Adhering to legal and regulatory frameworks is a minimum requirement.
But good governance is about more than meeting the minimum. It’s about maximising potential to ensure processes are robust and compliant.
Who's afraid of the Big, Bad Wolf?
There are individual letters that we dread receiving (yes, some people still use the post).
We can now add an 'Automatic Enrolment - Notice of Inspection' from The Pensions Regulator to that list.
PANIC STATIONS!
One of my clients was the unlucky recipient of one such letter only a few weeks ago, which was followed a few days later by an unarranged visit!
For the past few years, we've been helping hundreds of employers comply with their automatic enrolment duties, where the underlying message has always been 'We want to get this right. And we don't want our name splashed across the media for screwing up our employees’ pensions'.
I’m sure that’s a view that you can relate to and understandably my client was more than a little bit concerned.
Thankfully, they have been incredibly diligent and were able to produce a full data trail for every automatic enrolment action that they have carried out in the past few years.
In fact, the review only took a short time, and once it was complete, The Regulator was kind enough to share the reason for selecting this particular employer for an inspection: ‘You had reported a zero in one payroll category, and we just wanted to make sure that nothing was missing.’
So, if you have re-enrolment approaching and another declaration to make, ask yourself three simple questions:
Will you be ready if the Big, Bad Wolf knocks on your door?
Written by Gavin Zaprzala-Banks, Principal
Gavin has worked in financial services for eighteen years. As Principal in our Guildford team, he is responsible for a portfolio of clients and works with a broad range of employers covering areas such as scheme design and implementation, governance and communication options.
Gavin is closely involved with the ongoing development of Punter Southall Aspire’s governance proposition and member communication programme.