A new My Pension Expert survey involving 2000 employees provides a revealing insight into the current financial mood in the British workplace. It has revealed that almost three-quarters of those polled want employers’ minimum workplace contribution to be increased, and less than half feel their employer cares about their financial well-being.
Less than half of UK employees think their employer cares about their financial wellbeing, new research by My Pension Expert has revealed. The UK at-retirement adviser commissioned an independent survey of 2,000 UK adults, which has revealed that of those in part-time or full-time work, just 46% believe their financial well-being is important to their employer.
The majority (59%) of UK employees want their employer to do more to help them understand and engage with their workplace pension. Even more (73%) believe action should be taken to increase the minimum contribution employers have to make to their employees’ workplace pension (currently 3%).
Over half (52%) of employees say they have not done any pension planning beyond making sure they are enrolled in their workplace pension scheme.
Less than a fifth of (19%) UK adults with a workplace pension have checked it in the last month, and only a combined 54% have checked it in the past six months. Notably, 12% do not know whether they have a workplace pension or how much they contribute to it.
Lily Megson, Policy Director at My Pension Expert, said, “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.
“In the UK, a lack of engagement with pension planning is a serious issue, potentially leading to insufficient retirement savings. The auto-enrolment scheme was designed to combat this, but it also feeds into the engagement issue, allowing employers and employees to treat pensions as a tick-box exercise.
“It would be positive to see employers do more to educate and support their employees about retirement planning, pension contributions, and financial management. And the government must do much more as well, not just by helping UK adults understand and maximise their pension benefits but also by opening clear pathways to financial advice, ensuring people have accessible resources to make informed decisions about their retirement plans.”