Kieran O'Donnell (Limerick City, Fine Gael) | Oireachtas source

I want to thank both Deputies Sherlock and Duncan Smith for raising this matter, which I will take on behalf of the Minister for Climate, Environment and Communications, Deputy Eamon Ryan.

I want to outline the position on this matter, which deals with the current increases that are formally due. Under section 46 of the Postal and Telecommunications Services Act 1983, the Minister for the Environment, Climate and Communications, with the concurrence of the Minister for Public Expenditure, National Development Plan Delivery and Reform, approves any superannuation schemes that are submitted by An Post. The operation of the schemes is a matter between the management of An Post, staff representatives and the trustees of the schemes.

As Deputy Sherlock stated, on 9 March 2023, An Post wrote to the Department seeking consent to the second phase of their current pay agreement which provides for a 2% increase in pay from 1 January 2023. In addition to this, on foot of a recent Labour Court decision, An Post wrote to the 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 addition to the requests that I have referenced, An Post also wrote to the Department on 20 June 2023 seeking approval to increase pensions in payment for members of the An Post superannuation scheme who are aligned to the Principal Officer, PO, grade in the Civil Service.

In accordance with the relevant code of practice from the Department of Public Expenditure, National Development Plan Delivery and Reform, An Post must seek ministerial approval to increase pensions, as the Deputies have both stated, for deferred pensions for members of the An Post superannuation scheme. As per circular 16/2021, all such proposals require the view of New Era, as well as a business case setting out the strategic policy and financial rationale of proposed increases. Circular 16/2021 states that pension approval requests should be submitted for approval well in advance of any decision to implement changes and acknowledgement of the necessary process that must be completed. 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 on 9 March, An Post's request to the Department of Environment, Climate and Communications, the standard process is now being followed with New Era’s views and an assessment by the officials being required prior to the consent of both Ministers being sought. The most recent request on 20 June has also been forwarded to New Era. This is the same procedure that must be followed by any State body. Consideration of the consent request of 9 March is well advanced and a report from New Era is expected shortly. It is not possible at this point to specify a timeframe within which this decision-making process will be concluded. However, the Deputies are raising points on behalf of the An Post pensioners. It is a matter I will take back to the Minister, Deputy Eamon Ryan. I will ask that the matter be given full consideration in terms of looking at having these payments made as quickly as possible.

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