LANXESS Pension Plan

The Company is proposing, subject to consultation, to move future pension provision to a single defined contribution Master Trust provider across the relevant UK businesses. The effect differs by entity: some employees are currently in Group Personal Pension arrangements and would move to a Master Trust, while Antec employees are already in a Master Trust and would therefore change Master Trust provider.

No. The proposal is to retain the current pension contribution structure and existing pensionable earnings definition for current employees. The proposed harmonised standard for new joiners is a matching employer contribution of up to 7%, based on the new-joiner pensionable salary definition.

The proposed new-joiner standard is an employer contribution of up to 7%, matching the employee contribution, subject to the required minimum contributions to comply with automatic enrolment. The project design also includes base salary and shift allowance in the relevant salary definition.

This approach avoids reducing current pension terms for existing employees and supports a smoother transition to the future benefits framework.

A Master Trust is a multi-employer occupational defined contribution pension scheme authorised under the Pension Schemes Act 2017, supervised by The Pensions Regulator and governed by independent professional trustees. For employees currently in a Group Personal Pension, this is a different structure because a Group Personal Pension is generally based on an individual contract with an insurance provider.

Antec employees are already in a Master Trust. The proposed change for Antec is therefore a change of Master Trust/provider rather than a move into the Master Trust structure for the first time. The consultation material for Antec will focus on the specific differences and proposed benefits of changing provider.

No. The proposal relates to future pension contributions from 1 April 2027. Existing pension savings will remain with the current provider unless a separate transfer is arranged. Further information will be provided about any voluntary or Company-facilitated transfer options. The process may differ between current schemes; for Antec employees, any transfer between Master Trusts would be subject to the applicable requirements, including trustee consent and member consultation where required.

The proposed new pension arrangement will offer salary sacrifice to eligible employees. Salary sacrifice can provide National Insurance savings, but eligibility restrictions apply, including National Minimum Wage requirements. A further communication will be sent about salary sacrifice if the proposed pension changes go ahead. 

No final salary-sacrifice implementation method has been confirmed. The detailed process, including whether an opt-in or opt-out approach is used, will be dealt with separately. Eligibility rules and the implications of salary sacrifice will be explained before implementation.

Salary sacrifice can have implications depending on an employee's circumstances. Detailed guidance will be provided separately, including information on eligibility and relevant salary-related considerations. Neither LANXESS nor HR can provide personal financial advice. Employees should consider their individual circumstances and may wish to seek independent financial advice before making a decision.

The current pension arrangements will close to new members from 1 April 2027. Employees who are employed before that date but are not participating in the pension scheme will be given information about the deadline for joining under the existing terms. Anyone joining or rejoining from 1 April 2027 will enter the new pension arrangement on the terms applying at that time.

No. Pensionable earnings definitions for current employees are not changing as part of this project. The entity-specific pension communications will confirm the basis that applies to each employee population.