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Defined Benefit Pension Schemes

Dáil Éireann Debate, Wednesday - 15 June 2016

Wednesday, 15 June 2016

Questions (163)

Willie Penrose

Question:

163. Deputy Willie Penrose asked the Minister for Health the steps he will take to ensure the Central Remedial Clinic's plan for employees is reinstated until such time as he has conducted a comprehensive investigation and assessment of all matters pertaining to the clinic up to its closure; and if he will make a statement on the matter. [16150/16]

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Written answers

The Central Remedial Clinic (CRC) is funded by the Health Service Executive under Section 38 of the Health Act 2004 and employs in the region of 287 employees. It is understood that in the region of 45 employees are members of the funded pension scheme in question.

It is regrettable that the CRC took a decision to cease contributions to the scheme without first consulting with the HSE in relation to scheme solvency and without seeking a viable alternative for the employees concerned. In particular, options for restructuring the scheme should have been explored with the HSE in advance of a decision to wind up the scheme.

Following receipt of information from the CRC in relation to the wind up of the scheme, the CRC was requested as a matter of urgency, to prepare viable alternative proposals in conjunction with the HSE. A detailed business case in relation to alternative options has not yet been submitted by the HSE in relation to this matter.

When a detailed business case is received from the HSE, my Department will, as a matter of urgency, consider the proposals in conjunction with the Department of Public Expenditure and Reform. The latter is responsible for Government policy in relation to public service pensions. Pension schemes and pension terms for public servants generally require the consent of the Minister for Public Expenditure and Reform.

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