Employers support financial education in the workplace, research shows
Research from financial services company Hargreaves Lansdown has shown employers are in support of financial education in the workplace.
The research surveyed 418 employers, exploring their views on auto-enrolment in the workplace. They found 55 per cent believe financial education can help their staff gain a better understanding of pensions.
The research highlighted the concerns of employers when it comes to auto-enrolment, with over 35 per cent saying they worry employees will not be able to afford to retire.
Employers believe auto-enrolment can help improve financial wellbeing. 60 per cent of survey respondents support using it in the workplace to give employees a nudge towards building up an emergency cash fund to boost financial resilience.
Respondents revealed how they feel about auto-enrolment contribution rates, with 20 per cent saying they don’t want them to change.
The study also found 5 per cent of employers are in support of putting a financial health check into effect for their employees when they turn 50.
Hargreaves Lansdown Senior Pension Analyst Nathan Long commented: “Auto-enrolment was met originally with groans from employers that perceived further disruption to staff and an increase to their staffing costs.
Only five years on and employers are now calling for auto-enrolment to go further. Employer support to get more people saving at a greater rate and with a greater cost shouldered by the employer suggests the next wave of auto-enrolment can be as successful as the first.”