Blog, Global
Spotlight on the Republic of Ireland: A guide to implementing employee benefits technology
04.03.25
For organizations launching a unified employee benefits experience across multiple countries, the Republic of Ireland and Northern Ireland (part of the United Kingdom), can sometimes get categorized together as one region. While, geographically, this may be correct – in terms of benefits, there are a lot of nuances between the countries.
The Republic of Ireland (RoI) offers one of the most extensive ranges of employee benefits in Europe – second only to the UK. Although complex, this presents an opportunity for employers to tailor their approach and build benefits offerings that resonate with local employee needs and preferences.
The is a location we are frequently asked about – coming up in one-in-four conversations from a new business perspective – so to clear up some questions and reflect on some considerations, we thought it was time to put the spotlight on The Republic of Ireland.
Mandatory benefits
Ireland’s social security system is funded through employer and employee contributions, ensuring essential protections for all workers. Some of the mandatory benefits include:
Pay-related social insurance (PRSI) contributions
Employers contribute 8.8% of employee earnings up to €441 per week to this, or 11.05% of earnings above €441 per week. Employees contribute 4% of their gross earnings, with exemptions for lower incomes. These contributions cover state pensions, unemployment benefits, maternity leave, and illness benefits.
State pension
Employees who contribute to PRSI are entitled to the State Pension (Contributory) upon retirement. The qualifying age is 66 years, with potential future increases.
Healthcare benefits
Ireland has a mixed public-private healthcare system. The public system, funded through taxation, provides free or subsidized healthcare services, but many employees opt for private health insurance to access faster treatment.
Parental leave
Employees on maternity leave receive 26 weeks of paid leave, with an additional 16 weeks of unpaid leave as an optional addition, while paternity leave is two weeks of paid leave. Employers also offer parental leave, where employees can take up to 26 weeks of unpaid leave per child, before the child turns 12.
Unemployment benefits
Employees who lose their jobs may be eligible for the Jobseeker’s Benefit, based on PRSI contributions. The payment duration and amount of this depends on the employees’ salary history and contribution levels.
Sick leave
From 2024, employees are entitled to five days of statutory sick pay (SSP) at 70% of their salary, increasing annually until reaching 10 days by 2026. Many employers also offer enhanced sick pay schemes.
Annual leave
Employees are entitled to a minimum of four weeks of paid annual leave, with public holidays adding up to 10 additional days per year.
Core benefits
To attract and retain employees, many Irish employers provide additional benefits beyond statutory requirements:
Private health insurance
While public healthcare is available, many employers offer private health insurance to provide faster access to care and specialist services. This is often subsidized, or premiums are fully covered for employees by the employer.
Health benefits are subject to local authority influences, mid-year rate changes, and unique regulations like lifetime community rating. A rate calculator within your benefits platform can help simplify the decision-making process for employees and reduce the burden on HR teams.
Occupational pension schemes
Although not mandatory, many companies offer workplace pension schemes, with typical employer contributions ranging from 5% to 10% of the employees’ salary. The introduction of Auto-Enrolment in 2025 will require all employers to offer a pension scheme, and the expectations for tailored, anytime contributions are only set to grow.
Death in service benefit
This benefit provides a lump sum payment, typically two to four times the employees’ salary, to an employee’s beneficiaries in the event of death.
Income protection (long-term disability insurance)
Many companies provide income protection insurance, ensuring employees receive up to 75% of their salary if they cannot work due to illness or disability.
Popular benefits
Irish employers are increasingly offering benefits focused on work-life balance and financial security to improve their offering:
Flex funds
We’ve previously touched on the flexibility and popularity of spending or reimbursement accounts. These are still a prevalent choice for employers, including wellbeing-specific or seasonal options like ‘Festive Funds’, to support employee lifestyles.
Flexible work arrangements
Many employers provide hybrid work models, remote work options, and flexible hours for their employees.
Discounts and cashback
These remain a popular and accessible option, with 70% of our customers in Ireland offering them – they’re especially useful for organizations just starting to build out their benefits offer, or for those with limited capacity for a wide range of benefits.
Wellbeing programs
It’s popular for employers to offer gym memberships, wellness stipends, and mental health support to their workforce, alongside Employee Assistance Programs (EAPs), which provide employees with access to confidential counselling.
Education and professional development
These benefits include tuition reimbursement for higher education, certifications, and skill development, as well as in-house training and leadership development programs.
Commuter and transport benefits
Tax-free travel schemes, including bike-to-work programs and public transport subsidies, are popular with employees.
Parental and family support
Some companies offer enhanced paid parental leave beyond statutory entitlements, while larger organizations provide on-site childcare or childcare vouchers.
Other popular benefits we’re seeing offered through OneHub include cycle to work, voluntary partner life cover, wellbeing allowances, holiday buy, dental insurance, and season tickets for public transport.
Key considerations for implementing employee benefits in the Republic of Ireland
- Expect complexity – but also opportunity. With so many benefits offerings available, this variety allows for a high degree of customization, it also introduces a more complex benefits environment. From flexible bonuses and voluntary schemes to adding dependents or tailoring pension contributions, benefits design in the RoI sits firmly at the ‘complex’ end of the simple-to-complex model. That said, this complexity presents a real opportunity to offer a differentiated and locally relevant employee experience.
- Voluntary benefits are growing in popularity. As demand for flexibility increases, employee-funded, voluntary benefits are gaining traction. Programs like cycle-to-work and experience-based benefits are becoming more common, offering employees lifestyle-oriented perks that go beyond traditional offerings. Employers are increasingly looking for ways to manage this variety without creating admin overload – and platforms that can streamline these benefits are in high demand.
- Technology is a must-have, not a nice-to-have. With post-Brexit growth and more companies establishing operations in Ireland, benefits are becoming a key focus in a competitive talent market. Yet many employers still manage their benefits manually. As headcount grows and employees expect more, platform-based solutions are essential to handle complexity, reduce admin, and futureproof your benefits approach.
It’s tempting to think that a smaller team doesn’t require a benefits platform – but delaying can create bigger challenges later. By laying the foundation early, you can scale your benefits offering as your teams grow, while still delivering a great experience from day one. After all, every employee – whether one of 20 or 200 – deserves a seamless, modern benefits experience.
To learn more about how to navigate the complexities of employee benefits in the RoI, or for help prioritizing your global rollout, speak to one of our benefits experts.
04.03.25
