Tens of thousands of people are missing out on a workplace pension because they have more than one job, according to new research.
An estimated 106,000 ‘jobs-jugglers’ are not being auto-enrolled on pensions schemes as they earn below the minimum £10,000 in each job, even though they may be earning well over the threshold all together.
“Too many people are shut out of a workplace pension – despite earning enough to qualify,” said Gillian Guy, chief executive of the Citizens Advice charity, which carried out the research.
“Many people – particularly women – work several part-time jobs, which helps them manage commitments like childcare or study.”
“But while in many cases they earn over £10,000, and pay tax on this combined income, they don’t have access to a workplace pension and miss out on the opportunity to save for their retirement.”
The charity is now calling for the government’s auto-enrolment review, which is due out this year, to look at how the scheme can be extended to those who are missing out. Under the current rules, many people who work multiple low-income jobs or who are self-employed are not able to access a workplace pension via auto-enrolment.
By 2018, about 10 million people are expected to be newly saving into a pension or saving more as a result of the initiative.
A Department for Work and Pensions spokesman said: “Automatic enrolment has been a huge success with more than seven million people now saving for a workplace pension.”
“There’s more to do especially for people with more than one job and we’re currently reviewing the policy to see how it can be improved.”