One-Stop Stores plans to launch a defined contribution occupational pension scheme for its store managers following a recent benchmarking exercise.
Neil McCawley, pay and benefits manager at One-Stop Stores, which is a wholly-owned subsidiary of Tesco, said the pension would be introduced in March 2007 for its 520 store managers.
Employees currently only have access to a stakeholder scheme. “We have been looking at our employment package and benchmarking where we are against other employers. Our feeling is that most employers would offer [this type of pension] to their store managers or [those in] similar roles,”
McCawley said. Under the new scheme, employees who join would be required to contribute 3% of salary, which would be matched by the employer. McCawley said staff had reacted positively to the announcement and he hoped at least two-thirds would join.