Joe Higgins
Question:415 Mr. Higgins (Dublin West) asked the Minister for Social, Community and Family Affairs when a reply will issue to a letter sent to his Department in relation to frozen pensions (details supplied). [9629/99]
Written Answers. - Pension Provisions.
Joe Higgins
Question:416 Mr. Higgins (Dublin West) asked the Minister for Social, Community and Family Affairs the reason for the delay in replying to a letter sent to his Department in relation to frozen pension schemes (details supplied). [9630/99]
I propose to take Questions Nos. 415 and 416 together.
The person concerned initially contacted my Department in 1995 regarding a number of occu pational pension issues, which centre on the position of occupational pension scheme members who left those schemes early, have a deferred benefit and for whom there is no revaluation of this benefit.
The issue of revaluation of deferred benefits prior to 1991, when the Pensions Act, 1990 came into effect, was fully considered by the Pensions Board in the context of the board's report on the National Pensions Policy Initiative –"Securing Retirement Income"– which was published last year. A copy of this report was circulated to each Deputy. The person concerned also received a copy.
While the Pensions Board does not recommend a statutory requirement to revalue all pre-1991 rights, it does urge employers to consider the revaluation of such benefits, where people remain within the scheme, on a voluntary basis. Bearing in mind the voluntary nature of occupational pension provision and the Pensions Board's conclusion on the matter, I do not consider that there is anything further I can do in this case. It would not be appropriate to introduce legislation to address this issue.
I should point out that since these queries were initially raised, my Department and the Pensions Board have engaged in extensive correspondence with the person concerned to explain the position. Officials from my Department and the Pensions Board have also met him on three occasions, the most recent in August last year, when the issues were again comprehensively discussed, and the position clarified for him. The letters from the person concerned to which the Deputy refers in the questions merely repeat the points which have been the subject of exhaustive discussion and correspondence.
I am satisfied that the issues have received due consideration and that my Department and the Pensions Board have dealt with the person concerned as comprehensively and effectively as possible.
Seán Haughey
Question:417 Mr. Haughey asked the Minister for Social, Community and Family Affairs the plans, if any, he has to change the situation whereby a widow is entitled to a widow's pension on the basis of her late husband's contributions, but is only entitled to half rate disability benefit on the basis of her own personal contributions; his views on whether this is discrimination against widows; and if he will make a statement on the matter. [9639/99]
The primary objective of the social welfare system is to provide income support and, as a general rule, only one social welfare payment is payable to an individual.
However, an exception to this rule is made in the case of widows, widowers and other lone parents who are sick or unemployed. Where a person who is in receipt of a Widow(er)'s Pension or One-Parent Family Payment satisfies the relevant contribution conditions, they may be entitled to receive Disability Benefit or Unemployment Benefit at half-rate for a period of up to 15 months, in addition to their pension. Furthermore, if they are entitled to a Widow(er)'s Pension at a reduced rate (e.g. on the basis of insufficient PRSI contributions or on account of means), the rate of that pension is also increased up the maximum level for the duration of their claim for Disability Benefit or Unemployment Benefit.
These provisions, which are designed to take account of the special circumstances of widowed people and lone parents, discriminate positively in their favour. In the circumstances, I am satisfied that the current arrangements for payment of Disability Benefit in addition to Widow(er)'s Pension and One-Parent Family Payment are reasonable and I have no plans to make any changes in this area.