Pension reforms drive staff need for guidance

pensions

More employees will want and need guidance around their pension decisions both at retirement and throughout their career as a result of the government’s pension reforms.

Just under half (48%) of respondents felt that this would be the case at retirement, while 43% said staff would require guidance throughout their career, according to the Employee Benefits/Close Brothers Pensions research 2014, which surveyed 216 respondents in September 2014.

Respondents typically thought that the reforms would have a positive impact on employees’ attitudes to pensions and the provisions they make for retirement. Some 39% believe the reforms will mean that staff will be better prepared for their retirement, while 36% said staff would be more engaged in their pension scheme and 34% feel that staff are increasingly likely to save more.

The reforms also appear to have spurred employers into action. Some 15% have revised their pension communications strategy to incorporate at-retirement guidance ahead of the reforms coming into effect in April 2015, but the same percentage say they will be referring all staff to take up the government’s guidance guarantee, when it comes into effect from April 2015.

How respondents think the government's pension reforms will impact their organisation

The changes respondents have already made in their organisation ahead of the reforms coming in next April

The changes respondents have already made in their organisation ahead of the reforms coming in next April