As the Government embarks on the rollout of NEST – an opt-out employee and employer contribution scheme for pensions – Duty of Care asks whether employers have a role to play in widening and strengthening financial protection for workers in the UK. Using survey evidence from employers who have taken a proactive approach to financial protection – via workplace education and through products such as income protection – this report addresses the potential benefits for employers and employees and outlines some of the areas of concern and caution.
Duty of Care makes the case that better financial protection and employersupported financial protection products boost morale and productivity in the workforce. What’s more, this report uses evidence from the US and elsewhere to show that financial literacy and capability education can be at its most effective when delivered in the workplace.
But the report also finds that – alongside economic uncertainty – many employers still feel uncomfortable discussing financial protection with employees or taking steps to improve their workforce’s resilience. Duty of Care argues that government should find ways of cutting bureaucracy, educating employers and promoting new products to aid worker protection in the UK economy.