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Pensions Bill

In responding to the amendment proposed by the noble Lord, Lord Skelmersdale, I shall speak also to government Amendment No. 109A. Clause 55 provides a new day-one employment right for employees not to be unfairly dismissed on grounds related to membership of a qualifying pension scheme. This protection will cover circumstances in which employees are dismissed for claiming entitlements to save in a qualifying workplace pension as a result of the new employer duties introduced under our reform. As with existing unfair dismissal rights, we want that protection to extend to employees who are dismissed for making a claim to such an entitlement, even if it is an incorrect claim, provided that it is made in good faith. That is what proposed new Section 104D(2) of the Employment Rights Act, as inserted by Clause 55, would do. The noble Lord’s amendment would remove the provision, which would mean that employees would not be able to claim unfair dismissal in relation to the new duties in certain circumstances. For example, an employee earning below the qualifying earnings band, who was dismissed for asking his or her employer automatically to enrol them into a qualifying scheme, would not be able to claim unfair dismissal. I hope that the noble Lord, Lord Skelmersdale, will agree that this effect would not be desirable. Government Amendment No. 109A is a drafting amendment that puts right an inconsistency in the wording of proposed new Section 104D of the Employment Rights Act, as inserted by Clause 55(2). The amendment clarifies that it is a Chapter 1 requirement and that its enforcement should be referred to rather than rights. That makes the approach in Clause 55 consistent with the approach in Clause 53. I therefore would ask the noble Lord to withdraw his amendment.