The most common way that an organisation becomes an admission body is a TUPE arrangement, usually as a result of:
- the outsourcing of a contract from an existing Local Government Pension Scheme (LGPS) employer to an outside organisation, such as a private contractor, other private sector or voluntary sector organisation
- the creation of a new company or charity from an existing scheme employer (normally a local authority) to be responsible for the delivery of some of its functions or services
- having a community of interest with a local government employer
An organisation's eligibility to become a scheme employer is determined by Derbyshire County Council in its role as the administering authority of Derbyshire Pension Fund.
The Pensions and Lifetime Savings Association promotes best practice for pension schemes. They’ve produced a useful guide called navigating entry into the LGPS for contractors to help you understand how to become an employer in the LGPS.
The onboarding process
The following steps are required to admit an employer to our fund.
Complete the initial admission bodies enquiry form. This can be completed by the outsourcing employer, or the successful contractor.
The new employer receives a welcome email and application form from our team.
We’ll request employee information from the outsourcing employer.
Our fund actuary prepares an opening position report.
We’ll issue the report to the new employer, plus other relevant forms.
Admission costs will be recharged to the new employer.
The outsourcing employer and the fund determine the level of security to be in place.
We’ll issue a draft Admission Agreement to the outsourcing employer and the new employer.
We’ll issue the Admission Agreement issued for signing.
Upon receipt of the signed Admission Agreement, we’ll issue a draft Bond or Guarantor agreement.
Fully signed Admission Agreement issued to all parties.
Bond or Guarantor agreement issued for signing.
Final Bond or Guarantor agreement issued to all parties.