Intermediarie's awareness, understanding and activity in relation to workplace pension reforms
The workplace pension reforms are set out in the Pensions Act 2008 and were introduced in October 2012 with large employers being subject to the duties first.
Large employers became subject to the duties between October 2012 and February 2014, medium employers from April 2014 to April 2015 and small/micro-employers from June 2015. Large employers are those with 250 or more employees; medium: 50 to 249 employees; small: five to 49 employees; micro: one to four employees.
Under the reforms, employers are required to automatically enrol certain members of their workforce (eligible jobholders, who are aged between 22 and State Pension age, working in the UK and earning more than £9,4402), into a workplace pension scheme, unless the worker is already in a qualifying scheme. Eligible jobholders can, however, choose to opt out of pension scheme membership. Other members of an employer?s workforce will be able to choose to join or „opt in? to a pension scheme, and, if they do, the employer is required to arrange membership for them into a workplace pension scheme. The type of pension scheme into which they must be enrolled depends upon the status of the worker.