8 Auto enrolment into a pension scheme
A major development in pensions occurred in 2012 with the start of the government’s ‘automatic enrolment’ scheme for pensions, which meant employers offering a workplace pension scheme to their employees and automatically enrolling them on to the scheme.
Large employers started first and others followed, with all employers involved by 2018.
If employees do not want to be enrolled in the pension scheme offered by their employers they have to take action to opt out. The prospect is that, for many, inertia will result in them becoming, and remaining, enrolled in a workplace pension scheme.
Automatic enrolment is an important initiative to get people to contribute to a pension plan, and the encouraging news to date is that the majority of people enrolled automatically on to workplace pension schemes are not opting out of enrolment.
Activity 5 Action and inertia
Click on 'SIGN IN to enrol' to get started.You can find out more about registering and OpenLearn in our FAQs.