Two major changes to employment law take effect today: the introduction of pension auto‑enrolment and an increase in the minimum wage.

The new pension auto‑enrolment system is designed to help more than 760,000 workers start saving for retirement. Anyone aged 23 to 60 who earns more than €20,000 a year across all their jobs, and who is not already in a workplace pension, will be automatically enrolled.

The scheme will be rolled out gradually over ten years. At the start, both employees and employers will contribute 1.5% of the worker’s salary. This rate will rise by 1.5% every three years until it reaches 6% in year ten. The State will also add €1 for every €3 the employee contributes.

The Department of Social Protection says that most employers with eligible staff—around 85,000—have already registered their business details.

The department warned that delaying registration offers no benefit, as contributions will be due from the first payroll of 2026 whether an employer has registered or not. Employers who fail to register will build up a legal debt and may face penalties, fines, or prosecution.

---

---

---

---

---