EMPLOYERS need to be vigilant in meeting “complicated” auto-enrolment pension obligations to avoid hefty fines and costly scams as well as meeting their workforces’ needs, industry experts have warned.
The alert comes as the staggered introduction of the scheme continues, with the next deadline being 1 October for firms with 30 to 49 members.
Griselda Williams, head of business development at auto-enrolment firm Trust Pensions, told Scotland on Sunday that the measures are a “huge step” and employers have a duty of care to their staff to ensure their money “is being invested safely and wisely and is going to last the distance”.
She was speaking in advance of a seminar taking place in Edinburgh this Wednesday. It aims to educate Scottish businesses about the requirements, including the timings and the fines for not complying.
Auto-enrolment is legislation introduced by the UK government’s Pensions Act, affecting every employer with at least one member of staff. It requires them to sign up those eligible with a workplace pension scheme and contribute towards it, and it even covers individuals employing, say, domestic and personal care workers.
The seminar is also being hosted by the Pensions Regulator, and is set to be attended by Richard Bolton of software provider OptEnrol, which is owned by Edinburgh-based Forth Communication.
Williams also urged businesses to be aware of companies which are operating fraudulently, though she stressed that solutions are available, so companies do not need to panic.
The event is the only Scottish stop-off on a nationwide roadshow.