Occupational pensions and employee retention

Abstract

This article explores the relationship, in the contemporary UK context, between employee retention and the provision by employers of occupational pension schemes. Several sources of literature are drawn on to develop cases for and against the proposition that pensions play a discernible role in reducing employee turnover. Original research carried out by the author is then presented which suggests that the retention effect is limited in terms of both its potency and its extent. A particular finding is the varying importance of pension schemes in terms of the retention of different staff groups.