Employers last night denied that they had staged a last-minute bid to water down the new law on pensions.

The Bermuda Employers' Council complained that there had not been enough time for the Pensions Committee -- set up in May -- to address employers' worries over the national pension scheme.

And they insisted they had made their concerns over the new legislation known to Government from 1996, when the new law was proposed, till the present.

BEC spokesman Malcolm Dixon said: "While we were pleased that some minor amendments were made to the Act which was passed in June, 1998, an overwhelming number of employers both large and small did not feel the amendments went far enough in addressing their concerns from a practical and cost burden perspective.'' The employers' group bit back after Finance Minister Eugene Cox signalled no U-turn on the law -- and disputed claims that the terms could drive some small or vulnerable firms out of business.

And Mr. Cox insisted that there had been enough consultation -- both under the current Government and the previous one.

Mr. Cox added that the Pensions Act had been created by drawing on international experience.

And he said the pensions scheme would propel Bermuda to the forefront in caring for seniors.

Mr. Cox was backed by Bermuda Small Business Corporation general manager William Spriggs, who branded the BEC approach as "scare tactics''.

Mr. Spriggs added that the new pensions law on its own would not kill off businesses. He said the phasing in of the full contribution over several years would lessen the impact.

Concerns raised by the BEC included: The inclusion of overtime, bonuses and commission payments in pension calculations; The inclusion of part-time employees who work less than 1,000 hours a year; Mandatory enrolment for people under 25 -- the law sets the start date at age 23 and; A vesting period of two years -- the BEC want to see the vesting period extended to five years.

Mr. Dixon said: "As the national employers' organisation for Bermuda whose member companies represent over 60 percent of the workforce, the Bermuda Employers' Council has a responsibility to express the views of employers on important issues.

"It is our hope that the newly-formed Pensions Commission and the Government will take these views into account.'' GOVERNMENT GVT