Pensions auto-enrolment spells opportunity to put employee financial wellbeing at the heart of Irish employers’ people strategies

Ahead of the launch of Ireland’s My Future Fund auto-enrolment pension system, the CIPD is urging businesses to ensure employees understand the benefits – and to view employee financial health as a key part of overall wellbeing.

The My Future Fund scheme will start in January 2026, with the first deductions starting from that date. Employees aged between 23 and 60 earning at least €20,000 annually will enrol automatically if they’re not already in a qualifying pension scheme. 

Contributions will start at 1.5% of annual salary for both employee and employer, increasing to 6% by year ten. The Government will also contribute, starting at 0.5% and rising to 2% after ten years.  

Employees can opt out after six months. Those who do will be automatically re-enrolled by the scheme after two years, if they’re still eligible. 

In preparation, employers should align payroll systems, HR policies and employee communications before the Government collects payroll data to identify employees without an existing pension scheme.

A crucial opportunity to support long-term financial wellbeing 

Auto-enrolment is more than just a payroll task. It’s a critical opportunity to engage employees and support their long-term financial wellbeing. 

At a recent roundtable hosted by the CIPD and Zurich Ireland, participants discussed the importance of communicating the long-term benefits of saving for a pension – particularly when the impact on take-home pay can make it difficult to make ends meet in the short-term. 

This is where financial education and strong HR leadership become essential to helping employees navigate the change with confidence. Auto-enrolment should mark a shift from seeing pensions as a tick-box exercise. It’s a chance to embed financial wellbeing at the heart of the employee value proposition. 

Making pensions part of a holistic employee value proposition 

The My Future Fund launch is an important moment for people professionals in Ireland. It calls for a strategic, people-centred response that combines compliance with empathy – ensuring employees feel informed, supported and valued through the change. 

Organisations should focus on: 

• Strengthening payroll and HR data – audit and align your systems to ensure data is accurate and ready for Government reporting. 

• Communicating clearly and empathetically – develop clear, accessible employee communications that explain the scheme, deductions and long-term benefits. 

• Building financial wellbeing capability – offer learning, tools and conversations that strengthen employees’ financial literacy and help them make informed choices. 

• Equipping leaders and HR teams – provide managers with the knowledge and confidence to have sensitive conversations about affordability concerns and respond empathetically. 

• Designing fair and transparent processes – plan for opt-out and re-enrolment, ensuring your processes are consistent, straightforward and communicated clearly. 

Preparing now will help organisations to comply, reduce anxiety and reinforce pensions as part of a holistic employee value proposition.