A third of employees plan to opt out of auto-enrolment, despite growing awareness of the government’s reforms to pensions, a report from life company Aviva has found.
Aviva’s second Working Lives report has found that plans to opt out have remained at the same level as when its first survey was conducted in May 2012, at 37%. Around a quarter said they were undecided.
That is despite employee awareness about auto-enrolment almost doubling to 59%. Around half of employees who do not contribute to a workplace scheme they are offered said they could not afford to, one in five said repaying debts prevented them and 17% said they were saving for other things, such as a house or a holiday.
Mark Noble, Aviva managing director of health and corporate benefits, said: ‘Automatic enrolment will only become game-changing if employers, their advisers and the wider industry create sustained communications and engagement in the workplace to encourage employees to save.’