Entitled worker

An entitled worker doesn’t need to be auto-enrolled.

They can ask to join an employer’s pension scheme, but an employer doesn’t need to pay money into their pension pots unless they’d like to.

An entitled worker is:

  • aged between 16 and 74 and
  • has earnings less than the lower earnings threshold (currently £6,240 a year / £520 a month / £120 a week for the 2021/22 tax year).

If you’ve been described as an ‘entitled’ employee before, you may hear yourself now classed as ‘type 2’ (‘non-eligible’ employees are also type 2, and ‘eligible’ employees are known as ‘type 1’). It’s just one of the ways The Pensions Regulator is simplifying jargon to make it less complicated.