Irish Firms Not Fully Prepared for New Pensions Auto-Enrolment Scheme

The majority of Irish businesses are not fully prepared for pensions auto-enrolment, according to the results of our latest industry survey.

We polled 270 employers at our recent webinar, Pensions Update: Auto-Enrolment. The findings reveal that most companies are still finalising plans, despite the scheme taking effect on 1 January 2026.

Two-thirds of respondents (66%) said they were still working on compliance, while 18% have yet to start. Only 16% said they were fully prepared with plans already in place.

Stephen Gillick, Head of Pensions, said employers are facing a short window to act. He said:

“Many businesses are juggling multiple priorities as the January deadline approaches. Auto-enrolment will introduce entirely new processes for payroll, HR and finance teams. We are working closely with clients to design and test these processes so that they are fully operational before the new year. The biggest challenge now is turning awareness into action.”

When asked about the main challenge, over half (51%) pointed to the administrative and HR burden. Cost of contributions was cited by 27%, while 22% highlighted employee engagement and communication.

Catherine O’Flynn, Employment Law Partner, said employers will need strong communication plans to manage expectations. She commented:

“Auto-enrolment represents a significant shift in how employees will save for retirement. We are helping our clients prepare for its introduction by guiding them through the legislation, assisting employers with workplace impact assessments and determining whether changes need to be made to their suite of employment documents. We are also helping clients prepare clear internal communications, so employees understand the imminent changes and feel confident about what they mean in practice. That transparency will be crucial to maintaining trust and building long-term confidence.”

Two-thirds (66%) of respondents said employee reactions would likely be mixed, with only 27% expecting a mostly positive response.

Asked what support would be most valuable, six out of ten (60%) called for clear, practical guidance on compliance. Others sought tools to manage contributions (17%) or communication materials for employees (22%).

Stephen added:

“The message from employers is consistent: they need simplicity and clarity. A straightforward framework for compliance, with clear operational steps, would ease much of the uncertainty. Our pensions and employment teams are already guiding clients through that process, identifying the key actions needed for full compliance before January.

Read about our survey findings on Business Plus, Irish Legal News and the Law Society Gazette.

Our Pensions Team