Thomas Molloy: Deal is no solution as pension dispute is kicked down the road
THE agreement reached by ESB unions and management has kicked the problem down the road – but it is far from being a final solution.
Understandably, the ESB unions wanted to reduce the uncertainty hanging over their pensions but the eventual fate of the scheme hangs in the balance.
There was a time when defined benefit schemes were Rolls Royce schemes and defined contribution ones were Ladas but those days are over; just ask the 75pc of workers in the private sector who have seen their so-called defined benefit scheme run into problems. Yesterday, it was agreed that workers and ESB management would sit down and hammer out a solution if the scheme runs into difficulties.