Automatic enrolment: LLPs may have to enrol all members
By Kate Richards
The automatic enrolment requirements oblige employers to enrol the majority of their ‘workers’ into a pension scheme. Until now, it had generally been assumed that members of limited liability partnerships (LLPs) were not workers for this purpose and so did not have to be enrolled.
The Supreme Court has shed significant doubt on this. In a case concerning whistleblowing (Clyde & Co LLP v Bates van Winkelhof), it has ruled that a member of an LLP can be a worker for the purposes of the Employment Rights Act 1996 (ERA). The definition of worker in the ERA is similar to that used in the legislation governing automatic enrolment. It is now therefore strongly arguable that LLPs should be enrolling their members (and should have done so from their original staging date)…
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