UK - Trustee exposure to maladministration claims has led to increasing fears over job security for pensions administration staff, recruitment consultants claim.
Branwell Ford Associates said an increasing number of schemes have been forced to “raise the standard” of their pensions administration departments as trustees become concerned about their possible vulnerability to claims over poor administration.
It explained that the heightened awareness has lead to an increase in the efficiency of administration departments.
This is a development that has conversely led to job losses and a fall in job security in the past.
Branwell Ford Associates director Pip Sanford said: “The risk of trustees exposure to maladministration claims has raised the standards of pensions administration, resulting in companies being far more efficient and competitive in relation to costs, streamlined services and improved IT.”
Sanford added that changes to scheme design have been making benefit calculations much easier – also meaning fewer administrators are needed to get the job done.
Alexander Lloyd consultant Frank Ahmet agreed, and stressed that it is not just in-house administration departments that are feeling the strain.
A continuing move towards the outsourcing of pensions administration means third party administrators being able to take on more work with only the minimum of extra staff.
Ahmet explained: “If a scheme is being administered in-house with 15 people then the same work could be done by a third party administrator with only four or five extra staff.
“In busy periods third party firms can reallocate resources from a different department to deal with the additional workload – a move that saves them having to take on temps who may not be familiar with the work.”
The Pensions Regulator (TPR) and Labour MP Stephen Kinnock and will listen to the experiences of steelworkers when transferring their pensions away from the British Steel Pension Scheme (BSPS) next week in Port Talbot.
Just Group has acquired a 75% stake in the holding company of Corinthian Pension Consulting in a bid to strengthen its professional defined benefit (DB) advisory services.
The Pensions Regulator (TPR) has exercised its production order power under the Proceeds of Crime Act 2002 for the very first time as part of a fraud investigation.
The ITN Limited Pension Scheme has named Trafalgar House as its administrator for an initial term of five years.