Just another Government policy?
The UK simply has to make Auto-enrolment succeed, so they have created a plethora of detailed regulations for Employers to comply with and potentially severe penalties. This really is not just another ‘Government policy’.
This is not just about paying into workers’ pension funds, it’s a whole lot bigger than that. For example:
– identifying worker categories
– having a specific process in place that automatically enrols your Staff
– keeping records of your Automatic Enrolment process
– process any opt-out notice
– automatically re-enrol workers approximately every three years
– having a specific process in place that automatically enrols your Staff
– keeping records of your Automatic Enrolment process
– process any opt-out notice
– automatically re-enrol workers approximately every three years
In addition, there are dramatic demographic changes that are projected: The Office for National Statistics Population Ageing Report in 2012 shows that by 2035 about 1 in 4 of the UK population will be aged 65 or over (that’s almost a 67% increase from back in 2010).
This ageing population factor is the key to exactly why compulsory workplace pensions are absolutely vital. The ageing population is more self-reliant as its numbers grow to levels where State hand-outs are completely unaffordable.