Dáil Éireann Debate, Tuesday - 23 June 2020
802. Deputy Ged Nash asked the Minister for Employment Affairs and Social Protection the status of the implementation of an automatic enrolment pensions savings system; and if she will make a statement on the matter. [11678/20]
View answerThe Roadmap for Pensions Reform, 2018 to 2023, provides for the development and implementation of an Automatic Enrolment (AE) retirement savings system by 2022. AE will see a transition from the current and purely voluntary supplementary pension system to one which will, subject to certain parameters, automatically enrol employees into a quality assured retirement savings system. The saver will maintain the freedom of choice to opt-out.
In October 2019 the Government approved significant elements of this system’s design for an Automatic Enrolment retirement savings system. Key decisions have now been made in relation to the target membership, the contribution rates, the policies in relation to opting-out and re-enrolment, the administrative arrangements and organisational approach and the investment options.
The Department’s Automatic Enrolment Programme Management Office (AEPMO) continues to work on the implementation of AE in line with the commitments set out in the Roadmap for Pensions Reform. There are currently five main areas where work is on-going so as to produce design options for Government to consider. These areas relate to:
- the scope and role of the Central Processing Authority;
- the nature and functions of the Registered Providers;
- the investment framework and funds to be offered by Registered Providers, including the design of the default fund and the pay-out phase;
- the design of the State financial incentive; and
- the phasing of implementation.
In progressing its work, the Department is receiving technical support from the European Commission’s DG Reform which assists EU member states implementing administrative and institutional reforms.
I hope this clarifies matters for the Deputy.
