IRELAND - The government has decided to leave unchanged current provisions on public pensions' indexation, despite having announced in this year's budget current arrangements were under review and could be amended.
Minister for Finance Brian Lenihan announced in the budget for 2010 he was considering linking public service pensions to increases in the cost of living.
But in a document issued yesterday, the government clarified it does not intend to proceed with changing the status quo, before talks with trade unions on public servants pay and pensions take place in spring 2011.
Under the current system, pension increases for retired public servants are based on salary increases granted to public servants in service, who occupy the same position pensioners held when they retired.
A buyout tool which provides schemes with up-to-date pricing and comparisons between insurers has been launched by JLT Employee Benefits.
The DB white paper sets out plans to review the funding regime, with 'prudent' and 'appropriate' possibly redefined. But James Phillips asks if this could this signal a return to an MFR-like approach?
The trustees of GKN's pension schemes have agreed a package of mitigation measures that would improve funding to a "more prudent level" if Melrose's offer is accepted by shareholders next week.
While the new powers are welcome, most respondents doubt it will make a difference to the outcomes for members, Pensions Buzz respondents say.