Ireland's National Automatic Enrolment Retirement Savings Authority (NAERSA) has said it will “seek to assist employers to achieve compliance” with the new regulations on occupational pension contributions, “rather than impose penalties”.

In response to a request for comment from European Pensions after the Irish Institute of Pensions Management (IIPM) raised concerns about the implementation of the new minimum contribution standards, NAERSA clarified that it is the employer’s responsibility to ensure compliance.

The exemption standards were introduced on Christmas Eve by the Irish Minister for Social Protection, Dara Calleary.

The standards, developed following consultation with the Pensions Authority, set out the minimum contribution requirements for occupational pension schemes to claim exemption from MyFutureFund for employees.

For a defined contribution (DC) occupational pension scheme, total contributions must amount to at least 3.5 per cent of the employee’s gross pay, of which at least 1.5 per cent must be made by the employer.

For defined benefit (DB) schemes, the standards specify that those that confer a long-term benefit based on continuing employment will allow such employees to be exempted.

NAERSA confirmed that the standards specified apply with effect from 1 January 2026 to any occupational or private pension arrangement being relied on for exemption from enrolment in MyFutureFund.

“NAERSA will shortly publish information on the process it will apply to make exemption assessments and determinations. In short, NAERSA will seek to assist employers to achieve compliance rather than to impose penalties,” a spokesperson for NAERSA said.

It stated that it will apply a 13-week lookback to 1 January 2026 at the earliest, using the gross pay and pension contribution figures being recorded through payroll submissions to the Revenue Commissioners.

This, it said, will be used to determine whether the exemption standards are being met.

“NAERSA will engage with employers to agree an approach to rectify any shortfalls where they arise.

“In the event that employers do not engage appropriately with NAERSA or do not fulfil approaches agreed, NAERSA will apply its compliance powers as set out at Part 9 of the Automatic Enrolment Retirement Savings System Act 2024,” the spokesperson said.

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