Minister for Social Protection Joan Burton has said changes to the rules of defined benefit pension schemes are about delivering fairness.
She said a sliding scale will be introduced.
It will see those on pensions of between €12,000 and €60,000 a year lose 10%, while those on pensions of over €60,000 will lose 20% of their pension.
Currently, if a scheme is wound up, existing pensioners continue to get their pension but those who are employees or deferred members may receive nothing.
Speaking on RTÉ’s Morning Ireland, Ms Burton said the new rules will make sure that all contributors are given the maximum level of protection.
She said the rules will allow firms more certainty in restructuring schemes which take “into account the three parties to the pension scheme."
She said: "That is, first of all the existing pensioners, secondly the people who are currently working in the firm and paying in, and thirdly the people who may have worked in the firm for a long time perhaps retired in their 50s, taken a redundancy deal but their pension doesn't kick in until they come of pension age."
It is estimated that there are 800 defined benefit pension schemes in existence, 40% are fully funded, 30% are working with the pension regulator but up to 20% may be in difficulty.
In relation to the Waterford Crystal case, where workers brought a case to Europe, Joan Burton said that was a separate case and those workers would not be affected by these decisions.
