EEF comment on reshaping workplace pensions

Commenting on the government’s decision to reshape workplace pensions, Tim Thomas, Head of Employment Policy at EEF, the manufacturers’ organisation, said: “With 9 million workers auto-enrolling into workplace pensions, and a decline in employers providing DB pensions, Government is right to focus attention on the pensions occupational schemes will eventually provide.

"New DC models will allow employers to provide their workers with greater certainty over their retirement incomes, without shouldering financial risk.

"And employers may in the future be able to support the new more flexible DB schemes, where current schemes are proving unaffordable.

“But employers will want to see clarity and certainty over these new pensions, before committing themselves.”