90,000 Scots employers prepare for automatic enrolment

Around 90,000 employers across Scotland should already be preparing to take up new pension duties before new laws take effect in January, according toThe Pensions Regulator.

Automatic enrolment is being rolled out in stages across Scottish businesses of all sizes.

Under the new rules, UK workers over the age of 22 and under the state pension age, who are not already in a scheme and earn more than £8,105 a year, will automatically be enrolled in a workplace pension scheme.

Automatic enrolment began to roll out to Scottish businesses in late 2012. Many employers will see their legal duties start from January next year.

Small and micro employers have staging dates spread from June 2015 through to early 2018. The Pensions Regulator recently published its annual commentary and analysis report, which includes an updated staging profile.

Charles Counsell, executive director of automatic enrolment at The Pensions Regulator said: “Employers across Scotland whose duties will come into effect in the coming months should by now be gearing up to meet their duties. If they are not, then they should act now.

“We know that the majority of employers want to do the right thing for their staff and we are here to help, but those who leave their plans to the last minute risk financial penalty. Whether you are a florist, a builder or run a pub, automatic enrolment applies to you.

“We are now approaching the three years since the start of the start of automatic enrolment and it has been a success – saving for a pension in the workplace is now the norm. Now employees in small and micro businesses will get the opportunity to save for their retirement.”