UK - Employers will have the right to force staff to join a company pension scheme if a proposal in the Pickering review is enacted.
The proposal – which has been welcomed by the NAPF – would restore powers which employers lost when personal pensions were introduced in 1988.
Hewitt Bacon & Woodrow associate Raj Mody said: “Giving back to employers control about their employees’ participation in a quality occupational scheme would be a positive step overall for pension provision.
“People refer to this as ‘compulsory’ membership but it’s really about extending the paternalistic ethic – if employers wish to set up a decent occupational scheme voluntarily then you can understand why it’s fair to let them have some control to ensure wide take-up.”
This week's edition of Professional Pensions is out now.
Ben Gunnee reflects on 2018 and talks about the Fiduciary Management trends to keep an eye on in 2019
Lloyds Banking Group secured 630,000 new pension customers last year, according to its 2018 annual results.
Guy Opperman has rejected calls to speed up changes to auto-enrolment (AE) despite increasing pressure to boost contribution rates and overall savings pots.