Dáil Éireann Debate, Wednesday - 21 June 2023
49. Deputy Mick Barry asked the Minister for the Environment, Climate and Communications when he intends to approve the pension increase due to An Post pensioners this year; his views on whether it now needs to match the rate of inflation; and if he will make a statement on the matter. [29920/23]
View answer50. Deputy Bríd Smith asked the Minister for the Environment, Climate and Communications if he can detail what progress has been made on signing off on the promised pension increase for An Post workers; if he can further clarify the timeframe for same, given the length of time retired workers have been waiting; and if he will make a statement on the matter. [30007/23]
View answerI propose to take Questions Nos. 49 and 50 together.
On 9 March 2023 An Post wrote to my Department seeking consent to the second phase of their current pay agreement which provides for a 2% increase in pay from 1st January 2023. In addition to this, on foot of a recent Labour Court decision, An Post also wrote to my Department on 9 March seeking approval to make increases to pensions in payment and deferred pensions of a 5% increase from 1 January 2022 and a 1% increase from 1 July 2023.
In accordance with the relevant Code of Practice from the Department of Public Expenditure, NDP Delivery and Reform, An Post must seek Ministerial approval to increase pensions and deferred pensions for members of the An Post superannuation scheme. As per Circular 16/2021, all such proposals require NewERA’s views, as well as a business case setting out the strategic, policy and financial rationale for the proposed increase. Circular 16/2021 states that pension approval requests should be submitted for approval well in advance of any decision to implement changes in acknowledgement of the necessary processes that must be completed and in order to ensure that pension increases are not unduly delayed. It should be recognised that the time taken for the pension approval process is necessary to ensure that robust governance procedures are in place.
Following receipt of the requests and associated documentation from An Post, the standard process is now being followed, with NewERA’s views and assessment by officials being required prior to the consent of both Ministers being sought. It is not possible, at this point, to set out the specific timeframe within which the decision making process will be concluded.
