This Content Was Last Updated on April 4, 2020 by Jessica Garbett

 

The Pensions Regulator has issued a brief this week, “Staff need to be enrolled before they can opt out”

As outlined in our latest compliance and enforcement bulletin, during the inspections we’ve been carrying out across the country we came across a number of instances where employers had agreed to opt staff out of a workplace pension before they’d been enrolled.

If employers do this, it means they are not complying with their duties in the correct way and may risk a fine if they appear to be making the decision to opt out on behalf of their staff. Eligible staff need to be enrolled first – they can only opt out if they wish to after being enrolled.

Employers need to follow all the steps in our Duties Checker, including setting up a scheme, putting eligible staff into it and writing to them, before they can choose whether to stay in or opt out. See our website for more information on the key steps to follow.

Whitefield Tax - Isle of Wight Accountants - IR35 specialists
Privacy Overview

This website uses cookies so that we can provide you with the best user experience possible. Cookie information is stored in your browser and performs functions such as recognising you when you return to our website and helping our team to understand which sections of the website you find most interesting and useful.

To review our full Privacy and Cookie Policy please click here