03 October 2006
The NAPF is proposing the development of a Good Workplace
Pensions Quality Mark when Personal Accounts are introduced in
2012, which would be available to employers offering workplace
pensions with benefits superior to the Personal Accounts
minimum.
The Quality Mark would be available to employers offering
workplace pensions with benefits superior to the Personal Accounts
minimum and would take account of contribution levels, member
communications and associated benefits.
"The Quality Mark will help employers communicate the benefits
of their pension scheme. They can use the Quality Mark in job ads
and employee communications. And employees would be able to easily
see the value of their pension scheme", said Joanne Segars, the
incoming NAPF Chief Executive.
The Quality Mark forms part of the NAPF's 5 Point Plan for
Better Pensions, designed to support good workplace pensions. The 5
Point Plan is as follows:
- A Good Workplace Pension Quality Mark for employers offering
schemes above the Personal Accounts minimum and who meet set
criteria.
- Financial incentives for employers that make contributions of
at least 5% of gross earnings.
- Ring-fencing Personal Accounts from existing provision by
prohibiting transfers in or out.
- A simple, flexible "suitable alternative scheme test" that
takes account of contributions, costs and charges and scheme
waiting periods.
- Transitional measures on contribution ceilings, and waiting
periods to help employers adjust to the additional costs of
auto-enrolment (to be reviewed after 10 years).
