Fidelity National Information Services (FIS) is to consolidate its three existing pension schemes into a new group personal pension (GPP) as part of its strategy to align benefits following its acquisition of credit card processing firm Certegy.
The acquisition prompted FIS to consolidate its own stakeholder pension and small GPP, and Certegy’s contracted-in money purchase plan into one pension scheme for its 500 UK-based employees. The existing pension schemes are in the process of being closed and the new GPP will launch in January 2008.
Under the new scheme, 80% of staff will receive a higher contribution from their employer and none will have their contributions leveled down.
Staff will also be able to use a salary sacrifice arrangement to take advantage of national insurance (NI) savings when making contributions into the pension scheme. FIS will also give staff back 10% of its employer NI savings gained from the salary sacrifice.
Secondsight, who is advising on the installation of the GPP, is also communicating the changes through letters written to home addresses, pension presentations and face-to-face meetings with every member of the old schemes and the option of an individual meeting for employees who have not previously joined a scheme.
Julie Chell, human resources director for FIS, said: “Being part of an acquisition is always unsettling but the way in which we are communicating the new pension scheme will demonstrate how much we value our staffs’ input into the business. In fact, one of my initial ambitions was to help re-assure our employees on their future with FIS; and I think we are well on the way to achieving this aim.”