Scheme funding and restructuring
Pension schemes in the private and commercial semi-state sectors are generally funded schemes, meaning that a fund of investments is built up to support the liabilities.
Depending on the type of pension arrangement you have, different requirements are in place to protect the assets and monitor the level of funding relative to the pension benefits that are due to be paid out.
Funded defined benefit schemes in particular can be subject to amendment if the scheme assets fall short.
Defined contribution pension schemes are set up under trust and the trustees are responsible for safe-guarding the assets...
Some pension schemes are unfunded...
In funded DB schemes, employees and employers usually pay regular monthly payments into a pension scheme and the money gathered is set aside in the scheme's trust fund...
The Pensions Authority monitors the financial strength of funded defined benefit pension schemes through the operation of the Funding Standard requirements under the Pensions Act, 1990, as amended...
If a funded defined benefit scheme would not meet its Funding Standard liabilities and additional risk reserve on wind-up the trustees must submit a funding proposal to the Pensions Authority...
In most cases, the terms of a pension scheme may be amended...
In a funded defined benefit scheme, if the funding of the scheme is not sufficient to satisfy the Funding Standard...
A funded pension scheme may be wound up if the employer (1) goes into liquidation...
If there are surplus assets remaining in a funded DB pension scheme in wind-up once the trustees have paid all benefits and liabilities of a scheme...
Mergers and acquisitions are a regular feature of business life...