By Daniel Hunter
New research from EDM Group, the information management specialists, reveals that only 23% of employees have immediately opted out of their employer's auto enrolment pension scheme, or plan to do so once they are enrolled. Almost half (48%) claim that they will remain in auto enrolment pension schemes while 29% are unsure.
Mark Jones, Group CFO at EDM Group said: "Our research shows that many people intend to remain within their company pension scheme once enrolled, which is great news in terms of addressing the issue of encouraging employees to save more for their retirement.
"However, despite this we are concerned that the increased amount of data that employers will have to manage as a result of more staff saving into pension schemes could cause information collection and management issues. As an indication of the problems they may encounter, our research shows that only 32% of pension professionals believe that the quality of data collection by defined benefit schemes is currently 'good' or 'excellent', and only 37% say the same about how it is managed."
When asked about a growing proportion of their pay going into their company pension scheme over the next few years, respondents to EDM Group's research reveals that encouragingly only just over one in four (26%) employees said that it was 'very likely' or 'quite likely' that they would opt out. Nearly half (45%) said that it was 'very unlikely' or 'quite unlikely' that they would do this, and 29% are unsure.
Join us on