Auto-enrolment – an impending headache or an unprecedented opportunity for employers?

Shaun O’Connor, senior consultant with Insight Private Clients Ltd, weighs up the pros and cons of the pension investment scheme

Auto-enrolment has been hailed as an overdue social economic development, with 750,000 employees currently in the country with absolutely no pension provision in place.

Like so many things in life, the answer is that it is a bit of both, an impending headache and an opportunity ! The good news is that a headache can be dealt with rather easily and an opportunity can be grasped, both outcomes depend on preparedness and how the situation is approached. We therefore recommend that, where uncertainty exists as to its impact on any Business, that such Business owners seek advice from their Pension Advisors.

With the government determined to ensure Auto-enrolment is in place and operational in 2024 and with the most recent deadline being placed at September of next year, there is a lot of concern across industry groups such as the Small Firms Association, IBEC and Life companies as to how it will work in practical terms.