Following government approval, Ireland's new automatic enrolment scheme is expected to begin enrolling members in January 2025. The bill has now been published and it is expected to pass, with enactment by July 2024. The plan is that employers will be expected to start taking the first enrolments in to a new workplace retirement savings system from January 2025.
The typical retirement plan nowadays offers employers a DC arrangement which is jointly funded by employee and employer contributions. However, many employers still will have employees who do not participate in their pension scheme. This could be because they are not eligible for the employer's scheme or are eligible but choose to have their retirement savings elsewhere.
Employees that do not participate in the employer's scheme, for whatever reason, must be auto-enrolled in to the new government AE scheme. Employers will have two pension systems in operation for their employees. However, some employers are exploring the option of opening their current scheme to un-pensioned staff.
Our pensions systems already have tried and tested functionality, having successfully implemented the auto enrolment legislation in the UK auto-enrolment some years ago. If you need any help or advice to ensure you’re ready for these changes in Ireland, please do not hesitate to contact us. Planning ahead will help you move with this legislation with ease.
Click here to read more about the bill
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