The following Pensions guidance note provides comprehensive and up to date legal information covering:
An employer can postpone the date on which the auto-enrolment obligations would otherwise apply to an eligible jobholder by up to three months. The date to which an employer chooses to postpone its auto-enrolment obligations is called the 'deferral date'.
Postponement of the auto-enrolment date imposes, in effect, a membership waiting period. The decision of whether to postpone auto-enrolment is optional for the employer. If the employer wishes to use postponement, it must give notice to the relevant workers (known as a 'postponement notice').
The Pensions Regulator has issued guidance to assist employers who wish to use postponement, and has also issued a letter template that employers can use for the postponement notice.
Note that following consultation and with effect from 1 April 2017, the government extended to new employers the ability to postpone auto-enrolment for up to three months, a new employer being either:
an employer who pays Pay-As-You-Earn (PAYE) income and for whom the first worker begins to be employed on or after 1 October 2017, or
an employer who does not have a PAYE scheme and for whom the first worker begins to be employed on or after 1 April 2017
The aim is to give new employers (small and micro businesses in particular) the ability to have more time to deal with the official administrative requirements around enrolling a new worker
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