Creative Benefit Solutions Urges Employers To Act Now On "NEST"

Feb. 4, 2010 - PRLog -- Speaking on Friday at a Creative Benefit Solutions seminar, which ran in conjunction with Scottish Widows, Aegon and CTC Software, Mr McCarthy said that unless the economy takes another huge downturn NEST was certain to go ahead and employers needed to be prepared.

Mr McCarthy said: "Employers need to be aware that the majority of their employees will be part of any scheme set up under NEST and this could be a massive cost to the company.

"Employers should spend their money wisely and set up their very own pension scheme for employees. This way they will be spending their money on a scheme that will work better for both the company and its employees."

NEST is the government’s flagship pensions reform formerly known as the personal accounts scheme.

The scheme, due to come into effect from 2012, will put in place pensions provision for millions of low to moderate earners who are not currently saving. Employers will be obliged to auto-enrol new joiners into a personal defined contribution pensions plan, unless they opt out, and make a minimum employer contribution of 3 per cent of salary. The accounts will be phased in with larger employers the first to be affected.

The NEST rebranding follows an 11-month research exercise that sought to find a name that appealed to target workers, many of whom are turned off by the word “pension”. Its logo will be an egg, evoking the evoking the symbolism of a “nest egg” of saving. The trust will be run by the NEST Corporation, a not-for-profit trustee corporation.

ENDS

All media enquiries:
Broadgate Mainland
Zoe Butt / Melanie Bradley
020 7726 6111

Creative Benefit Solutions
020 8603 1700


Editor’s Notes

Founded in 2007, Creative Benefit Solutions is a specialist employee benefits consultancy based in Surrey. The Company provides a full range of consultancy and administration services that are specifically designed around the needs of small and medium sized businesses. Creative Benefit Solutions works alongside the CEOs, financial directors and pension scheme trustees to deliver solutions to the issues surrounding pensions and other employee benefits.

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Founded in 1994, Broadgate Mainland is an award-winning company that specialises in financial services public relations.