Wealth at Work research: Employers to offer support during retirement changes

The majority (85%) of employers will provide some sort of employer-sponsored support using a combination of communications, financial education and/or advice for staff in response to forthcoming legislative changes, according to the Rethink retirement survey 2011 by Wealth at Work.

The removal of the default retirement age (DRA), which will be phased out by October 2011, will see many employees choosing some form of flexible retirement, according to the research.

Nearly half (49%) of respondents already make flexible retirement available to employees, with a further 21% intending to do so. However, the remaining 30% do not intend to offer any form of flexible retirement at all.

Jonathan Watts-Lay, director at Wealth at Work, said: “There is an increasing need to provide support to employees including financial education and specialist retirement advice.

“Retirement planning allows employees to understand their retirement income options. This is crucial to ensure the correct decision is made whether looking at annuities, drawdown, flexible retirement or a combination.

“The option to continue in work will help those who wish to continue saving for retirement beyond traditional retirement age which is likely to be out of necessity for some.”

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