Consultation on employer debt and defined-benefit pension schemes
Close date: 19 November 2009
The Government consults on draft Regulations that are aimed at addressing the problems caused by employer debt in the event of corporate restructuring. Employer debt, which aims to provide protection for members of defined-benefit pension schemes, has been found to hinder the ability of companies to restructure when dealing with changes in the economic environment. The proposals are that in the case of restructuring an event that would otherwise be an employment-cessation event, thus triggering employer debt, will not be treated as such if certain conditions are met.
Consultation document: Employer debt - consultation on draft Regulations (PDF format, 511K) (on the DWP website)
Government response: Employer debt - government response to consultation on draft Regulations (PDF format, 159K) (on the DWP website)