Closing tax loopholes in pension undustry

The Pensions Board recently announced new funding standards for occupational pensions. Two high profile companies are considering closure of their defined benefit pensions for new employees as a result.

This threat is more to do with the Government’s plans to reduce the tax benefits enjoyed by the industry. Both AIB, as a major pensions provider, and INM, as a major advertiser for the industry, stand to lose a lot if the Government introduces their long overdue reduction in pensions subsidies.

Will the unions ensure that these new employees will be adequately compensated for their loss of benefits, thus avoiding a repeat of the inequity caused in the workplace by the yellow pack policy pursued by banks some years ago?