Delivering a successful Auto Enrolment programme early
One long standing and successful business client asked us to build on the executive pension plans and salary sacrifice arrangements we’d developed for the management team by implementing an Auto Enrolment programme for all employees.
While they were still a way off their mandatory Auto Enrolment date, the client wanted to be “ahead of the rush” so in the latter half of 2014 we opened a dialogue with the employers about how Auto Enrolment would affect their business and they were clear that even though they were a relatively small company, this was something they could not ignore.
In early 2015 we then rolled-out a new scheme where the employer immediately contributes 1% as long as the employee matches the contribution: making this an affordable and saleable scheme with contributions gradually increasing. Each year thereafter the employer contributions will increase by 1% and once again is matched by the employee. By the end of four years the contributions will be 8% – 4% from each.
By being a proactive employer and introducing a pension scheme for all its employees, the client has created the opportunity for higher retirement income for all its employees and we are also now also reviewing the historic retirement plans for many of the staff and suggesting upgrades to them where possible to enhance further their final retirement incomes.
And following the successful implementation of the programme the MD said: “By looking at Auto Enrolment early we were able to secure a good package for our staff and also show that we have their best interests at heart. The service we received from eBos was first class and would strongly suggest that any employer hat has not yet looked at implementing a solution should do so immediately and need look no further than here.”