64% of respondents do not offer retirement support to staff

Almost two-thirds (64%) of employers do not offer tailored retirement support to employees, according to research by Aviva.

Its Real retirement report, which surveyed 13,610 UK employees aged over 55, found that, among those 36% who did receive support, 70% found it useful.

Nearly a quarter (23%) said it played an important role in their retirement planning, while 16% said it was the most important part of their financial planning and 4% said it was the only help they received.

The most useful types of retirement support, according to respondents, are workshops on retirement finances and written literature on retirement finances, both cited by 35%. However, just over a quarter (27%) said they would like a dedicated member of staff to discuss their retirement issues with then, and 21% would value a list of recommended independent financial advisers (IFAs).

Clive Bolton, At Retirement director at Aviva, said: “In order to motivate and retain staff, many employers invest heavily in them through the provision of pensions and other benefits, but then let them drift away at retirement without providing any advice or support.

“The end to the default retirement age and growing financial pressures have seen a growing trend towards part-tirement, whereby older people look to cut back on their working hours, but are not yet ready to stop working altogether.

“Employers that do not offer tailored retirement support to explain the options available, such as part-tirement, could find they are giving up on valuable employees with years of experience and knowledge.

“Employers that help their long-term employees feel secure about their finances in later life are likely to benefit from increased staff engagement and productivity.

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“Too many firms are still letting their most valuable employees walk out of the door without providing any advice about life and finances in retirement, but those that do are likely to see the benefits in more ways than one.”

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