PIPS education programme for upcoming pension scheme changes launched

The Printing Industry Pension Scheme (PIPS) is to launch an ongoing education programme for printers, in advance of the pension reforms that come into force in 2012.

The education scheme, which is endorsed by the BPIF and Unite and is open to both PIPS and non-PIPS members, is being run with advice from Meridan Financial and Bentley Jennison, and is aimed at informing printers of the reforms unveiled in the 2008 Pensions Bill.

Barry Dixon, secretary to the PIPS, said the initiative was aimed at letting employers know about the changes and how best to prepare for them.

"It will be a rolling programme for employers to come to terms with the bill and its implications."

Under the new regime, all companies will be required to automatically enrol employees into an approved pension scheme.

A minimum of 3% of earnings between £5,000 and £33,000 a year must be paid into the scheme by the employer, which is complemented by a 4% investment from the employee and 1% in the form of tax relief.

The government will set up a national occupation scheme, called Personal Accounts, which will be the default scheme for employers that do not have their own scheme or whose scheme does not qualify.

Dixon said: "Most occupational pension schemes offered by larger companies will qualify but if employers do not have a scheme in place they will automatically be transferred to Personal Accounts."

The PIPS educational programme will drip-feed information to employers with the aim that in 2011 they will be in a position to make the decision on what scheme is best for them.

PIPS is a valid scheme, but Dixon said there is no obligation to join it for companies that are receiving the free information.

The first communiqué goes out in July 2009 and can be viewed on the PIPS website www.printindustrypensions.com.

Any company wishing to receive information should contact Meridan Financial on 0800 132 100.