Eamon Ryan (Dublin Bay South, Green Party)
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I received a recommendation from my officials on 1 September and granted my consent on 2 September to the payment of an increase of 2% to An Post pensioners with effect from 1 January 2022. The consent of the Minister for Public Expenditure and Reform for the proposal was subsequently provided on 7 September. An Post has been made aware of this and has communicated with the Group of Unions.

An Post formally sought Ministerial approval on 4th May of this year, in accordance with the relevant Code of Practice from the Department of Public Expenditure and Reform (DPER), to increase pensions and deferred pensions (for members of the An Post superannuation scheme) by 2% per annum with effect from 1st January 2022 and up to a further 2% per annum with effect from 1st January 2023.

In line with the Code of Practice, NewERA’s views on the proposal were sought. This is to inform the business case required under DPER Circular 16/2021 (setting out the strategic, policy and financial rationale for providing the increases). The process is required to ensure good governance.

On 9 August NewERA provided  a recommendation on the proposals and my Department is obliged to be satisfied that the business case is justified,  before the relevant approvals are formally sought from DPER.

NewERA and the Departments worked as quickly as possible to finalise their assessment, in accordance with the governance requirements. This is the same procedure that must be followed for any State body.

In relation to the proposed increase for 2023, neither my Department nor DPER is legally permitted to grant pre-approval for a pension increase at this point. An Post has accordingly undertaken to submit that request in 2023 with the appropriate financial and actuarial reports required for further analysis.

When this is received the same process will have to be followed, with NewERA’s views and assessment by officials again being required for the 2023 proposed increase prior to the consent of both Ministers being sought.