Home / HR Director’s Hub / Auto Enrolment

Auto Enrolment

What is Auto Enrolment?

Auto Enrolment is about identifying eligible employees and enrolling them automatically at the right time to a qualified pension scheme and promptly communicates with them of their rights and entitlements.

For those who don’t qualify automatically, you still have to send an appropriate letter informing of their status and right.

You will have to process opt-out and opt-in notices from qualified and un-qualified employees.

Auto enrolment requires you to assess your workforce regularly and at least once every pay period.

The law came into force for large employers from October 2012 and smaller employers will follow. Even if you already offer pension arrangements for your workers, you’ll still have some new obligations to meet.

Your Responsibilities

  • Find out your staging date (the date by which you are required by law to comply with the AE legislation). Refer section 8.1 for more details.
  • Identify and provide a qualifying scheme for eligible Jobholders (Jobholder is the one who works in the UK irrespective of the Nationality or Duration)
  • Automatically enroll all eligible jobholders onto the scheme.
  • Pay employer contribution for eligible jobholders to the scheme.
  • Inform all eligible jobholders that they have been automatically enrolled and they have the right to opt-out if they want to do so.
  • Offer Pensions schemes to the non-eligible Jobholders and entitled workers.
  • Register with the Pension Regulator and provide details of your qualifying scheme and the number of people that you have automatically enrolled.

For further guidance, we recommend you refer to http://www.thepensionsregulator.gov.uk/employers.aspx

About Spiros Hub

Check Also

Workplace trends: 4 myths about how work gets done and what we should be doing instead

Dr. Anna Akbari, a sociologist contests that not all workplace trends improve performance. From co-working …