All Pensions articles – Page 122
-
Article
Boeing to move staff to DC pension
Boeing is to move 68,000 US-based employees into a new defined contribution (DC) component of its defined benefit (DB) pension from January 2016.The US aerospace organisation has reached a deal with unions to move its non-unionised employees in its 401(k) plan into an employer-funded DC pension.All benefits earned in the ...
-
ArticleLongevity biggest issue impacting pensions saving
The creation of a savings culture is necessary in order to overcome the impact of longevity on lives and savings, such as the amount employees put aside for retirement.Speaking at the National Association of Pension Funds (NAPF) Investment Conference on 5 March, Larry Fink, chairman and chief executive officer of ...
-
ArticleJohn Lewis staff share £203m bonus payout
Around 91,000 John Lewis Partnership employees are to share a bonus payout of £202.5 million.Employees will receive 15% of their average salary, equivalent to eight weeks’ pay, just two percentage points lower than last year’s 17% bonus payout.The retail giant, which includes John Lewis and Waitrose, set out the bonus ...
-
Article
Rolls-Royce to launch deferred bonus plan
Rolls-Royce has reduced the deficit of its defined benefit (DB) pension schemes and is to launch a deferred shares bonus plan for executive directors and senior managers.Its Annual financial report showed that, during 2013, the net deficit of the pension schemes fell by £49 million, principally due to the movements ...
-
ArticleCoca-Cola signs up to staff engagement initiative
Coca-Cola Enterprises and Telent are among the employers that have signed up for a new employee engagement initiative.The initiative, which was launched by Standard Life, aims to develop the most effective means of employee engagement in a post-auto-enrolment world.It includes a range of messaging campaigns available for all employers with ...
-
ArticlePension contributions should begin before age 22
Nearly half (45%) of respondents believe people should begin contributing towards a pension before they reach the age of 22 to ensure they have a comfortable retirement, according to research by software and services organisation Sage.Its research, which surveyed 2,040 UK adults, found that six out of 10 respondents expect ...
-
Article
Premier Foods rejigs pensions deficit payment
Premier Foods is to restructure the deficit contribution schedule covering its eight defined benefit (DB) pension schemes as part of a larger capital restructure.In its full year results for the year to 31 December 2013, the foods producer, which owns brands such as Ambrosia, Hovis, Oxo and Sharwood’s, stated that ...
-
ArticlePete Strudwick: What is the effect of the delayed pension charges cap?
It is important that this complex issue is given the proper consideration, but continued uncertainty creates challenges for employers and continues to knock confidence in pension saving among employees.For larger employers, the delay has less impact. We have about 5,700 employees and our scheme’s charges are already competitive. We negotiated ...
-
ArticleSuppliers do not give value for money for pension plans
Nearly three-quarters (71%) of delegates at the National Association of Pension Funds (NAPF) Investment Conference do not believe pension funds are getting value for money from consultants, providers and active asset managers.During a panel debate, which followed the poll, Robert Brown, chairman of the Global Investment Committee at Towers Watson, ...
-
ArticleStaff retirement income not a priority for employers
Only 15% of respondents said their main reason for providing a defined contribution (DC) pension scheme is to ensure their employees save for an adequate retirement, according to research by Towers Watson.Its DC pension strategy survey, which surveyed 126 employers, found that 65% of respondents cited market competition as their ...
-
OpinionJonathan Watts-Lay: Staff need education on investment options
Despite this, news headlines highlighting unfairness in the annuity market for those who are retiring and will buy an annuity now (about 400,000 people a year) are commonplace.Data from Money Advice Service annuity comparison tables at 3 February 2014 suggests that, of employees and pension scheme members who relied on ...
-
ArticleTPR and FCA launch DC pension regulatory guide
The Pensions Regulator (TPR) and the Financial Conduct Authority (FCA) have published a joint guide that sets out how they will regulate workplace defined contribution (DC) pensions.The Guide to the regulation of workplace defined contribution pensions, which is aimed at pension providers, advisers and trustees, outlines each regulator’s approach, and ...
-
OpinionDamian Stancombe: Will DC pension members have too much flexibility?
Chancellor George Osborne’s announcement has effectively turned DC arrangements into later life savings vehicles rather than a retirement vehicle.Employees are no longer required to use all or part of their pension pot to secure an annuity income until death.Instead, the government has, in my opinion, wrongly put full trust in ...
-
ArticleEuropean court rules DC pensions could be exempt from VAT
The Court of Justice of the European Union (CJEU) has ruled that defined contribution (DC) pension schemes could be exempt from value-added tax (VAT).In case of ATP Pension Services, the CJEU has concluded that a DC pension arrangement may qualify as a special investment fund, meaning that fees for managing ...
-
ArticleTrivial commutation limits to increase
The government has increased the trivial commutation limits, from £18,000 to £30,000.Trivial commutation is the opportunity, offered by pension providers, to convert 100% of a small pension into a one-off cash payment.The cash received is known as a trivial commutation lump sum.In the 2014 Budget, Chancellor George Osborne announced that ...
-
ArticlePension drawdown changes take effect
A number of changes to the UK pension system, which were announced in the Budget 2014 on 19 March, take effect on 27 March, with the publication of the Finance Bill 2014.In the Budget 2014, Chancellor George Osborne (pictured) announced greater flexibility in the way employees retiring with defined contribution ...
-
ArticlePension charges cap could stifle industry
A cap on pension charges could stifle the innovation and creativity needed in pensions to provide better retirement outcomes for employees.Speaking in a session titled Does cheap mean low quality? at the National Association of Pension Funds (NAPF) Investment Conference on 6 March, James Churcher, pensions manager at Abbott Laboratories, ...
-
Case StudiesWolseley UK builds an engaging benefits offer
Now the construction and building products distributor, a subsidiary of global organisation Wolseley, is focused on its corporate strategy, including its principles, its employees, and transforming the business to stay ahead of the competition.Neil McCawley, head of reward, benefits and policy at Wolseley UK, says: “People are one of our ...
-
ArticleGovernment to ban public sector pension transfers
The government is to ban employees from transferring out of public sector defined benefit (DB) pension schemes under proposals announced by Chancellor George Osborne in the Budget 2014.This coincides with the government’s announcement of a radical overhaul of defined contribution (DC) pensions in the UK, which will enable anyone aged ...
-
AnalysisBack to basics on diversified growth funds
A diversified growth fund is managed actively so that the range of asset classes changes over time, with the aim of delivering a reasonable rate of return but with less risk than a single asset fund.If you read nothing else, read this …A diversified growth fund invests in a broad ...