Nest take-up almost non-existent, Xafinity
Almost half of HR, payroll and pensions professionals will use their existing arrangement, according to provider.
In a poll of around 50 HR, payroll and pensions professionals, Xafinity found that not a single respondent plans to use Nest for all its employees after auto-enrolment comes into effect.
Only four per cent said they will use Nest in conjunction with another vehicle, while 47 per cent said they will use their existing arrangement and 13 per cent said they will use a new arrangement.
Despite the small sample size, Xafinity head of DC solutions Ken Anderson claims the results suggest that many companies are still “undecided” about their auto-enrolment solution.
He said: “With many companies just a few months away from its implementation, this is now a cause for real concern as the survey also highlighted that 40 per cent of companies were unsure as to whether their existing payroll and HR system could manage auto-enrolment, or considered that it definitely couldn’t.”
In terms of legislation and regulation affecting auto-enrolment, 47 per cent of respondents stated that they had not considered the impact of the Data Protection Act, TUPE or equality legislation on their auto-enrolment strategy.
Additionally, 96 per cent have either not yet or have no plans at all to review the flexible benefit or salary sacrifice arrangements to ensure they do not breach the auto-enrolment regulations.