Auto Enrolment Pension Processes – still up to the challenge? 

Employer auto enrolment pension requirements were introduced in 2012 to help workers save for their futures. 10 years on, Mercer’s research has found that:

In September 2022 the Pensions Regulator issued a press release warning that some employers were getting their auto enrolment pension process wrong. They are undertaking spot checks on employers, if they are found with the incorrect process it can result in fines, rectification costs and reputational damage.

Typically, most employers invested a lot of time and effort getting their processes right when they first became subject to auto enrolment requirements.

However, over the last decade, HR Teams, systems and employer processes have changed. Companies have restructured too, resulting in some groups of companies having multiple enrolment dates. All of this has combined to introduce auto enrolment pension complexity and errors with potential risk and cost to the sponsor.

Mercer offers a DC MOT for no charge so you can see how your defined contribution scheme and associated employee benefits compare with other employers. This review will provide you with insight into how measures introduced by other organisations might help you respond to the opportunities and challenges of the current environment.

Mercer can help you review your auto enrolment pension process from end to end to ensure you are compliant.

Our comprehensive audit will also ensure that the defined contribution pension scheme you use remains fit for purpose so that both you and your employees receive a great outcome.