision in the existing scheme for a reduction in pension when a recipient reaches the age of 70 years is effective only at the election of the pensioner concerned.
Does the Minister think it fair and equitable that allowances in respect of pensioners should be reduced when the pensioners reach 70 years of age, especially in view of the fact that in respect of some semi-State and local authority employees, the reduction is not effected when they reach 70 years of age?
The Deputy may not be aware of the fact that when this original pension scheme was designed to deal with most CIE workers, they would get only the non-contributory old age pension if their CIE pension were reduced. Now that the contributory pension exists the CIE worker has an alternative. If he retires he can get 51/3 a week for five years, followed by £1 a week from there on, or he can get 33/6 a week for life. The existence of the contributory pension has altered the position entirely. If the Deputy wishes, I will send him a statement showing him the effects of the change brought about by the establishment of the contributory pension, and he will see that when the CIE worker elects between the two alternatives, the position is very different from what it was, because in either case he will get the full contributory old age pension.
Question No. 27 postponed.