Opt-outs will cause administrative headaches for employers, not least because auto-enrolment will need to be repeated on a three year cycle for each individual who opts-out. But the experience of companies in the first tranche of auto-enrolment shows opt-out rates can be as low as one in twenty. Even FirstGroup, employing drivers with an average reading age of 9, achieved an opt-out rate of lower than one in six.
You need to be able to express clearly about what it really means for retirement needs. Using employee presentations, helplines and social media can be invaluable in getting the messages across. Interestingly, the evidence to date is that younger people are showing the most enthusiasm.
Employer Solutions is teaming up with John Tamblin of Positive Solutions (Financial Services) Ltd to offer a presentation to small employers. This is being planned to take place later this year. Please email or telephone to register your interest.