PART 1PENSION SCHEME MEMBERSHIP FOR JOBHOLDERS
CHAPTER 3SAFEGUARDS: EMPLOYMENT AND PRE-EMPLOYMENT
Inducements
54Inducements
1
An employer contravenes this section if the employer takes any action for the sole or main purpose of—
a
inducing a worker to give up membership of a relevant scheme without becoming an active member of another relevant scheme within the period prescribed under section 2(3), or
b
inducing a jobholder to give a notice under section 8 without becoming an active member of a qualifying scheme within the period prescribed under section 2(3).
2
Section 35 applies in relation to a contravention of this section as it applies in relation to a contravention of section 2(1), and sections 38 to 44 apply accordingly.
3
But the Regulator may not issue a compliance notice in respect of a contravention of this section unless the contravention occurred within the prescribed period before—
a
the time when a complaint was made to the Regulator about the contravention, or
b
the time when the Regulator informed the employer of an investigation of the contravention, if no complaint was made before that time.
4
A compliance notice in respect of a contravention of this section may direct the employer to take or refrain from taking specified steps in order to prevent the contravention being repeated.
5
For the purposes of this section a worker gives up membership of a relevant scheme if the worker—
a
takes action or makes an omission by which the worker, without ceasing to be employed by the employer, ceases to be an active member of the scheme, or
b
requests or authorises the employer to take such action or to make such an omission.
6
In this section, “relevant scheme” means—
a
in relation to a jobholder, a qualifying scheme;
b
in relation to a worker to whom section 9 applies, a scheme which satisfies the requirements of that section.