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28 September 2013

Auto-enrolment procedures - is this fair practice?

The company my daughter-in-law works for on a part-time basis (normally 12 hours per week) is rolling out auto-enrolment, and in order to facilitate this they have decided to change payment to 'a week in arrears' so that payday Friday 8th November will only be 3 weeks pay for 4 weeks work. The 'spare' week's money will be paid when an employee eventually leaves the company. This is in order to 'assess' if the employee should be auto-enrolled and must be carried out whatever hours the employee normally works. I am unsure as to why they need to do this, although they have to provide information to their pension scheme provider and claim this is the only way they can provide the information within the time scale required of them. Obviously 'losing' a week's pay is going to be difficult not only for my daughter-in-law, but, I would imagine, even more of a struggle for those who work full time. I'd like your thoughts on this as I feel that they should already have the paperwork in place so that their employees are not 'inconvenienced' in this way

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