The Pensions Board has warned that many workers face the prospect of lower retirement incomes because their pension funds are in deficit.
Chairman of The Pensions Board Tiarnan O Mahoney said that while pension funds had performed strongly last year, this had not offset the losses from 2007 and 2008.
He was speaking at the publication of the 2009 annual report this afternoon. Read the report
Up to 75% of defined benefit schemes, which are viewed as more secure funds, are also said to be experiencing deficits.
Mr O Mahoney said that many workers in defined contribution schemes, where the employee carries the risk, face the prospect of lower retirement incomes.
Mr O Mahoney also said that The Pensions Board has neither the staff nor the skills to effectively monitor and supervise regulated entities and products.
Chief Executive Brendan Kennedy said that not all pension management was adequate or competent and criticised the risk management and investment strategies of many schemes.
The Pensions Board also queried the quality of professional advice given to pension trustees regarding risk and investment.
Mr Kennedy warned that the chances of further losses remain too high.
Mr O Mahoney also said he welcomed the publication of the Government's National Pensions Framework last March.
He hoped the framework would mean that over the next 20 years, most, if not all, workers could look forward to some form of supplementary pension on retirement.
Currently almost half of Ireland's workforce has no supplementary pension provision over and above the minimum State pension.
'Theft of employees' money'
The Board confirmed that 41 on-the-spot fines were issued last year for offences under the Pensions Act.
Mr O Mahoney said that there are instances where construction employers have deducted pension contributions from workers for the mandatory Construction Workers Pension Scheme.
But that there are cases where the construction employers had failed to remit the money to the pension fund.
Mr O Mahoney has described this as 'the theft of employees' money and an inexcusable exploitation of employees'.
The Chairman is concerned that many of the workers may not feel able to protest because of fears for their jobs.
He said that the current economic difficulties in the construction sector are no justification for this behaviour.
