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CIPP: Three quarters of employers not communicating with staff about pensions auto-enrolment

The Chartered Institute of Payroll Professionals (CIPP) has found almost three quarters of employers have not started communicating to employees about automatic enrolment, which starts to roll in from October this year.

The CIPP survey, which polled 103 payroll, HR, accounting and finance professionals, also found a small number of respondents (4%) were unsure of their staging date.

Helen Hargreaves senior policy and research officer at the CIPP, said: "It is vital that businesses know when they will be required to automatically enrol their employees, how this will affect them financially, and who is going to be responsible for ensuring that all their obligations as an employer are met."

The survey also revealed 61% of employers have decided where the responsibility for automatic enrolment lies; for most (42%) it will fall to payroll departments.

For nearly a quarter of organisations (24%) it will fall to HR departments, 9% finance and over a quarter (27%) of all payroll, HR and finance departments will work together.

Automatic enrolment otherwise known as the Workplace Pension Reforms will be introduced from October 2012. Automatic enrolment will see every eligible employee enrolled into a qualifying pension scheme to which both the employer and employee will contribute.

The Department for Work and Pensions (DWP) has started communicating these changes through various media channels since January.

Find out more about auto-enrolment and your staging date at HRmagazine.co.uk's newly launched pensions channel.