Local businesses to prepare for pension

Justine Vaughan, Founder and Director of Triangle HR

A local HR consultancy is advising SMEs across Shropshire to make sure they’re fully aware of the recently introduced reforms to the government pension schemes.

Shrewsbury-based Triangle HR is urging businesses across the region to be prepared for the newly launched Workplace Pension Scheme, which will see all companies legally required to contribute to their employees’ pension pots by 2017.

The scheme means that employers will need to start to put a percentage of their employees’ salaries into a pension fund for their future retirement, with very large companies employing over 120,000 people to have implemented early next year.

Justine Vaughan, Founder and Director of Triangle HR explained: “Sizeable firms are set to introduce the new pension scheme first, so SMEs needn’t worry about getting all systems and processes in place just yet, as it will be a few years before it will affect them.

“However, those businesses who do consider implementing the scheme early, could benefit significantly, not only from the cost reductions associated with pensions but also their ability to stand out from the crown and attract and recruit talented employees.

“The scheme has been brought in by the government for the fundamental reason that people are now living longer, and with retirement subsequently lasting up to 20 years or more for some people, the importance of being able to fund it is crucial.”

Employers who don’t have an existing company pension provision will be legally obliged to enrol all employees into the new scheme, providing they are aged 22 or over, earn more than the governments minimum salary of £8,105.00 a year, and work within the UK.

“If anyone would like any more information about the scheme, or how it could affect the business, please do get in touch with the Triangle HR team on 01743 444007.

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