Employee Rewards and Benefits News
Private sector pensions 'need more support'
New research has found that fewer than half of private sector employees see pensions as the best way to save for retirement.
In the study carried out by the Chartered Institute of Personnel and Development (CIPD) and BlackRock, only 28 per cent of workers engaged in the survey know the amount they should be saving for a good retirement, while over half (56 per cent) are worried they will not have enough.
Charles Cotton, the chief reward adviser at the CIPD, said that the research highlights how companies and their employees alike could be "sleepwalking into a potential retirement disaster".
He continued: "Many employees are planning to rely on downsizing their home, family hand outs or government to support them in retirement, while many employers will face the prospect of trying to motivate an older workforce who are simply soldiering along because they cannot afford to retire."
Mr Cotton emphasised that while companies are no longer responsible for the retirement planning, they should highlight the importance of pension schemes and ought to have government support to achieve the goal of empowering their associates.
The CIPD represents over 135,000 members, while BlackRock is one of the world's largest publicly-traded investment management firms.
Written by Peter Chad
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