Dáil Éireann Debate, Tuesday - 23 May 2023
214. Deputy Richard Boyd Barrett asked the Minister for Transport if he can clarify (details supplied) in relation to the pension provision of CIÉ workers; and if he will make a statement on the matter. [24547/23]
View answerAs the Deputy may be aware, the CIÉ Group is actively engaged in introducing changes to their pension schemes aimed at rectifying the significant deficit in order to meet the statutory Minimum Funding Standard required by the Pensions Authority. The changes also aim to sustain the pension schemes into the long-term.
The Balance Sheet deficit at the end of 2021 for the two defined benefit pension schemes operated by CIÉ, namely the Regular Wages Scheme (“RWS”) and 1951 superannuation scheme (“1951 Scheme”), was €846m. Officials in my Department are actively engaging with CIÉ in relation to the 2022 end of year position and have been advised by CIÉ that these figures will be finalised in the coming weeks when the Scheme Actuary submits an Actuarial Funding Certificate and a Funding Standard Reserve Certificate to the Pensions Authority reflecting the updated Balance Sheet position.
In relation to CIE's Regular Wages Scheme (RWS), I signed three Statutory Instruments related to the RWS on 6th July 2022, with an operative date of 18th July 2022.
In regards to the 1951 Scheme, CIÉ has prepared and submitted a draft SI to give effect to Labour Court recommendations for the 1951 Scheme, as passed by ballot of trade union members in May 2021. This is being considered by my Department in conjunction with NewERA. The Deputy may also be aware that the rules governing the 1951 scheme are currently subject to ongoing legal proceedings before the Commercial Court. The Hearing commenced on 24 May 2022 for 4 days and the outcome from the Hearing is expected in the coming months.
Concerning pension increases for CIÉ pensioners, I understand that an increase for pensioners would only be possible when the Schemes are capable of sustaining such increases. Furthermore, any such proposal would be dependent on the advice of the Scheme Actuary at the time an increase is proposed, and is done in agreement with the Trustees of the Schemes.Accordingly, I have forwarded the Deputy's question to CIÉ for direct reply. Please advise my private office if you do not receive a reply within ten working days.
