Member Article

SMEs must wake up and smell the coffee

Glynn Jones, Divisional Director, Group Savings & Investments, LEBC Group (LEBC) says, “SMEs are generally not set up to be able to cope with legislation like Auto-enrolment.

“Employers need access to specialist skills. These include payroll, pensions and possibly legal advice. SMEs do not generally have the skills internally, especially as many outsource their payroll services.

“The clear expectation is that the payroll provider (bookkeeper, accountant or bureau) will just fulfil the responsibilities required of the employer. But the problem is that every payroll professional may not necessarily be set up for auto-enrolment for payroll, and almost certainly not for legal or pension advice.

“Smart employers should be asking payroll suppliers for an update in their planning for clients. The smart payroll professionals are investing time in creating plans for their clients to fulfil their auto-enrolment responsibilities, to include access to suitable pensions and legal advice.

“Every employer needs to understand that The Pensions Regulator has the powers to act and impose fines if they do not wake up, smell the coffee and face their obligations. Postponing only delays the inevitable.”

LEBC has been on the auto-enrolment journey for almost three years and has developed an online solution ‘æComply’ for employers and/or their advisers to use.

This was posted in Bdaily's Members' News section by LEBC Group Ltd .