UK employees express growing concerns over inadequate pension support from employers.
- Research shows only 46% of workers believe their employer cares about financial wellbeing.
- 59% of employees desire more help from their employers in understanding pensions.
- An overwhelming 73% call for increased minimum pension contributions from employers.
- Lack of pension engagement is evident, with over half of employees unprepared for retirement.
In a recent study conducted by My Pension Expert, it was found that less than half of UK employees, precisely 46%, feel that their employers are concerned about their financial wellbeing. This has prompted a significant demand for better pension support and education from employers.
Employers in the UK are being urged to provide more comprehensive assistance regarding workplace pensions. The survey revealed that 59% of employees are seeking more help from their employers to understand and actively engage with their pension plans. This highlights a pressing need for employers to enhance their support systems.
Additionally, a substantial 73% of respondents believe that the minimum contribution employers make towards workplace pensions should be increased from the current 3%. This sentiment indicates a growing awareness and concern about retirement preparedness among UK workers.
Moreover, the study underscores a worrying lack of engagement with pension planning. Over half of the surveyed employees admitted their pension involvement is limited to ensuring enrollment in a workplace scheme. Only a meager 19% have reviewed their pension status in the past month, while merely 54% have done so in the last six months.
Notably, a concerning 12% of employees remain unaware of their pension details, including whether they possess one or how much they contribute. Lily Megson, Policy Director at My Pension Expert, emphasized this issue, stating, “It’s abundantly clear that employees want more support in preparing for retirement. Employers play a pivotal role in shaping the financial future of their employees, so it’s crucial they answer this call by considering the support they provide.”
These findings reveal a significant gap in retirement planning and highlight the need for both employers and the government to take action. Efforts must be made to educate employees on retirement planning, improve pension contribution guidelines, and provide accessible financial advisory resources.
The growing demand for enhanced pension support and guidance underscores the critical role of employers in securing the financial wellbeing of their employees.
