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Proceeding contribution from Lord McKenzie of Luton (Labour) in the House of Lords on Monday, 30 June 2008. It occurred during Committee of the Whole House (HL) and Debate on bill on Pensions Bill.


Pensions Bill

moved Amendment No. 89: 89: Clause 29, page 13, line 36, at end insert— ““( ) Regulations prescribing arrangements for the purposes of section 3(2), 5(2), 6(3) or 8(2) may require the employer to make such a deduction or payment at any time on or after the date with effect from which the jobholder is to become an active member of a scheme under the arrangements. The noble Lord said: Clauses 3, 5 and 6 require employers to enrol or re-enrol their jobholders to a pension scheme. Clause 29 then permits employers to deduct pension contributions from the individual’s pay and pass that money to a scheme. Amendment No. 89 clarifies that regulations prescribing the automatic enrolment process may require the employer to start making pension deductions from a jobholder’s salary from the first pay day after automatic enrolment. In practice, that means that if a jobholder is paid between the time they are automatically enrolled and the time when all the practical arrangements to get them into pension saving have been completed, the employer may be required to deduct pension contributions from their wages. That ensures that pension saving can start from the day a jobholder is automatically enrolled. I beg to move.


Secondary information

Type
Proceeding contribution
Reference
703 c14 
Session
2007-08
Chamber / Committee
House of Lords chamber
Subjects
Workplace pensions Pensions Means-tested benefits National employment savings trust scheme
Legislation
Pensions Bill 2007-08
Link
View this Proceeding contribution on www.publications.parliament.uk