Pension scheme - Aggressive marketing of package vital

THE poor response to the Government's low-cost pension scheme is worrying. Since its introduction four months ago, less than 3,500 people have signed up for the Personal Retirement Savings Accounts (PRSAs) package aimed at helping them face old age with a degree of financial security.

Socially, the pension problem is exacerbated because people are living longer in an economy where the price of everything is soaring. The cost of living is so expensive that elderly people have become the new poor.

The urgent need for a more flexible pension system is illustrated by a CSO survey which found more than half the workforce lacked private pension cover. While employers who do not provide an occupational pension will be obliged to offer workers access to the PRSA scheme from September, union officials feel there is no incentive for employers to contribute to such schemes.