The guidance provides support to employers who offer a contract-based defined contribution (DC) pension scheme by identifying ways in which they might choose to be involved in the governance of the scheme – and explains employer engagement options, for instance by involving advisers, employer representatives, employees, management committees and trustees in reviewing the operation of the scheme. It also explains the specific functions an employer may like to consider for review. The regulator is also offering case studies to provide employers with practical examples of effective engagement. Tony Hobman, chief executive of the Pensions Regulator says: “Many employers have already put in place voluntary governance arrangements as they see them as beneficial for both themselves and members. This guidance is designed to support employers who choose to be involved in the governance of the scheme, identifying options and sharing case studies.”
The Pensions Regulator has published guidance on voluntary employer engagement in GPPs.