By Charles Counsell, executive director of automatic enrolment at The Pensions Regulator
Many employers will have seen the large character Workie – calling on them not to ignore the workplace pension. They may now be wondering what to do next and what automatic enrolment will cost them.
The good news is that recent research by The Pensions Regulator shows most small and micro employers who have already met their workplace pension duties recognise the importance of workplace pensions and think that it is good for staff.
Our findings show automatic enrolment doesn’t have to be costly and that it pays not to put your head in the sand. Starting plans early leaves employers with time to research and shop around and also helps them avoid the risk of a £400 fine.
Employers should first head to our website and follow the step by step Duties Checker which tells them what to and by when.
The Duties Checker is designed for small employers without pensions experience and makes automatic enrolment as easy as possible. I’d also recommend that employers look at our information detailing the set up costs employers might incur which will help people avoid any unnecessary expense.
Employers who have already reached their staging date – the date the law applied to them – should ensure they complete their declaration of compliance and submit it to us. This must be done within five months of their staging date. Employers are at risk of being fined if despite putting staff into a pension, they fail to submit their Declaration of Compliance.
Already more than 100,000employers have completed their workplace pensions duties and more than 6 million workers have been automatically enrolled since 2012. The Pensions Regulator is ready to help hundreds of thousands more small and micro employers join the pension revolution.