surveys on topical pension issues. The first survey was concerned with the prospective workplace pension reforms (‘auto-enrolment’), and a summary of the findings and initial reaction to them is provided in a booklet which the JLT Group has very kindly made available to CIPP members. Follow this link to read the results in the CIPP Members area.
REFUND OF PENSION CONTRIBUTIONS
27 July 2011 The following information has been placed on the Pension Reforms Special Interest Group forum. The Pensions Regulator has confirmed that when auto-enrolment is introduced, you do not need to actually deduct a pension contribution if the opt out form arrives in payroll prior to the payroll being run. Thanks go to member Alison Ford for forwarding the link below to the Software Developer Notes which also do not mention having to make a physical deduction. Click here for the link to the Software Developer's Notes In addition, guidance in on the Pensions Regulator website says "When an employer receives a valid opt-out notice they must refund to the jobholder any contributions deducted from pay, within specific timescales." The word "any" suggests if you didn't actually make a deduction then there is nothing to refund. It does not state anywhere that you must make a deduction, just that if you do and they opt out within the opt out period, then you must make a refund. More answers to questions will follow and be posted on the forum. 27 July 2011 The CIPP would like to know whether payroll would be willing to hold onto pension contributions taken through Automatic Enrolment obligations. This would mean that where your payroll cycle does not fall within the opt out period eg. an employee joins and you automatically enrol them into the pension scheme and make a deduction because payroll is run the following week. There is a possibility that the employee might opt out but you needed to run the payroll. It would assist pension providers if you held onto the contributions deducted and only paid them over once the opt out period has ended. The Policy Team would very much like to know your opinion on this and has created a very quick survey which closes on 5 August 2011. PENSION CONTRIBUTIONS AND OPT OUTS - QUICK SURVEY 27 July 2011 According to Professional Pensions a maritime union has called on the government to broaden auto-enrolment legislation to include seafarers and offshore workers who are excluded from the law because they are not “ordinarily resident” in the UK. Nautilus - representing 24,000 maritime professionals - welcomed moves by pensions minister Steve Webb to include sea workers in auto-enrolment requirements but said the Pensions Act 2008 needed further amendments to cover more workers. UNION DEMANDS MORE COVER FOR MARITIME WORKERS
CIPP Policy News Journal
09/10/2012, Page 145 of 234
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