Forcing workers out of pension schemes illegal - DWP

clock

Pensions Minister Mike O'Brien says encouraging workers not to save in a workplace pension scheme will become unlawful under proposed changes to the Pensions Bill.

The DWP says it will amend the current Pensions Bill during the Lords stages to prohibit employers from offering ‘inducements’, such as higher salaries or one-off bonuses, which encourage workers to opt out. O’Brien says the amendment, which will come into force alongside the introduction of automatic enrolment in 2012, will also cover circumstances where employers simply try to force their workers to opt out. It will leave individuals free to decide if they want to be a member of a workplace pension scheme, he says. Employers deemed guilty of flouting the new rules could be forced to pa...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Investment

Tyndall Partnerships head Sullivan on bespoke empowerment

Tyndall Partnerships head Sullivan on bespoke empowerment

‘No two IFAs invest in the same suite of models’

Isabel Baxter
clock 09 December 2024 • 4 min read
Smoothed funds set to be a 'bigger asset class for the advice market'

Smoothed funds set to be a 'bigger asset class for the advice market'

‘An attractive low-risk solution for retirees’

Isabel Baxter
clock 25 November 2024 • 3 min read
Advisers no longer see inflation as a major concern

Advisers no longer see inflation as a major concern

Funds offering a level of inflation protection were the last research, Square Mile finds

Isabel Baxter
clock 22 October 2024 • 4 min read