Auto-Enrolment

Published on 17th July 2012 in:
Payroll Services, Pension Auto-Enrolment

Payroll Departments to Lead on Auto-Enrolment

A new research paper undertaken to understand business readiness for automatic enrolment by the Chartered Institute of Payroll Professionals (CIPP), has revealed that 40% of employers are looking at their payroll department to take the lead for implementing pension automatic enrolment legislation, followed by the HR department (29%) and the pension provider/department (13%).

Karen Thomson, Associate Director of Policy, Research and Strategic Visibility at the CIPP, said:

Our research has indicated that the onus for implementation is on the payroll department and we are confident that the majority of payroll and pension professionals are fully aware of their responsibilities surrounding automatic enrolment and are making significant headway in their preparations.

The paper also indicated that half of employers have set up a specific project team to handle automatic enrolment within their organisations. This highlights the complexity and severity that the legislation is placing on organisations, and the approach being taken by many to handle the volume of work involved to:

  • Carry out a workforce assessement
  • Review existing pension scheme
  • Communicate to employees
  • Handle opt-out requests
  • The exchange of data between payroll and pension providers

The results of the survey are not surprising. To be able to determine whether someone needs to be auto-enrolled, you need to know their age, the appropriate earnings – something payroll is very well equipped to do. Therefore, payroll departments are best placed to take the lead on this, and Ceridian have developed solutions that will help them.David Woodward, Chief Product & Innovation Officer

If you are leading auto-enrolment in your organisation, and want to talk to use about our solutions, contact us online or call 0800 0482 737.

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