PENSIONS
Auto-Enrolment: Deferral of Date for First Contributions
The Automatic Enrolment Retirement Savings System Act 2024, signed into law on 9 July 2024, introduces a new retirement savings scheme in which workers will be automatically enrolled once they meet certain requirements. We looked at the introduction of a Statewide auto-enrolment pension system in our briefing: Auto-Enrolment – What we know so far.
The Government has confirmed that first contributions under an auto-enrolment system will not be made until 1 January 2026. The parts of the Act that mandate automatic enrolment will take effect on 1 January 2026, instead of the previous commencement date of 30 September 2025. Further information is available on the Department of Social Protection website here: Collection of contributions for My Future Fund rescheduled to 1st January 2026.
A reminder that the Act will impact every business in the country that has employees. The deferral of the commencement date provides employers additional time to prepare for compliance. Employers who have not already done so should seek to implement a clear action plan to prepare their business for auto-enrolment ahead of the commencement date of 1 January 2026.
This article contains a general summary of developments and is not a complete or definitive statement of the law. Specific legal advice should be obtained where appropriate.
