Auto Enrolment – What do the changes mean?
If you are an employer in the UK with staff, auto enrolment does affect you. You will need to automatically enrol ‘eligible jobholders’ into a ‘qualifying workplace pension scheme’. Eligible jobholders will need to be automatically enrolled once they have completed up to three months’ employment (waiting period). An ‘eligible jobholder’ who wishes to opt in during the ‘waiting period’ will have the right to do so and receive employer contributions.
‘Automatic Enrolment’ represents a significant change in UK Pensions legalisation and its impact on workplace pension provision will be significant.
Auto-Enrolment – Actions
It is essential you start planning early and feedback suggests an ideal time frame of 6-12 months before your ‘Staging Date’. The consequences of missing your auto-enrolment deadline are severe; fines from the Pensions Regulator (up to £10,000 per day), damage to your reputation and impaired employee relations.
How can we help?
If your business has more than 25 employees we can advise and assist you in getting ready for your ‘Staging Date’. We are currently assisting employers to define their auto enrolment solution (pension providers, payroll and middleware solutions) to ensure they fulfil their legal obligations. Contact us today to find out more about how we can help.