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Occupational Pensions

Volume 507: debated on Friday 12 March 2010

To ask the Secretary of State for Work and Pensions what steps her Department has taken to ensure companies may not end defined benefit schemes for their employees without full consultation. (321302)

[holding answer 9 March 2010]: Employers with 50 or more employees who propose closing a defined benefit occupational pension scheme to new members or to future accrual must consult the affected members of the pension scheme or their representatives for at least 60 days before implementing the change.

The Pensions Regulator has powers to impose a penalty on an employer who fails to comply with this requirement to consult.