Ruairi Ó Murchú (Louth, Sinn Fein)
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130. To ask the Minister for Communications, Climate Action and Environment the progress that is being made in signing-off on pension increases due to retired An Post workers; and if he will make a statement on the matter. [48257/22]

Hildegarde Naughton (Galway West, Fine Gael)
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In accordance with the relevant Code of Practice from the Department of Public Expenditure and Reform (DPER), An Post must seek Ministerial approval to increase pensions and deferred pensions for members of the An Post superannuation scheme. Paragraph 8 of DPER Circular 16/2021 states that pension approval requests should be submitted for approval well in advance of any decision to implement changes and this is in acknowledgement of the necessary processes that must be completed and in order to ensure that pension increases are not unduly delayed.

However, it should be recognised that the pension approval process does take time which is necessary to ensure that robust governance procedures are in place.

In May of this year, An Post, which is an independent commercial semi-state body, requested an increase of 2% with effect from 1 January 2022. Having sought the necessary advice from NewERA, my officials submitted their recommendation on 1 September, and I 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 was made aware of this and has communicated with the Group of Unions.

An Post has undertaken to submit a request for a proposed increase of up to 2% for An Post pensioners with effect from 1st January 2023, with the appropriate financial and actuarial reports required for further analysis.

As stated in DPER Circular 16/2021, such proposals require NewERA’s views, as well as a business case setting out the strategic, policy and financial rationale for the proposed increase. The process is required to ensure good governance. When all the required documentation is received from An Post the standard process will have to be followed, with NewERA’s views and assessment by officials being required for the 2023 proposed increase prior to the consent of both Ministers being sought.

This is the same procedure that must be followed for any State body.