The latest Viewpoint sees Mercer unveil the findings of its research into the global DC pensions market
In the UK, DC has become the dominant form of pension provision for employees. Membership was projected to exceed DB market share early in the next decade but, due in part to the economic crisis, this has already occurred. Trust and contract-based services are in demand and the Pensions Regulator's focus has now clearly shifted to DC governance.
Mercer is the market leader in developing innovative and durable DC solutions. Our strategic, technical and operational knowledge, alongside our practical experience and intellectual capital, provides our team with the resources to lead in this ever more complex area.
Covering trust-based pensions, AVCs and contract-based arrangements, our DC services embrace the many activities required - including scheme design; existing plan reviews; branding; innovation and compliance; member education and advice; ongoing services and governance - with a view to achieving that ever-present corporate objective: a return on investment.
Mercer's 2009 Global Defined Contribution Survey
With the shift from defined benefits to defined contribution, new challenges have surfaced for employers of all sizes. By understanding the practices other plan sponsors are following and the trends in your own and other countries, you will be prepared to offer your employees a competitive DC plan that will help them prepare for retirement. We received over 1,500 responses (including over 300 responses from multinational companies) from companies in 33 countries across Continental Europe, Asia-Pacific, Latin America, the U.S., Canada and the UK. The survey highlights the increased global prevalence of defined contribution plans and focuses on current issues and future trends.
UK results - Mercer's 2009 Global Defined Contribution Survey
A key finding from our survey indicates that UK companies are increasing DC pension contributions despite the economic downturn. Additionally:
• Contributions to defined contribution pension schemes have increased by 1.5 percent since 2007
• 23 percent of companies have not yet considered the impact of Personal Accounts regulations
• Less than half of companies take advantage of cost savings through salary sacrifice
View survey results today
Find out how your company stacks up within the UK, within your industry, as well as with companies worldwide. View our survey results here
