Auto-enrolment compliance action having an effect

The Pensions Regulator has published the Compliance and Enforcement Quarterly Bulletin for 1 July to 30 September.

In that quarter there were 672 notices issued for a number of matters, with the greatest number (469) issued for non-compliance. These notices instruct the employer to remedy a contravention of the duty provisions. In addition there were 107 fixed penalty notices. Employers are clearly dealing with the contraventions when they are notified of them, as since July 2012 there have been only seven escalating penalty notices, which can involve up to £10,000 per day for failing to comply with a statutory notice. The fine will be considerably smaller for some businesses, but it is clearly in the interest of employers to deal with issues at an early stage.

On a related matter there have been six arrests for pension fraud and underpaying workers. The arrests were part of a collaboration between the police, the Pensions Regulator and Employment Agency Standards Inspectorate.