Scottish Widows · CAS-82621-K2J1

CAS-82621-K2J1

Ombudsman’s Determination Applicant Miss N

Scheme Scottish Widows (the Scheme)

Respondent Boardworks Ltd (the Employer)

Outcome

Complaint summary

Background information, including submissions from the parties

1 CAS-82621-K2J1 Caseworker’s Opinion

• The Caseworker stated that TPO’s normal approach, in cases such as these, was to seek agreement from all parties as to the facts of the case, including the 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 Miss N.

• The Caseworker said that she had no reason to doubt the information provided by Miss N. So, in the Caseworker’s Opinion, on the balance of probabilities, contributions had been deducted from Miss N’s salary, that had not been paid into the Scheme. 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, Miss N was not in the financial position she ought to be in.

• In the Caseworker’s view, Miss N had suffered significant distress and inconvenience due to the Employer’s maladministration. The Caseworker was of the view that an award of £500 for non-financial injustice was appropriate in the circumstances.

Ombudsman’s decision Miss N has complained that the Employer has not paid all the contributions due to her Scheme account.

The available evidence supports the view that employee contributions were deducted but held back by the Employer and not paid into the Scheme. The Employer failed to rectify this and did not engage with either my Office or Miss N. It has also failed to respond to the Caseworker’s Opinion.

The Employer’s failure to pay employee and employer contributions into the Scheme amounts to unjust enrichment and has caused Miss N to suffer a financial loss. The Employer shall take remedial action to put this right.

Miss N is entitled to a distress and inconvenience award in respect of the serious ongoing non-financial injustice which she has suffered. This was exacerbated by its failure to respond during my Office’s investigation into Miss N’s complaint.

2 CAS-82621-K2J1 I uphold Miss N’s complaint.

Directions

(i) pay Miss N £1,000 for the serious distress and inconvenience she has experienced;

(ii) produce a schedule (the Schedule) showing the employee contributions deducted from Miss N’s pay in respect of the period of her employment. The Schedule shall also include the corresponding employer contributions that were due to the Scheme; and

(iii) forward the Schedule to Miss N.

Within 14 days of receiving confirmation from Miss N that she agrees with the information on the Schedule, the Employer shall:

(i) pay the missing contributions to the Scheme;

(ii) establish with the Scheme whether the late payment of contributions has meant that fewer units were purchased in Miss N‘s Scheme account than she would have otherwise secured, had the contributions been paid on time; and

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

Anthony Arter

Pensions Ombudsman 15 November 2022

3 CAS-82621-K2J1 Appendix Date Employee contributions Employer contributions

25/04/2021 £135.61 £271.22

25/05/2021 £135.88 £271.75

25/06/2021 £131.34 £262.68

25/07/2021 £135.04 £270.09

25/08/2021 £135.63 £271.27

25/09/2021 £131.34 £262.68

25/10/2021 £138.88 £277.75

Total unpaid employee £943.72 contributions

Total unpaid employer £1,616.22 contributions

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