Now Pensions Trust · CAS-113532-L6C2

CAS-113532-L6C2

Ombudsman’s Determination Applicant Mr T

Trust NOW Pensions Trust (the Trust)

Respondent Caledonian Manpower Ltd (the Employer)

Outcome

Complaint summary

Background information, including submissions from the parties

In April 2022, Mr T began his employment with the Employer.

Between 6 May 2022 and 17 December 2022, the Employer failed to pay pension contributions into the Trust.

On 21 November 2023, Mr T brought his complaint to The Pensions Ombudsman (TPO).

Mr T provided some of the weekly payslips for the period from May 2022 to December 2022, which detailed the pension contributions deducted from his pay and the corresponding employer contributions. Mr T has been unable to provide all of the payslips because the Employer did not provide them all. From the available payslips

1 CAS-113532-L6C2 he provided, the deductions amounted to £955.68 of employee contributions and £573.42 of employer contributions.

Mr T was unable to provide payslips for the following weeks: -

• 17/06/2022

• 16/07/2022

• 03/09/2022

• 17/09/2022

• 15/10/2022

• 03/12/2022

Mr T provided a pension history schedule from the Employer which showed Mr T’s pensionable earnings, and employee and employer pension contributions. Based on the pension history schedule, the pension contributions amounted to £226.45 of employee contributions and £135.87 employer contributions for the weeks with no available payslips.

The total outstanding contributions according to the payslips, and the pension history schedule provided by Mr T, amounted to £1,891.42.

On 12 June 2024, TPO wrote to the Employer to ask for more information in response to Mr T’s complaint.

On the same day, the Employer responded and said that it was no longer trading and that it had no means to settle Mr T’s claims.

On the same day, TPO wrote to the Employer again asking for evidence supporting its claim that it was no longer trading, as its company status was still showing as active on Companies House. The Employer confirmed again that it was not active and that it had ceased trading.

On 13 July 2024, TPO confirmed that it would continue the formal investigation of Mr T’s complaint as it had not received any evidence which suggested that the Employer was no longer active. The Employer did not provide any further information in response to Mr T’s complaint.

Adjudicator’s Opinion

• The Adjudicator stated that TPO’s normal approach, in cases such as these, was to seek agreement from all parties on the facts of the complaint, including the 2 CAS-113532-L6C2 dates and amounts of contributions involved. She said that, as the Employer had not responded to any of TPO’s communications, she had to base her Opinion solely on the information provided by Mr T.

• According to the payslips provided the total amount outstanding was £1,529.10. The pension history schedule provided by Mr T detailed the amounts of contributions involved for the weeks with no available payslips. It was the Adjudicator’s view, on the balance of probabilities, that £362.32 had not been remitted into the Trust for these weeks. In taking this view, the Adjudicator considered that the amounts shown on the pension history schedule did match the deductions shown on the available payslips that have been provided by Mr T.

• The Adjudicator said that she had no reason to doubt the information provided by Mr T. So, in the Adjudicator’s Opinion, on the balance of probabilities, contributions had been deducted from Mr T’s salary but had not been paid into the Trust. In addition, the Employer had not paid any of the employer contributions that were due over the same period. As a result of its maladministration, Mr T was not in the financial position he ought to be in.

• In the Adjudicator’s view, Mr T had suffered significant distress and inconvenience due to the Employer’s maladministration. The Adjudicator was of the opinion that an award of £500 for non-financial injustice was appropriate in the circumstances.

Ombudsman’s decision

According to the payslips provided the total amount outstanding was £1,529.10. The pension history schedule provided by Mr T detailed the pension contributions outstanding for the weeks with no available payslips. I agree with the Adjudicator that, on the balance of probabilities, £362.32 has not been remitted into the Trust for these weeks. The amounts detailed on the pension history schedule do otherwise match the deductions shown on the available payslips that have been provided by Mr T. A total of £1,891.42 of unpaid contributions are therefore due to Mr T’s Trust account.

3 CAS-113532-L6C2

Directions

(i) pay Mr T £1,000 for the serious distress and inconvenience he has experienced;

(ii) £1,891.42 Mr T’s Mr T

;

(iii) establish with the Trust administrator whether the late payment of contributions has meant that fewer units were purchased in Mr T’s Trust account than he would have otherwise secured, had the contributions been paid on time; and

(iv) pay any reasonable administration fee should the Trust administrator charge a fee for carrying out the above calculation.

Anthony Arter CBE

Deputy Pensions Ombudsman

6 August 2023

4 CAS-113532-L6C2 Appendix

Payslip date Employer contributions Employee contributions (£) (£)

06/05/2022 14.93 24.88 13/05/2022 20.19 33.65 20/05/2022 23.26 38.77 27/05/2022 21.95 36.58 03/06/2022 14.93 24.88 10/06/2022 23.99 39.99 17/06/2022 * * 24/06/2022 19.61 32.68 02/07/2022 20.78 34.63 09/07/2022 19.61 32.68 16/07/2022 * * 23/07/2022 20.19 33.65 30/07/2022 22.24 37.06 06/08/2022 25.41 42.35 13/08/2022 17.85 29.75 20/08/2022 21.65 36.09 27/08/2022 24.29 40.48 03/09/2022 * * 10/09/2022 14.93 24.88 17/09/2022 * * 24/09/2022 17.27 28.78 01/10/2022 22.09 36.82 08/10/2022 25.41 42.35 15/10/2022 * * 22/10/2022 25.41 42.35 29/10/2022 20.48 34.14 05/11/2022 21.80 36.33 12/11/2022 22.53 37.55 19/11/2022 25.41 42.35 26/11/2022 25.41 42.35 03/12/2022 * * 10/12/2022 25.41 42.35 17/12/2022 16.39 27.31 573.42 955.68

* Payslips for these weeks were not available

5