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17/06/2005
Pensions reforms ‘could affect jobs’
One in five firms would cut jobs if they were forced to pay into pensions for their employees, a survey by the British Chambers of Commerce (BCC) has indicated.
The survey of over 800 businesses also found that more than a third of employers would be forced to meet the cost of compulsory contributions by freezing salary increases, while just under third would have to pass the cost onto customers by raising prices.
BCC Director General David Frost said that forcing employers to pay into pension schemes for their staff would increase the cost of employing someone and force some firms to reduce their workforce in order to meet the cost. Mr Frost said: “At a time when our companies are facing fierce competition from countries such as India and China, compulsory pension contributions are the last thing that UK employers need.”
According to the BCC survey, many firms are already finding pension provision to be cost prohibitive. 57% of those firms surveyed that did not offer a pension contribution for their staff said the major reason was because they could not afford the cost. Three-quarters of these companies employed less than 50 people. One third of firms that did not offer a contribution said that it was because employees would prefer other benefits, such as higher salaries.
The BCC said that the government needed to do more to encourage and enable individuals to take greater responsibility towards saving towards their retirement. The survey found that 55% of schemes that offered an employer contribution of between 5% and 10% had failed to attract more than half of the workforce as members.
Mr Frost said: “The failure of individuals to save is undoubtedly due to a range of factors. However, we now need to see real measures to encourage more people to pay into pensions. This means better government-led information for employees about the benefits of pension saving, greater use of automatic enrolment in company pension schemes and a simpler state pension system that complements individual saving rather than discourages it.”
(KMcA)
The survey of over 800 businesses also found that more than a third of employers would be forced to meet the cost of compulsory contributions by freezing salary increases, while just under third would have to pass the cost onto customers by raising prices.
BCC Director General David Frost said that forcing employers to pay into pension schemes for their staff would increase the cost of employing someone and force some firms to reduce their workforce in order to meet the cost. Mr Frost said: “At a time when our companies are facing fierce competition from countries such as India and China, compulsory pension contributions are the last thing that UK employers need.”
According to the BCC survey, many firms are already finding pension provision to be cost prohibitive. 57% of those firms surveyed that did not offer a pension contribution for their staff said the major reason was because they could not afford the cost. Three-quarters of these companies employed less than 50 people. One third of firms that did not offer a contribution said that it was because employees would prefer other benefits, such as higher salaries.
The BCC said that the government needed to do more to encourage and enable individuals to take greater responsibility towards saving towards their retirement. The survey found that 55% of schemes that offered an employer contribution of between 5% and 10% had failed to attract more than half of the workforce as members.
Mr Frost said: “The failure of individuals to save is undoubtedly due to a range of factors. However, we now need to see real measures to encourage more people to pay into pensions. This means better government-led information for employees about the benefits of pension saving, greater use of automatic enrolment in company pension schemes and a simpler state pension system that complements individual saving rather than discourages it.”
(KMcA)
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27 February 2013
Over A Third Of UK Employees Opting Out Of Pension Scheme
The governments plan to boost workers retirement savings could be undone as research carried out for Aviva reveals more than a third of UK workers would opt out of any pension they are automatically enrolled into.
Over A Third Of UK Employees Opting Out Of Pension Scheme
The governments plan to boost workers retirement savings could be undone as research carried out for Aviva reveals more than a third of UK workers would opt out of any pension they are automatically enrolled into.
22 February 2013
15-Year Low For Pension Scheme Membership
Just 46% of the British workforce are members of a workplace pension scheme, as figures fell for the 11th year running. Data collected prior to the introduction of auto-enrolment in October 2012, showed the proportion of all workers joining a workplace scheme was at its lowest level since 1997 when the figures were first collated.
15-Year Low For Pension Scheme Membership
Just 46% of the British workforce are members of a workplace pension scheme, as figures fell for the 11th year running. Data collected prior to the introduction of auto-enrolment in October 2012, showed the proportion of all workers joining a workplace scheme was at its lowest level since 1997 when the figures were first collated.
01 October 2012
Pensions Reform Comes Into Effect
The UK workplace pensions reform is well under way, with automatic enrolment into a workplace pension beginning today. The goal of the new legislation us to ensure low and middle earners are provided with an addition to the state pension.
Pensions Reform Comes Into Effect
The UK workplace pensions reform is well under way, with automatic enrolment into a workplace pension beginning today. The goal of the new legislation us to ensure low and middle earners are provided with an addition to the state pension.
24 November 2005
TUC raps bosses 'luxury' pensions
The TUC has rapped the top rate pensions paid to company directors, while workers are asked to work longer for smaller pensions. A TUC report claimed that 8 out of 10 of the UK's top companies provide directors with pensions that can pay out in full at 60 and are worth, on average, 26 times those of most employees.
TUC raps bosses 'luxury' pensions
The TUC has rapped the top rate pensions paid to company directors, while workers are asked to work longer for smaller pensions. A TUC report claimed that 8 out of 10 of the UK's top companies provide directors with pensions that can pay out in full at 60 and are worth, on average, 26 times those of most employees.
07 November 2005
Gas engineers vote on strike action
More than 5,000 British Gas engineers are to be balloted on strike action in a row over pensions. The GMB union said that 5,500 of its members would be balloted in the run-up to Christmas over plans to close the firm’s final salary pension scheme to new employees from April 2006.
Gas engineers vote on strike action
More than 5,000 British Gas engineers are to be balloted on strike action in a row over pensions. The GMB union said that 5,500 of its members would be balloted in the run-up to Christmas over plans to close the firm’s final salary pension scheme to new employees from April 2006.
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Northern Ireland WeatherToday:After a dry start this morning rain will spread from the northwest across all parts. This afternoon will be dull with some patchy rain and drizzle. Becoming much milder through the afternoon. Maximum temperature 11 °C.Tonight:A cloudy evening and night with a little light rain or drizzle, perhaps some clear periods developing along the east coast. A very mild night everywhere. Minimum temperature 10 °C.
