A new Government-backed, employer-led coalition has been launched to drive greater take-up of workplace savings schemes to strengthen employees’ financial resilience.
Chaired by Co-op Group chief people officer Claire Costello, the National Coalition for Workplace Savings brings together leading employers, policymakers and industry bodies to expand access to savings initiatives and improve participation rates.
The initiative, convened by the Money and Pensions Service, Nest Insight and TISA, has already secured 19 founding employers representing around 350,000 workers, with ambitions to grow membership ahead of its formal public launch this summer.
It currently has 19 employers as members, covering a range of sectors and 350,000 of employees. It aims to encourage more companies to expand their workplace savings, while also sharing best practice in order to boost increased participation from employees.
The steering group will govern and lead the coalition, which will be publicly launched in the summer.
Ahead of this it is encouraging employers to register their interest in becoming a signatory, and showcase their commitment to helping their employees become more financially resilient.
The group says that evidence shows that participation in workplace savings significantly improves individuals’ financial resilience, with tangible benefits for employers through increased productivity, reduced absenteeism and decreased financial stress among staff.
Economic Secretary to the Treasury, Lucy Rigby KC says: “Building consistent saving habits is a vital step in strengthening the financial resilience of working people and a key part of our Financial Inclusion Strategy. By improving access to and awareness of workplace savings schemes, we are making saving the norm rather than the exception.
I look forward to working closely with the coalition and to seeing more employers join ahead of its public launch as we break down the barriers to saving.”
Claire Costello, chief people officer at the Co-op Group and the coalition’s chair adds:
“Too many people are living without a financial safety net, and employers have a clear role to play in changing that. At Co-op, supporting colleagues’ financial wellbeing is an important part of how we look after our people, and we see the difference that access to simple ways to save can make.
“By working together, we can help make workplace saving a normal part of everyday working life, and I would encourage others to join us ahead of the public launch.”
Vikki Brownridge, CEO at StepChange Debt Charity, said: “This Coalition marks an encouraging step towards greater financial inclusion. Our research shows one in four UK adults have no savings set aside for a rainy day, yet a savings buffer can be vital in preventing debt from escalating when faced with an unexpected life event. Workplace saving schemes have the potential to transform the savings landscape, improving financial resilience and wellbeing.”
