End in sight for workers’ pension battle

Almost 1,200 Waterford Crystal workers appear to be on the verge of finally receiving €250m worth of pension entitlements for which they have been fighting for the last five years.

An “intensive” round of talks between Unite trade union, which represents the workers, and the Department of Social Protection, is due to begin at the Labour Relations Commission on Monday. It is believed a deadline of October 1 has been set for the talks, in order for any settlement to be factored into the Budget.

In 2009, both Waterford Crystal and its pension fund became insolvent. The pension scheme had been wound up with a deficit of over €100m and workers were told they would receive only 18% to 28% of their full entitlements.

Their Wedgwood counterparts had their entitlements secured by Britain’s pension protection fund and received 90% of owed sums.

Initially, the former Waterford Crystal employees pursued a case before the Commercial Court, saying the State had failed to meet its obligations under the EU Insolvency Directive.

Kevin Cardiff, then secretary general of the Department of Finance, told the court the economic crisis and bailout terms meant the Government could not commit to pay an estimated €13bn to provide a State guarantee of full pension entitlements for workers in case of employer insolvency.

The case, on behalf of 10 workers, was taken to the European Court of Justice, which in 2013 ruled that the pensions must be protected.

The matter was due before the High Court again next month, but that has been put back to January.

Jimmy Kelly, Unite regional secretary, said the feedback the union is getting from discussions with Tánaiste Joan Burton is that she wants a settlement for all the workers, not just the 10 in the ECJ ruling.

A Department of Social Protection spokeswoman said: “The department is engaged in preliminary discussions on a possible mediation process. It would not be appropriate to comment any further.”