NAPF research: One in three accept a job without knowing about the pension

One-third (31%) of employees accept a new job with no idea about whether it comes with a pension scheme, according to research by the National Association of Pension Funds (NAPF).

The survey, run by pollsters Populus, showed that 25% started their first day in a new job without knowing if a pension was offered, while 6% signed an employment contract ignorant about the pension provision.

The poll also showed that 81% of employees said they would be more likely to apply for a job if it offered a good pension scheme, and 91% of employees think that firms should be clearer about pension arrangements when they are recruiting.

In addition to the Populus poll, the NAPF ran its own separate, in-house study of 280 job adverts from newspapers, magazines and job websites. It found only one in 12 (8%, or 23 adverts) said anything about pension provision. Yet seven out of ten (68%) were specific about the salary on offer.

The study uncovered only two job adverts (only 0.7% of the sample) which were clear about the contribution rate made by employers.

Joanne Segars, chief executive of the NAPF, said: “It is deeply worrying that so many people start a new job clueless about whether a pension is on offer. And sadly employers are not doing enough to help them.

“Jobseekers need to know whether a pension is on offer, and they need to be aware as early as possible so that they can make an informed decision.

“Employers have got to do more to mention the pension and they must be more explicit in disclosing its terms.

“They should specify the type of pension and the employer contribution, which might be anything from zero to well over 20% of annual salary.”

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