Agenda item

To consider a report on administration statistics and employer compliance with end of month reporting and payment deadlines for the year 2021-22 to date, and to be advised on any complaints recorded and potential breaches of the law identified since the last meeting. 

The Pensions Manager presented the report on administration statistics, employer compliance with end of month reporting and payment deadlines for the year 2021-22 to date, complaints recorded, and potential breaches of the law identified.

It was stated to the Board that it was a very busy time for pensions administration.

It was explained that i-Connect was the employer portal and where membership data was uploaded and validated on a monthly basis. The majority of employers are now using this portal, with only one outsourced school payroll provider currently outstanding.

The Board’s attention was drawn to the Pensions Administration Strategy, which was overdue for review following the introduction of i-Connect, and would be updated to allow the fund to recover costs from non-compliant employers.

Regarding McCloud and the age discrimination issue, it was stated that 60% of the Fund’s employers had engaged with the request for additional membership data, which had been provisionally analysed ready for uploading. It was highlighted that the administration team were going to need additional resource for the McCloud remedy.

The procurement of a new administration system was underway, with bids due to be received by 19 April 2022.

It was stated that there was the deadline of 29 April 2022 for payslip P60s to be online would be achieved. All pensioners that had agreed would now receive online payslips and P60s.

It was explained that KPIs were being reviewed to ensure that they remained relevant in reporting the performance of the administration team.

When asked about delays in putting pensions into payment as a result of the employer not providing information on a timely basis, members were reminded of the difference between employer functions and pension administration functions, and that the fund was not responsible for delays caused by employer fault.

The topic of trivial commutation was raised, and it was confirmed that the pension fund did not offer trivial commutation, but this would be reviewed at the same time as all other administering authority discretions. The request for trivial commutation from a scheme member will be removed from the breaches log as it is not a breach of law.

The small issue last year preventing 55 Annual Benefit Statements from being issued has been resolved for this year. 

It was confirmed that there had been no breaches of the law to date in 2022.

Members were assured that the cessation debt arising from the exit of Planet Ice from the fund subsumed by the Council as an employer.

RESOLVED:

THAT the report from the Pensions Administration Team be noted.