GSP 08-25 An Post Superannuation Schemes – Pension Agreement
15/September/2025
Description
We advised in GS Circular 04/25, the Group of Unions and Post would engage in direct discussions on a review of the An Post Superannuation Schemes. This follows the outcome of the Triennial review of the three years up to the 31st December 2024, by the scheme actuary, Mercer. The CWU approach to the discussions, as unanimously endorsed at our Biennial Conference, and supported by AHCPS and Forsa, was to secure a reduction in the gap between pensionable and non-pensionable pay.
I am pleased to report we have successfully completed our discussions, achieving 100% pensionable pay restoration for employees. Having made a comprehensive presentation of the background and detail to Branch Secretaries, I undertook to outline in simple terms the impact on staff and pensioners.
The changes are a continuation of the previous agreement, concluded with the assistance of the Labour Court in its Recommendation LCR 22708 in 2023. In concluding the terms of a new agreement, the primary objective remains the long-term sustainability of the An Post Superannuation Scheme for the benefit of members.
Actuarial Review by Mercers
The scheme actuary has confirmed a surplus at the 1st January 2025 triennial review. On implementation of the changes the surplus retained in the scheme for future investment, will be € 345m.
Pension Accord-2% Cap
The Pension Accord will remain in place including the 2% cap, as it continues to be important to ensure the sustainability of the scheme. In the current economic uncertainty, it would be reckless and irresponsible to consider changing this. The folly of some suggestions to abolish it would largely eliminate the surplus, creating additional implications from a funding, risk and investment perspective. The immediate consequence would result in no increases to either employees or pensioners. It would also trigger a full investment strategy review by the Trustees as this would be a fundamental change in the Scheme’s funding position.
Restoration of benefits
- Pensionable pay for active members (employees) is to 100%. Pay scales and payslips will reflect this.
- This means an increase up to 7% as follows:
- Up to 6% effective from 1st January 2025
- 1% effective from 1st June 2025
- The Change Allowance pensionability remains at the agreed 83.67%.
- Other pensionable allowances will continue to be 100% pensionable.
- Employees on performance related pay (PRP), restoration will be effective from 1st January 2025.
- The increases outlined above will also apply to deferred members and pensioners, subject to Ministerial approval.
State Offset
On acceptance both parties will shortly agree a process, roadmap and timeline to review the state pension offset to ensure discussions are finalised in advance of the next triennial valuation.
The agreement enables the Actuary to incorporate the changes in the final report to the Pension Authority, by the required timeline of the 30th September 2025. Once this process is complete, the company will apply the new terms to employees and to seek approval from the Minister to apply the increases and retrospection to pensioners.
I will write to you separately regarding the two outstanding issues from the previous agreement that await approval by Government
Please bring this circular to the attention of all members and retired members.