Background to automatic enrolment

What is Automatic Enrolment?

A common belief is Automatic Enrolment is Workplace Pension Reform, but this is not the case.

Automatic Enrolment is one of the most significant employer duties introduced as part of Workplace Pension Reform. The Pensions Regulator says these duties include enrolling workers, who are eligible, into a workplace pension scheme and contributing to it on their behalf.

Your legal duties for automatic enrolment begin on the day your first member of staff starts work. This is known as your duties start date and you cannot change this date.

Automatic Enrolment means your workers don’t need to do anything to be enrolled into your pension scheme, as an employer you have steps to complete such as:

  • Making sure your eligible workers are enrolled into a pension scheme.

  • If you have an existing pension scheme, speak to your pension provider to ensure it can be classed as a qualifying scheme and is suitable for Automatic Enrolment.

It is a legal requirement for employers to automatically enrol workers into a workplace pension scheme, and contribute to it on their behalf, if they meet the following criteria:

AE assesment - Age - Earnings and a UK Worker.

The age criteria for automatic enrolment is from age 22 to the employees state pension age (SPA). Other workers aged between 16 and 74 can also request to join a pension scheme.