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First employer faces sentencing for failing to arrange workplace pensions for staff

The Pension Regulator has announced that bus company Stotts Tours (Oldham) and its MD, Alan Stott, have admitted charges against them (16 in total, 8 each), which relate to their failure to auto-enrol staff into a company pension and pay contributions for them dating back to June 2015 (available here).

Sentencing is due on 14th December, with the Pension Regulator also pursuing the company for over £14,000 in civil fines (separate to any penalties imposed by the court) relating to their non-compliance.

Nathan Long – Senior Pension Analyst at Hargreaves Lansdown

‘The news that the first employer is facing sentencing in mid-December for their part in denying staff the opportunity to save for retirement, should be a real wake up call to employers of all shapes and sizes. Whilst more than 20,000 employers have already been fined for not properly signing their staff up to a workplace pension, this is the first time criminal charges have been brought. Generally auto-enrolment has been embraced by employers, so it is good to see the regulator acting to punish those that have deliberately not complied.’