Your Pension Scheme is A Right – Employers Must Comply
The Pension Regulator has a system in place to deal with employers that do not comply with the law when it comes to pensions. Although the majority of employers do set up and maintain workplace pensions for their staff, there are some who deny workers their legal rights and tell them that if they join a pension scheme, they will have their pay cut. This is simply not right, and they can be prosecuted for it.
Non-compliance is illegal
However some companies aren’t wilfully ignoring the law, they simply aren’t aware of it, or haven’t set up the correct system to deal with a pension scheme. Not to worry, companies such as Primo Payroll, who provide accountancy payroll software, can help you be compliant in an easy way, through their software.
Recently a healthcare company in Birmingham came to the attention of the Pension Regulator through a whistle blower. It was alleged that the company had informed their staff that a pensions scheme was in place and contributions were being paid in, when in fact no such scheme existed. This led to the company and its managing director being prosecuted and they were ordered to pay over £20,000 pounds. The staff were awarded their pensions, whilst the managing director has a criminal record.
Companies can be held accountable
The Pension Regulator has implemented automatic enrolment, which means that 1.2 million employers across the UK are providing a pension scheme to around 9.6 million people. Regular contributions are made to the pension funds of workers. But with so many employers in the country, it’s inevitable that some companies have slipped through the gap.
If you have any suspicions about whether your company is doing the right thing, or if you are aware of non-compliance from a company that you’re not involved in, please bring it to the attention of the Pension Regulator. Last year, around 600 employers were investigated for non-compliance, and 8,800 were fined in the last three months of 2017. This is about workers financial rights, and their financial future so it’s important to be responsible.
Payroll Software for Bureaus
Opting for bureau payroll software offers you an easy and efficient way to stay up to date with the latest in pension laws and make sure that you are compliant. Primo Payroll can provide expert help and software to deal with pension schemes for your business and ease payroll processing for accountants. Call us on 00 44 (0)845 456 7181, or email email@example.com to find out more about our finance or payroll solutions for accountants and bureaus. Our head office is based at Unit 2A, Bourne Court, Unity Trading Estate, Woodford Green, Essex IG8 8HD and we work with companies across the UK.