Friends Life has launched an auto-enrolment product that includes an online hub, a suite of employee communications and a range of default investment options.
The hub will:
- Enable employers to enroll jobholders into a new or existing Friends Life pension scheme, or a combination of both.
- Decide which employees are eligible for scheme membership and contributions at each pay period, and those that are not while providing reasons for ineligibility.
- Produce analysis and management information for employers so they can fulfill their reporting to duties, including regulatory requirements.
The employer communications support includes:
- A suite of individually tailored communications issued at assessment and postponement stages directly to the employee by Friends Life on behalf of the employer.
- Communications specifically tailored to the five different categories of worker and tied in with wider information about the pension scheme.
Default investment options under auto-enrolment include:
- A range of three default investment options for the employer to chose from.
- Default options designed to complement different scheme profiles, with in built investment sophistication and cost considerations.
- Additional options to offer bespoke investment solutions to employers and trustees, having taken independent investment advice.
Colin Williams, managing director, corporate benefits at Friends Life, said: “Making auto-enrolment work isn’t just about the complexities of reviewing the employee base for eligibility and contribution levels at every pay date.
“On top of managing data, potentially from multiple payroll and HR systems, employers need to ensure they communicate with their employees and ensure each individual understands what enrolment means.
“Otherwise, contractual obligations may be met, but the ultimate aim of auto-enrolment, to engage employees with long-term saving, will be lost.”
