Pension contributions for furloughed workers: Do I have to continue paying pension contributions during the pandemic?

The answer is yes:
• The obligation for you and your members of staff to make contributions is set out in your pension scheme’s rules or other governing documentation.
• Your staff may choose to either reduce their contribution level (if the scheme rules allow this) or opt out or cease active membership of the scheme if they decide that is right for them at this time. However, you must not encourage or induce them to choose this option. If staff choose to reduce their contributions your scheme rules may allow you to reduce your employer contributions or retain them at the current rate.
• Any member of staff who reduces their contribution below the statutory minimum, or opts out, or ceases active membership, must be put back into the pension scheme at the next re-enrolment date if they meet certain criteria.
• Any member of staff who reduces their contribution below the statutory minimum, or opts out, or ceases active membership, can also choose to opt back in to pension saving before the re-enrolment date if they wish.
• Unless a member of your staff asks to opt out of their workplace pension or reduces their contributions, you and your staff members must continue to make the contributions required under the scheme at the correct time.
• Any staff contributions you deduct from their wages must be paid to the scheme and not used for any other purposes.

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