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Wednesday, 5 Nov 2014

Written Answers Nos. 50-55

Community Employment Schemes Data

Questions (50)

Brendan Griffin

Question:

50. Deputy Brendan Griffin asked the Tánaiste and Minister for Social Protection the plans in place to protect the future of community employment schemes in view of their value to community organisations; and if she will make a statement on the matter. [42369/14]

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Written answers

Community Employment (CE) schemes provide a very important and valued contribution to social employment, training and progression to employment/further education for unemployed people. Furthermore, many CE schemes provide vital community services across the country.

There are currently 1,021 CE schemes in operation nationally with 25,300 places available. The number of places for CE was increased by 2,000 places in 2014 and these will be fully drawn down in 2015. I have protected the number of places on CE so that long-term unemployed persons and the most vulnerable in our society can continue to avail of CE and to underpin the valuable services being provided to local communities through the various schemes.

Questions Nos. 51 to 53, inclusive, withdrawn.

Back to Education Allowance Eligibility

Questions (54)

Gabrielle McFadden

Question:

54. Deputy Gabrielle McFadden asked the Tánaiste and Minister for Social Protection if there are sources of appropriate funding for persons on long-term illness benefit studying part-time degree courses; as it stands, persons on long-term illness benefit may only receive a back to education allowance or a Student Universal Support Ireland grant if they are studying a full-time course. [42418/14]

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Written answers

Persons in receipt of illness benefit for at least two years and who want to return to education on a full-time basis may transfer to the back to education allowance (BTEA) scheme. If a person fails to satisfy the two year requirement on illness benefit, periods spent on other qualifying social welfare claims can be used to make up the two year qualifying period provided that at least 50% of the two years is spent on illness benefit.

The focus of BTEA scheme is to assist those who are most marginalised and distant from the labour market to acquire the necessary education to improve their chances of becoming independent of the social welfare system.

While I have no plans to extend BTEA to part-time courses, I should point out that a person in receipt of illness benefit who wishes to pursue a part-time degree course can continue to receive weekly illness benefit payment, if it is medically certified that pursuit of the course will not impede his or her recovery.

Superannuation Schemes

Questions (55)

Ciaran Lynch

Question:

55. Deputy Ciarán Lynch asked the Tánaiste and Minister for Social Protection if she will consider the issue of equity in the treatment of deferred members of the Irish airlines superannuation scheme under the 2009 Pensions Act as raised in correspondence (details supplied); and if she will make a statement on the matter. [42435/14]

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Written answers

While I am aware of the issues arising in relation to this scheme, you will appreciate that it is not appropriate for me to comment on developments relating to a particular pension scheme as these are a matter for the management of the company and the trustees of the pension scheme.

You will be aware that a number of changes were made to the Pensions Act in recent years to assist both the employers and the trustees of defined benefit pension schemes respond to the funding difficulties encountered by many schemes at this time. The Pensions Act was amended in 2009 to broaden the options available to the trustees of a defined benefit pension scheme in any consideration of a restructure of scheme benefits under section 50 of the Act to include the benefits of deferred scheme members and post retirement increases in pension benefits. Prior to the 2009 Act, only the benefits of active scheme members could be considered in a restructure of scheme benefits.

The provisions in section 50 of the Act treat both active and deferred scheme members the same. Both of these categories of scheme members participate in a scheme in a period where pension benefits are being accumulated and it is considered that in the context of the provisions of section 50 of the Pensions Act it is appropriate that they are treated in a similar manner. Pensioner benefits are treated differently than the benefits of active and deferred scheme members though these benefits can also be adjusted following the change included in the Social Welfare and Pensions (No. 2) Act 2013. The changes to this section of the Act in 2009 and again in 2013 were designed to spread the risk of underfunding across all scheme members.

You will appreciate that the legislative provisions in respect of pension savings will vary across jurisdictions. In an EU context, where a pension scheme operates across EU Member States, the employees who are employed in a different Member State (i.e., the host Member State) may be subject to certain provisions (i.e., the social and labour law relevant to the field of occupational pensions) in that Member State which may provide for a different level of protection of pension rights.

The issue of the signing of the Ministerial Order is a matter for the Minister for Transport, Tourism and Sport.

I am aware of the challenge facing all stakeholders in finding a solution to the significant deficit in this scheme and on the desirability of securing sustainable pension provision for all scheme members. It is not planned to bring forward further changes to the provisions of section 50 of the Pensions Act at this time.

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