Company pension benefits are high on candidates’ wish list when applying for a new job, ahead of future career progression, research from Canada Life has revealed.
While the most important consideration for job seekers in the UK is work-life balance (82%), followed by salary (80%) and commute (70%), pension arrangements ranked fourth on the list (65%).
Canada Life said the findings were a “clear signal” to employers that including the total reward package, including details of the workplace pension plan, is a good move, particularly in a competitive job market where workers are moving jobs more frequently.
Research shows that more than one in five under-25s have already worked for five or more employers and just 8% of 18-24 year olds expect to be with their first employer for more than five years.
Despite this, separate research from job website Indeed found that less than half (49%) of job adverts in February 2022 listed pensions as a benefit.
The generational shift can also be seen in the demands of workers, with 71% of 18-34 year olds considering flexible working patterns as important or vital when applying for a new job compared to 62% of 35-54 year olds and 49% of over-55s.
Clare Moffat, pensions expert at Royal London, said: “Faced with a competitive job market, businesses are having to compete hard to attract the best talent and employers need to make themselves as attractive as possible.
“While workers are most likely to prioritise work-life balance, it’s clear that pension benefits are an important factor that feature surprisingly high up on the recruitment radar. To help tackle skill shortages, organisations need to tune in to the components workers value most when changing jobs. Shining more of light on the benefit of a pension could help differentiate them in a competitive job market and secure the best candidates.
“Many employers already work hard at improving an understanding of pensions among their workers, but our research shows that people want to know the level of commitment even before they start their first day.”
