UK companies feel duty to help employees prepare for retirement
A survey of over 300 HR Managers by the National Association of Pension Funds (NAPF) has found that pensions continue to be an integral and important part of many company remuneration packages.The survey found that 91% of respondents felt that offering a pension helps position their company as a responsible employer and 89% believe they have a duty as employers to help their employees prepare for retirement.
Some of the other main findings of the survey included:
Lack of Understanding: 60% of respondents believed that staff did not understand pensions and retirement issues.
Effective Communication: Receiving information face to face was seen as the most effective way of communicating with employees with 85% of respondents saying that one to one advice from a financial adviser was most effective. 79% felt that information included in employee joining packs was an effective communication method.
2012 Reforms: While nearly half (49%) of companies said they would maintain their existing pension arrangements after 2012,18% of respondents said that they would switch to Personal Accounts - some for new employees and others for both new and existing employees.
HR Directors sit as trustees on a quarter (25%) of occupational pension schemes putting them at the heart of decision making. The NAPF has recently launched a free service, HR PensionsConnection to provide information and support to HR professionals involved in their organisation's workplace pension.
Launching the survey, Nigel Peaple, NAPF Director of Policy, said: "The views of those at the heart of companies show that employers view their workplace pension as something deeper than just a normal part of the employment package. There clearly remains a strong sense of duty and responsibility towards their workers which employers should gain more credit for.
"There are of course still some issues to resolve around information and understanding but these are matters which are being improved upon."