Most employees regard the pension scheme as the core employee benefit, and younger employees are looking at this benefit much more seriously than their parents’ generation.
Younger employees understand the value of pension benefits provided by the state are falling in real terms and that there is an onus on personal responsibility. There is clearly value as an employer in providing a competitive and flexible pension arrangement for employees.
From October 2012 new legislation was introduced by the Government forcing employers to offer access to pensions for their employees. This legislation is borne out of recognition that individuals are not contributing enough to build funds for their retirement. The guide to Workplace pensions and auto-enrolment explains in detail the new regime and is an important aide-memoire to all employees.