Personnel Today
  • Home
    • All PT content
    • Advertise
  • Email sign-up
  • Topics
    • HR Practice
    • Employee relations
    • Equality, diversity and inclusion
    • Learning & training
    • Pay & benefits
    • Wellbeing
    • Recruitment & retention
    • HR strategy
    • HR Tech
    • The HR profession
    • Global
    • All HR topics
  • Legal
    • Case law
    • Commentary
    • Flexible working
    • Legal timetable
    • Maternity & paternity
    • Shared parental leave
    • Redundancy
    • TUPE
    • Disciplinary and grievances
    • Employer’s guides
  • AWARDS
    • Personnel Today Awards
    • The RAD Awards
  • Jobs
    • Find a job
    • Jobs by email
    • Careers advice
    • Post a job
  • XpertHR
    • Learn more
    • Products
    • Pricing
    • Free trial
    • Subscribe
    • XpertHR USA
  • Webinars
  • OHW+

Personnel Today

Register
Log in
Personnel Today
  • Home
    • All PT content
    • Advertise
  • Email sign-up
  • Topics
    • HR Practice
    • Employee relations
    • Equality, diversity and inclusion
    • Learning & training
    • Pay & benefits
    • Wellbeing
    • Recruitment & retention
    • HR strategy
    • HR Tech
    • The HR profession
    • Global
    • All HR topics
  • Legal
    • Case law
    • Commentary
    • Flexible working
    • Legal timetable
    • Maternity & paternity
    • Shared parental leave
    • Redundancy
    • TUPE
    • Disciplinary and grievances
    • Employer’s guides
  • AWARDS
    • Personnel Today Awards
    • The RAD Awards
  • Jobs
    • Find a job
    • Jobs by email
    • Careers advice
    • Post a job
  • XpertHR
    • Learn more
    • Products
    • Pricing
    • Free trial
    • Subscribe
    • XpertHR USA
  • Webinars
  • OHW+

Auto-enrolmentLatest NewsPay & benefitsPensions

Employees want to pay more into proposed National Pensions Savings Scheme

by Michael Millar 18 Jul 2006
by Michael Millar 18 Jul 2006

Employees would be willing to pay up to three times as much into the government’s National Pensions Savings Scheme (NPSS) as the amount proposed in the pensions White Paper.

Work and pensions secretary John Hutton yesterday announced a consultation on how to set up the NPSS,  which would see employers paying 3% and employees 4% of their wages into the fund unless employees decided to opt out. A further 1% would be added through tax relief.

New research from the Department for Work and Pensions, launched to coincide with the start of the consultation, found that employees thought they should contribute between 5% and 10% of their gross salaries. The majority saw this as being an affordable amount that would go some way to providing an adequate income for their retirement.

The Department for Work and Pensions questioned members of 22 focus groups at the start of the year and found that the levels of contribution that the government set out in the White Paper were considered to be a fair balance of responsibilities.

This raises the question of whether staff would expect employers to increase their contributions in line with any excess they choose to pay.

“Automatic enrolment into a system of personal accounts will tackle the culture of under-saving for retirement and be good news for consumers,” Hutton said.

“We need to tackle the culture of under-saving, particularly among lower earners and we believe the best way to get more people saving is to automatically enrol them into personal accounts.”

He added that the government’s priority in developing the scheme would be to encourage industry to lower its charges, which could help people keep up to 20% more of their private savings.

 

Avatar
Michael Millar

previous post
TUC calls for casual approach to heatwave
next post
Employers put more workers in less space to reduce office costs

You may also like

Sharp rise in firms offering enhanced parental leave...

11 Aug 2022

Zero-hours contract benefits ‘can outweigh negatives for workers’

11 Aug 2022

Nearly 14,000 whistleblowing reports of furlough fraud received...

11 Aug 2022

Skills passport and new qualifications for care workers...

11 Aug 2022

Uber has more drivers than ever as worker...

11 Aug 2022

Royal Mail strike: Union urges it to ‘get...

10 Aug 2022

Supporting non-binary and transgender staff: four key steps...

10 Aug 2022

Personnel Today Awards 2022 shortlist: Health and Wellbeing...

10 Aug 2022

Train conductor unfairly dismissed after ‘black privilege’ comment

10 Aug 2022

Nurses set to vote on strike over pay

9 Aug 2022
  • 6 reasons why work-based learning is better than traditional training PROMOTED | A recent Fortune/Deloitte survey found that 71% of CEOs are anticipating that this year’s biggest business disrupter...Read more
  • Strengthening Scotland’s public services through virtual recruiting PROMOTED | This website is Scotland's go-to place for job seekers looking to apply for roles in public services...Read more
  • What’s next for L&D? Enter Alchemist… PROMOTED | It’s time to turn off the tedious and get ready for interactive and immersive learning experiences...Read more
  • Simple mistakes are blighting the onboarding experience PROMOTED | The onboarding of new hires is a company’s best chance...Read more
  • Preventing Burnout: How can HR help key workers get the right help? PROMOTED | Workplace wellbeing may seem a distant memory...Read more

Personnel Today Jobs
 

Search Jobs

PERSONNEL TODAY

About us
Contact us
Browse all HR topics
Email newsletters
Content feeds
Cookies policy
Privacy policy
Terms and conditions

JOBS

Personnel Today Jobs
Post a job
Why advertise with us?

EVENTS & PRODUCTS

The Personnel Today Awards
The RAD Awards
Employee Benefits
Forum for Expatriate Management
OHW+
Whatmedia

ADVERTISING & PR

Advertising opportunities
Features list 2022

  • Facebook
  • Twitter
  • Instagram
  • Linkedin


© 2011 - 2022 DVV Media International Ltd

Personnel Today
  • Home
    • All PT content
    • Advertise
  • Email sign-up
  • Topics
    • HR Practice
    • Employee relations
    • Equality, diversity and inclusion
    • Learning & training
    • Pay & benefits
    • Wellbeing
    • Recruitment & retention
    • HR strategy
    • HR Tech
    • The HR profession
    • Global
    • All HR topics
  • Legal
    • Case law
    • Commentary
    • Flexible working
    • Legal timetable
    • Maternity & paternity
    • Shared parental leave
    • Redundancy
    • TUPE
    • Disciplinary and grievances
    • Employer’s guides
  • AWARDS
    • Personnel Today Awards
    • The RAD Awards
  • Jobs
    • Find a job
    • Jobs by email
    • Careers advice
    • Post a job
  • XpertHR
    • Learn more
    • Products
    • Pricing
    • Free trial
    • Subscribe
    • XpertHR USA
  • Webinars
  • OHW+