The employer’s duty to enrol all employees automatically in a pension scheme is being rolled out in stages based on size of employer. Employer size is calculated by reference to PAYE payroll numbers as at 1 April 2012.
If an employer already provides a pension arrangement for its employees, it can use that existing scheme for auto-enrolment purposes provided certain criteria are met. This briefing note discusses these requirements in relation to defined benefit schemes (including final salary schemes and career average schemes as well as lump sum schemes), and also considers hybrid schemes.
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