Nearly half of business owners without a workplace pension scheme are still unclear about their responsibilities, with a quarter not confident their business can cope.
New research by the Federation of Small Businesses has found that although smaller firms generally believe ‘auto-enrolment’ will be good for their staff and that workers should save for the future, many are still unclear what they need to do.
Three in four business owners (76%) also said auto-enrolment pensions put too much pressure on businesses like theirs, the new survey found.
Over the next two years more than a million small businesses will need to set up a workplace pension for their employees under the Government’s automatic enrolment rules. January sees the number of employers reaching their designated staging date rapidly ramp up with tens of thousands ‘staging’ each month in 2016 and 2017.
Gordon Millward, FSB Regional Chairman, said: “Our message for small employers is auto-enrolment is coming and will affect your business – and the sooner you get to grips with what you need to do, the better off you will be.
“We know that many small businesses remain concerned about their ability to cope.”