Pearson Jones shows benefits to businesses

SAVVY employers can use new rules on workplace pensions as an opportunity to give extra benefits to their staff, according to expert Paul Scott.

Mr Scott, head of employee benefits at independent financial advisers Pearson Jones, said that business owners should not fear new legislation on auto enrolment of employees into workplace pension schemes.

Speaking at a seminar hosted by Pearson Jones and TheBusinessDesk.com, Mr Scott said that many firms’ lack of knowledge of the new rules meant that they only saw their cost.

“A lot of companies have only got the vaguest idea of the new rules. It will bring cost – but with cost comes opportunity. Auto enrolment is an opportunity for firms to review their pension benefits.

“The savvy employer will turn it into a benefit, so employers shouldn’t fear auto enrolment. Engagement is key, communicate with your employees and you’ll get the best value,” Mr Scott told an audience of business leaders at the evening seminar at the Doubletree by Hilton Hotel in Leeds.

He also highlighted how wider employee benefits can be used for the “three Rs” – reward, recruitment and retention.

“Employee benefits have been a real victim of the financial downturn. People have decided that they can’t afford them and therefore they won’t provide them and I think they are missing quite a big trick.

“You can use them to motivate staff in a way that you can’t necessarily do with salary. Pensions can be a benefit not a tax. It won’t necessarily cost you any more money to use it as a reward. It’s a win-win,” said Mr Scott.

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