S.I. No. 296 of 2000.

Occupational Pension Schemes (Disclosure of Information) (Amendment) Regulations, 2000.

The Minister for Social, Community and Family Affairs, in exercise of the powers conferred on him by sections 5, 54, 55, 56 and 57 of the Pensions Act, 1990 (No. 25 of 1990) , hereby makes the following Regulations:-

Citation and Construction

1. (1)  These Regulations may be cited as the Occupational Pension Schemes (Disclosure of Information) (Amendment) Regulations, 2000.

(2)  These Regulations and the Occupational Pension Schemes (Disclosure of Information) (No. 2) Regulations, 1998 ( S.I. No. 349 of 1998 ) shall be construed together as one and may be cited as the Occupational Pension Schemes (Disclosure of Information) Regulations 1998 to 2000.

Commencement

2. Article 6(a) of these Regulations shall come into operation on the 1^st day of July, 2001.

Definitions

3. In these Regulations-

“the Act” means the Pensions Act, 1990 (No. 25 of 1990) ;

“the 1998 No. 2 Regulations” means the Occupational Pension Schemes (Disclosure of Information) (No. 2) Regulations 1998 ( S.I. No. 349 of 1998 ).

Article 7 Alternative arrangements for annual reports and accounts for certain schemes

4. Article 7 of the 1998 No. 2 Regulations is hereby amended by

(a) the substitution for sub-article (3) (b) of the following sub-article:

“(b)        in the case of a relevant scheme where all of the benefits are secured under one or more policies or contracts of assurance with the one undertaking (within the meaning of the Insurance Act, 1989 (No. 3 of 1989) ), by a person designated by the undertaking as authorised for that purpose provided always that for the purposes of this sub-article annuities which have been purchased and which match and fully guarantee the pension obligations of the scheme in respect of specific individual members or other persons in respect of such members or both shall be disregarded”,

(b) the substitution for sub-article (4) of the following sub-article:

“(4)(a)    A copy of the latest annual report prepared under this article duly signed and dated by the trustees in accordance with sub-article (9) of this article shall be made available by the trustees of the relevant scheme not later than:-

(i)     in the case of an annual report prepared under sub-article (8), 9 months after the end of the scheme year to which it relates or such later date as may be approved by the Board;

(ii)     in the case of an annual report prepared under sub-article (8A) in respect of a scheme year ending on or before 31 December 2000, 9 months after the end of the scheme year to which it relates or such later date as may be approved by the Board; and

(iii)    in the case of an annual report prepared under sub-article (8A) in respect of a scheme year ending after 31 December 2000, 6 months after the end of the scheme year to which it relates or such later date as may be approved by the Board

in the manner specified in sub-article (6) of this article, to the persons specified in paragraph (b) of this sub-article.

(b)    The persons to whom this sub-article relates are:-

(i)     the members and prospective members of the scheme;

(ii)     the spouses of members and of prospective members of the scheme;

(iii)    persons within the application of the scheme and qualifying or prospectively qualifying for its benefits; and

(iv)    an authorised trade union representing the members concerned.”,

(c)    the substitution in sub-article (5) of “sub-article (4) (a)” for “sub-article (4)”,

(d)    the substitution for sub-article (6) (a) of the following sub-article:

“(a)  to an authorised trade union representing the members of the relevant scheme not later than

(i)     in the case of an annual report prepared under sub-article (8), 9 months after the end of the scheme year to which it relates or such later date as may be approved by the Board,

(ii)     in the case of an annual report prepared under sub-article (8A) in respect of a scheme year ending on or before 31 December 2000, 9 months after the end of the scheme year to which it relates or such later date as may be approved by the Board, and

(iii)    in the case of an annual report prepared under sub-article (8A) in respect of a scheme year ending after 31 December 2000, 6 months after the end of the scheme year to which it relates or such later date as may be approved by the Board,”,

(e)    the substitution in paragraph (b) of sub-article (6) of “sub-paragraphs (i), (ii) and (iii) of paragraph (b) of sub-article (4)” for “paragraphs (a), (b) and (c) of sub-article (4)”,

(f)    the substitution in paragraphs (a) and (b) of sub-article (7) of “any of the persons specified in sub-article (4) (b) of this article” for “any of the persons specified in sub-article (4) of this article”,

(g)    the substitution in sub-article (8) of “Subject to sub-article (8A) of this article, an annual report prepared under sub-article (3) of this article shall contain the following -” for “An annual report prepared under sub-article (3) of this article shall contain the following-”, and

(h)    the insertion after sub-article (8) of the following sub-article:

“(8A)   (a)     This sub-article shall apply to a defined contribution scheme to which sub-article (3) (b) of this article applies (in this sub-article called a “relevant defined contribution scheme”).

(b)     Where the trustees of a relevant defined contribution scheme have, not later than

(i)     in the case of scheme years ending on or before 31 December 2000, 6 months after the end of the scheme year to which the annual report relates or such later date as may be approved by the Board,

(ii)     in the case of scheme years ending after 31 December 2000, 3 months after the end of the scheme year to which the annual report relates or such later date as may be approved by the Board,

furnished in writing to all members of the scheme in relevant employment at any time during that scheme year-

(I)    the information specified in paragraphs 9 to 16 of Part II of Schedule D in accordance with the provisions of sub-articles (2) and (3) of article 10 of these Regulations and, in the case of paragraph 9 of the said Part II of Schedule D, in accordance with the provisions of article 11 (2) (a) of these Regulations, and

(II)   the information specified in paragraphs 16A to 16D of Part II of Schedule D,

they may, instead of causing an annual report under sub-article (3) (b) of this article containing the information specified in sub-article (8) to be prepared, cause an annual report to be prepared under sub-article (3) (b) containing:-

(A)   the information specified in paragraphs (a), (d), (f), (g) and (h) of sub-article (8),

(B)   the information specified in paragraphs 1, 2, 3, 4, 6(b), 11, 12 and 15 of Schedule B.

(C)   a statement of the manner in which the resources of the relevant defined contribution scheme are invested including details of any self-investment at any time during the period covered by the report provided always that for the purposes of this sub-article any contributions due by an employer to the relevant defined contribution scheme need not be treated as self-investment, and

(D)   a statement that the information referred to at sub-paragraphs (I) and (II) of this paragraph has been furnished in writing to all members of the scheme in relevant employment at any time during the scheme year to which the annual report relates.”

Amendment of Article 11-Information to be made available to a member or prospective member in relevant employment

5. Article 11 of the 1998 No. 2 Regulations is hereby amended by the substitution for sub-article (2) of the following sub-article:

“(2)    (a)    Such information as is specified in paragraphs 9 to 16 of Part II of the said Schedule D shall be furnished to any member of a defined contribution scheme whose service in relevant employment has not terminated before normal pensionable age, at least once in every period of 12 months after the date of becoming a member:

Provided that for the purposes of paragraph 9 of the said Part II of Schedule D, a figure representing the total amount of contributions and any transfer payments paid or received before the 1st day of January 1991 may be furnished instead of a breakdown between contributions and any transfer payments before that date.

(b)    The amount of contributions (including additional voluntary contributions) paid by or on behalf of the member to the scheme before the 1st day of January 1991 and the amount of any transfer payment received on behalf of the member from another scheme prior to that date shall, where it is available to the trustees, be furnished to any member of a defined contribution scheme whose service in relevant employment has not terminated before normal pensionable age on request as soon as practicable after the request is made, and in any event within 2 months of the request being made.”

Amendment of Part II of Schedule D

6. Part II of Schedule D to the 1998 No. 2 Regulations is hereby amended by

(a) the substitution for paragraph 11 of the following paragraph:-

“11(a)(i) The accumulated value as at a specified date of the contributions (including additional voluntary contributions) paid by or on behalf of the member to the scheme to provide benefits payable at or from normal pensionable age or death thereafter. This value must be expressed on the assumption, which must be stated, that the member remains in reckonable service to normal pensionable age, and it must not include any estimate of bonus, interest or other additions after the specified date other than those which are explicitly guaranteed under the policy of assurance or other contract to which the contributions have been applied; and

(ii) a statement of whether or not this value is guaranteed and, if not guaranteed, that the amount available at normal pensionable age could be higher or lower than the value stated.

(b)(i) The amount of money that would be available as at the specified date in respect of the member for transfer out of the scheme on the assumption, which must be stated, that the member's service in relevant employment terminated as at the specified date; and

(ii) a statement of whether or not this value is guaranteed and, if not guaranteed, that the amount available in respect of the member for transfer out of the scheme at any date after the specified date, if the member's service in relevant employment terminated, could be higher or lower than the value stated.”

(b) the insertion after paragraph 16 of the following paragraphs:-

“16A. A statement in a prominent position prepared by a person designated by the undertaking specified in article 7(3) (b), as authorised for that purpose, specifying each contribution credited to the scheme in the scheme year by or on behalf of the member, identifying employer contributions and member contributions and specifying the date of investment by the undertaking referred to in sub-article (3) (b) of article 7 of each such contribution.

16B. A statement that the method of calculation of contributions payable in respect of the member is set out in the scheme rules and in the letter or booklet containing basic information about the scheme which the trustees are required to make available/ furnish to the member on request under articles 8 and 9 and the name and address of the person from whom the rules or letter or booklet are available.

16C. A statement that the member should contact in the first instance the person specified in article 10(3) of these Regulations, and then, if necessary, the trustees and the employer and then, if necessary, the Pensions Board, if he is concerned that contributions payable in respect of him during the scheme year have not been paid in accordance with the rules of the relevant defined contribution scheme.

16D. A statement that the information is issued on behalf of the trustees and that the trustees are required under the provisions of section 59(a) of the Act to ensure, insofar as is reasonable, that the contributions payable by the employer and the members of the scheme, where appropriate, are received.”

The Minister for Finance hereby consents to the making of the foregoing Regulations

EXPLANATORY NOTE

These Regulations amend the Occupational Pensions Schemes (Disclosure of Information) (No. 2) Regulations 1998 (S.I. No. 349/98) as follows :

Article 7 has been amended by providing for an additional option for the preparation of alternative annual reports in respect of defined contribution schemes where all of the benefits are secured with the one life assurance company. Trustees will now have the option to :

(a) have a full annual report and audited accounts prepared under articles 4 and 6 of the Regulations, or

(b) have an alternative annual report prepared in accordance with article 7(8) of the Regulations, or

(c) (the new option) have an alternative annual report prepared by a life assurance company under the new article 7(8A).

This type of report need not include confirmation that contributions payable during the scheme year have been received within the the time specified; only a statement of the total amount of contributions paid by the employer and by the members to the scheme during the scheme year is required.

However, an alternative annual report in this format can only be availed of if the trustees have, within 6 months after the end of the scheme year, in the case of scheme years ending on or before 31 December 2000 and within 3 months in all other cases, furnished to each active member of the scheme, individual statements containing specified information including each contribution received by the life company in respect of the member during the scheme year and the date of investment of each such contribution.

Article 7(3) (b) has been amended by providing that where an annuity or annuities has/have been purchased which match and fully guarantee the pension obligations in respect of specific individual members and/or their beneficiaries, these can be disregarded in determining whether all of the benefits are secured with the one life assurance company.

Article 11 has been amended so as to provide that a breakdown of pre-Pensions Act single premiums and transfer payments need not be given automatically to the member and that such information must be furnished on request, where it is available, to the trustees.

Part II of Schedule D has been amended to provide for the realisable value of contributions paid by or on behalf of members to be furnished in annual benefit statements to members of defined contribution schemes. This amendment will come into force from 1 July 2001.