Auto Enrolment - Do not ignore your duties
The number of companies missing their auto enrolment set up date continues to rise. This year sees up to 700,000 employers reaching their staging date – the highest number since auto enrolment began in October 2012. This includes new employers who first employed a worker between 2 April 2012 and 30 September 2017 who will reach their staging date between May 2017 and February 2018.
In addition, there are some employers (with 50 to 500 staff in 2012) who are expected to reach their re-enrolment date in the new financial year 2017/2018, click here for The essential guide to re-enrolment and re-declaration
New employers from 1 October 2017 will have immediate auto enrolment duties, starting on the contract start date of their first worker.
Research data shows that there has been an increase in number of “late stagers”. The number of companies applying to set up their workplace pension after the timeframe within which they ought to have set them up, is increasing. The data also highlights that the proportion of companies preparing for auto enrolment well in advance of their staging date continues to fall.
For the first time, The Pensions Regulator is naming and shaming employers who have failed to comply with their auto enrolment duties. For the first time too, employers are being taken to court for failing to pay the fines issued for their failure to meet their auto enrolment responsibilities. In each case, the employer has been issued with an escalating penalty notice by the regulator for non-compliance but had failed to pay it.
In the first 3 months of 2017, The Pensions Regulator has issued more than 14,502 fixed penalty notices of £400 for automatic enrolment non-compliance. Charles Counsell, executive director of auto enrolment for The Pensions Regulator, said “Employers who wilfully refuse to become compliant should be in no doubt that we will take enforcement action against them …. Automatic enrolment is not an option, it is the law.”
HR:4UK understand the importance of ensuring that you remain compliant with the law and we understand the complexities of auto enrolment so are here to help you.
We can provide a cost effective workplace pension solution. For further information on how we can help you call 01455 444 222.