Eire workers to be offered pensions flexibility

Construction workers in the Republic of Ireland will have the option of retiring at 60 under a revised pension plan for the industry, which is due to take effect from 1 July.

The scheme will affect more than 250,000 workers between the ages of 20 and 65. The trustees claim it will be more transparent, cost-effective and easier to operate than the previous plan.

Under the new scheme, each member will have an individual pension fund that is fully portable. But retirement at 65 will no longer be mandatory - under the agreed changes, members will be able to choose to retire at any point between 60 and 70.

The pension contribution will be 7% of gross salary, with 40% of the money coming from the worker and 60% from the employer. The revised plan also provides for improved death in service benefits for dependants.