Concern is mounting that thousands of employees are being ‘bribed’ to give up valuable benefits in final salary schemes for less generous cash payments.
A report from accountants KPMG has shown that more than 90,000 people have been offered cash incentives to transfer out of final salary pension schemes.
The figures also show that around 25% of people have accepted the cash offer, which could potentially leave them worse off than if they had retained their membership of the final salary scheme.
Final salary pensions
Final salary pensions are widely regarded as the most attractive form of pension as not only do they provide ...