Every employer employing five or more employees had to have a stakeholder pension arrangement in place by 1 October 2001. Apparently only 20% of employers have done so, leaving the remainder liable to a maximum £50,000 fine. Money which would no doubt be better used for funding employee contributions.
The arrangements must be "qualifying arrangements" and an existing company pension will not necessarily quqlify without amendment. The most common amendment required is a reduction in a qualifying service period and removing the exclusion for part-time and fixed-term contract workers.