What is Full Automatic Enrolment Compliance?
Full automatic enrolment compliance is the legal obligation for employers in the UK, established under the Pensions Act 2008, to automatically enrol eligible employees into a workplace pension scheme and make contributions to it.
This requirement applies from the employee’s first day of employment and mandates that employers assess their staff’s eligibility based on age and earnings. Employers must ensure compliance by enrolling qualifying employees into the pension scheme, making the necessary contributions, providing required notifications, and submitting a Declaration of Compliance to The Pensions Regulator. This process aims to increase retirement savings among employees by automatically including them in pension schemes, while still allowing employees to opt out if desired.