According to research by the Chartered Management Institute, adverse publicity has left 63 per cent of young managers questioning their pension provision, and whilst they dream of an early retirement, 41 per cent are far from confident that their provision will provide adequate financial support for their future. 34 per cent of survey respondents do not expect to be able to give up work completely when they get to retirement age.
Over the last 15 or twenty years, many managers have been able to take early retirement. However, the research findings show that whereas seventy per cent of our young managers would like to retire before they are 55, only 32 per cent expect to meet this goal. Whether or not the government decides to increase the retirement age, uncertainty about the value of their pension investments looks likely to keep today's younger managers at their desks into their sixties.
However, 85 per cent of those managers interviewed do have pension schemes in place. And to mitigate against fluctuations in different investment sectors, they are spreading their investment risk. 71 per cent have cash savings, 78 per cent belong to a company pension scheme and 53 per cent invest in property. These findings highlight that today’s young managers are taking more responsibility for their retirement provision.
