John Curran (Dublin Mid West, Fianna Fail)
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26. To ask the Minister for Employment Affairs and Social Protection her plans for pension reform; her further plans on introducing auto-enrolment into pensions for employees; if so, the timeframe for this plan; and if she will make a statement on the matter. [1907/18]

Regina Doherty (Meath East, Fine Gael)
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Pensions reform is a Government priority and I can confirm an intention to publish and commence the implementation of a pensions reform plan in the near future. The plan will include measures relating to the introduction of a ‘Total Contributions Approach’ to the State pension for new pensioners, reform and simplification of the current supplementary pension landscape and measures required to transpose the EU ‘IORP II’ Pensions Directive. Perhaps the most fundamental reform measure contained within this plan will relate to the development of a new automatic enrolment supplementary retirement savings system for employees without pensions coverage. Auto enrolment would 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. This reform, where the saver will maintain the freedom of choice to opt-out, will encourage long term saving and asset accumulation amongst those who may otherwise suffer a reduction in living standards at retirement. It will increase the wellbeing, financial security and independence of future retirees.

Following publication of the reform plan, I intend that detailed evidence building and consultation will be undertaken to inform fundamental choices which are required regarding the preferred operational structure and organisational governance for a new system as well as many design elements such as contribution levels, financial incentives and target membership. Correctly positioning / designing each of these will be critical to the success of any system.

Subject to any Government decision regarding the manner in which this project should be progressed, it is my objective that first members would be enrolled in the new system by 2022. This project timeframe reflects the scale of such a programme and its importance as being the most fundamental reform of the Irish supplementary pension system in generations.

I hope this clarifies the matter for the Deputy.