Employers' Obligations

Since October 2001, it has been compulsory for the majority of employers to offer eligible employees access to a stakeholder pension scheme, however, there are some exemptions for this law.

Employers may be exempt from the requirement to provide access to a stakeholder pension scheme for their employees if they:

  • Employ less than 5 people;
  • Offer access to an occupational scheme to some employees, as long as all the others have access to a personal pension scheme;
  • Offer an occupational pension scheme that all employees can join within a year of starting their employment;
  • Offer all employees a personal pension scheme and provide contributions of at least 3% of the employees' basic pay.