§ TERMS OF CONTRACTS OF SERVICE RELATING TO
MEMBERSHIP
§ Mr. MajorI beg to move amendment No. 52, in page 17, line 13, after `made)', insert
'or any rule of a personal or occupational pension scheme'.
§ Mr. Deputy SpeakerWith this we may take Government amendments Nos. 53 to 55.
§ Mr. MajorThe amendments make drafting changes to clause 14, which liberates employees from compulsory membership of an occupational pension scheme. In Committee my hon. Friend the Minister for Social Security said that we were discussing the wording of the clause with the parliamentary draftsman to ensure that it achieved our intention. The amendments are the result of that discussion.
The amendments tighten up the wording in three ways. First, they ensure that scheme rules, as well as contracts of service, cannot provide for compulsory membership of a pension scheme. Secondly, they ensure that, subject to any prescribed exceptions, the rules or contract cannot insist that the employee belongs to any pension scheme at all, personal or occupational. Thirdly, the amendments to clause 14(2) ensure that the clause could not have the unintended and unwelcome effect of requiring an employer to increase pay in lieu of pension contributions for an employee who decides not to join his scheme.
§ Amendment agreed to.
§
Amendments made: No. 53, in page 17, line 14, after 'of', insert
'a personal or occupational pension scheme, of'.
§
No. 54, in page 17, line 24, after 'required', insert
', when he would not otherwise be'.
§
No. 55, in page 17, line 26, leave out
'when he would not otherwise be so required'.—[Mr. Major.]