UK employers who aren’t providing competitive pension benefits packages could risk employee dissatisfaction and push 1 in 10 (10%) people to leave, according to Scottish Widows’ ‘Retirement Realities: Unlocking The Workplace Benefits’ report.
The research, which surveyed 2,000 UK employees at businesses with 10 or more employees, found that the most common reason employees were dissatisfied with pension benefits was because they were uncompetitive compared with other employers (68%). Other reasons included:
- Lack of communication of them – 26%
- Benefits are not easy to access (21%)
- Benefits are confusing (16%)
A further one in five (19%) employees that were dissatisfied with their benefits said they would definitely consider leaving, while 39% were on the fence – saying they may or may not consider leaving their job altogether.
That said, over three quarters (78%) of employees were – for the most part – satisfied with their pension benefits. Satisfaction in relation to pension benefits also increased slightly with business size.
Susan Hope, Retirement Expert, Scottish Widows said:
“Pension benefits are no longer a ‘set and forget’ part of the reward package and employees are paying close attention to how their scheme stacks up against others. If benefits feel uncompetitive or unclear, people may vote with their feet, leaving employers on the back foot when it comes to retention. Regularly reviewing and communicating pension benefits is key to ensuring employees recognise their value and feel supported in planning for their future.”
