Retired members of the joint Aer Lingus-Dublin Airport Authority pension plan are to proceed with a legal challenge against a proposal designed to end the dispute over the insolvent Irish Airlines’ Superannuation Scheme (IASS).
The move comes a month after Siptu members voted against plans to restructure the scheme. The union’s rejection of the proposals dashed hopes that the four-year row over the €750 million shortfall in the scheme could be resolved.
The proposed solution includes a once-off € 191 million payment from Aer Lingus and a €72 million one from DAA to new defined contribution pension plans for active and deferred IASS members. This is in place of a cut to members' monthly pension income.
The Retired Aviation Staff Association (RASA) - which said it was excluded from the negotiations to reduce the scheme's deficit - said the effective result of a reduction of €129 million by Aer Lingus and €45 million by the DAA from the scheme had effectively been transferred to pensioners .
The RASA claim they are facing the loss of up to six weeks income a-year under the plan to restructure the insolvent scheme.
