The organisation
London Borough of Enfield Council (Enfield Council) have a total Local Government Pension Scheme (LGPS) workforce of 5,523 employees.
Enfield Council first took advantage of AVC Wise’s fully managed service in September 2019, after identifying the chance to increase employee wellbeing through a salary sacrifice Shared Cost Additional Voluntary Contribution (Shared Cost AVC) scheme.
During the COVID-19 pandemic, the Council turned their focus towards looking after their employees financial and overall wellbeing by working with us on a bespoke 3 month communications ‘action plan’.
In addition to increasing their employees’ wellbeing and retirement savings, they are also saving on their employer National Insurance contributions (NICs) at a time when local authorities are facing intense f inancial pressure following the impact of the pandemic.
Objectives
Increase awareness of their Shared Cost AVC scheme
Increase the number of LGPS members that are registered to their Shared Cost AVC portal hosted by AVC Wise
Increase take up of the scheme amongst LGPS members
Workforce 5,523
September 2019 scheme launched
3 month bespoke communications action plan
The implementation
Reaching employees was particularly challenging due to remote working and the Covid-19 pandemic. Therefore, their 3 month long ‘action plan’ included bespoke, targeted digital based communication activities.
3-phase communications plan
January 2021
Enfield Council kicked-off their 3 month ‘action plan’ in January 2021 with a ‘New year, new start’ campaign which included digital posters, intranet posts, and promotional emails.
February 2021
In February 2021, AVC Wise hosted three webinar sessions exclusively for Enfield’s LGPS members, focusing on two key subjects.
1. The LGPS and Shared Cost AVCs An introductory session giving them a basic education of their main scheme (LGPS) and introducing Shared Cost AVCs
2. How to retire early and with more money A session focused on the benefits of their Shared Cost AVC scheme
The webinars were promoted via digital posters, banners, intranet posts, newsletter copy and promotional emails.
March 2021
Enfield Council launched a registration prize draw to incentivise registrations to their Shared Cost AVC portal hosted by AVC Wise, offering a £100 retail voucher as a prize.
This was promoted by a mix of digital posters, intranet posts and promotional emails.
Employees had access to AVC Wise’s ‘always on’ resources including animated explainer videos and a retirement calculator.
The key target audience for their Shared Cost AVC employee benefit scheme are those employees closer to the retirement age. They did however ensure all age groups are educated about the importance of planning ahead for their retirement and ultimately their future financial wellbeing.
By phasing their communications to their workforce based on age, they were able to reach the right employees, with the right messages, at the right time.
The Results
The launch of the scheme was highly successful and the results speak for themselves. In just three months:
1st Jan 2021:
Total Shared Cost AVC members 124
Total salary sacrifice £47,458.50
Total employer savings* £105,726.90
Total LGPS members* 268
1st Apr 2021:
Total Shared Cost AVC members 168 = 35.48% increase
Total salary sacrifice £72,448.45 = 52.65% increase
Total employer savings* £142,102.78 = 34.31% increase
Total LGPS members* 521= 94% increase
April 2022:
5,523 Total LGPS members
542 Total employee registrations
187 Total accepted plans
470 Webinar attendees
£81,234 Monthly salary sacrifice
£11,643 Total employer monthly savings
£247,182 Total employer savings since launch
In summary…
Many employees are re-evaluating how they want to live and what they want in later life. Educating your LGPS workforce about the benefits available to them including the LGPS itself, and a Shared Cost AVC scheme, has never been more important.
Launching a Shared Cost AVC scheme can significantly improve your LGPS members financial wellbeing and enhance the quality of your employees lives at retirement. This is particularly valuable at a time when surging inflation threatens the financial future of your workforce.
Want to explore how we can help you launch and promote your own Shared Cost AVC scheme? Contact us to find out more...