Partners in LLPs potentially subject to auto enrolment

04 June 2014

The Supreme Court decision in Clyde & Co v Bates van Winkelhof has focused attention on the employment status of partners who are members of limited liability partnerships (LLPs). There may be implications for pensions and automatic enrolment.

The Supreme Court decided that a fixed-salary partner who was a member of an LLP was a ‘worker’ for employment law purposes. As a result, a briefing from Wragge Lawrence Graham & Co suggests that many members of LLPs (who are usually referred to as partners) may be considered workers under the Pensions Act 2008 and are potentially subject to automatic enrolment.