Pension entitlement

[Apollo]

Hi folks,

A friend of mine has been told by his previous employer that he finished up with in 2005 where he'd worked for 4 and a half years that he isn't entitled to any pension by them.

They are claiming that under their terms of employment that pensions benefits aren't an entitlement of an employee until he/she had a minimum of 5 years service.

He received nothing in writing from them confirming this, rather strange I thought, so he is anxious to find out whether this is true or not.

Personally I thought it is the statutory right of every employee to be entitled to a work pension after 2 years.

Any feedback would be welcome.

 

[Protocol]

Personally I thought it is the statutory right of every employee to be entitled to a work pension after 2 years.

Whatever about your particular situation, there is no legal obligation on any employer to offer an occupational pension scheme.

 

[LDFerguson]

Since September 15th 2003, all employers in Ireland, large and small, have a legal obligation to offer all employees access – irrespective of their contract of employment - to some form of pension plan once the employee completes six months’ service.

As Protocol said, it doesn't have to be an Occupational Pension Scheme; it could be a PRSA.

There's no obligation on an employer to make contributions either.

But they should have offered your friend access to some form of pension arangement.

www.ferga.com

 

[Apollo]

Cheers for the feedback folks.

LDFerguson you mentioned the obligation that came into effect in September 03.

It would have been 18 months later, mid 05, when he left so if you say that as long as the employee completes six months service then indeed he should have been offered a PRSA or at some sort of retirement plan.

Thanks again guys

 

[huskerdu]

Hi Apollo,
could you explain some things in more detail ?
did your friend pay pension contributions in this firm ?
What sort of pension does the firm offer to employees ? - DB or DC.

If he paid pension contributions, he is entitles to a pension, or his contributions back, depending on circumstances,

If he didn't, on what grounds does he think that he is entitled to a pension.

It may be that the company failed in their legal obligation to offer his access to a PRSA, but they have no obligation to pay anything into it.