Codes of governance for DC schemes
The European Union (Occupational Pension Schemes) Regulations, 2021 (the Regulations) were signed into Irish law on 22 April 2021. The Regulations transposed the IORP II Directive into Irish law and introduced new obligations for trustees, mainly in the area of pension scheme governance. The Regulations also made certain changes to the Pensions Act, 1990, as amended (the Act).
In 2016, the Pensions Authority published codes of governance for DC schemes to highlight good governance and administrative practices for trustees of DC arrangements. The Regulations make many of these practices mandatory for both DB and DC schemes. The Regulations have also introduced further minimum requirements to enhance governance standards generally. The Pensions Authority has removed the 2016 codes and will publish a new code for trustees of occupational pension schemes and trust RACs. The new code will include guidance on the governance responsibilities of trustees as well as guidance on other aspects of trusteeship aimed at protecting the interests of pension scheme members and beneficiaries and ensuring the soundness and stability of pension schemes and trust RACs.
Trustees are reminded of their continued obligation to comply with the requirements of the Act, including the new requirements introduced by the Regulations.