Monday 16 December 2019
Today (Monday 16th December) the Committee for Employment & Social Security (ESS) gave a presentation to employers as it works towards finalising its secondary pensions proposals.
The proposals, which would require all employers to make workplace pension arrangements for their staff, are due to be published before the end of the year and will be debated by the States in 2020. The scheme has been in development since 2016 when the States gave provisional approval to the policy following a public consultation in 2015.
The proposals are a major measure in ensuring the Island is not faced with a serious 'pensioner poverty' problem in the future. They include the establishment of a States-facilitated pension scheme to ensure that every employer has access to an affordable and easy to use pension scheme. It is based on the UK's auto-enrolment system which has resulted in 10 million more people saving into a pension scheme.
The Guernsey scheme will be called Your Island Pension (YIP). ESS will be proposing Smart Pension Ltd to act as administrator of YIP and operate the scheme on a day to day basis. Smart Pensions will be operating a digital platform meaning scheme members can engage with their pension through a cutting-edge app.
More details on the scheme and how it will operate will be included when the full secondary pensions proposals are published.