Management Consulting

A pension scheme with 1,000 non-pensioners faced significant challenges in member communication, particularly regarding Environmental, Social, and Governance (ESG) goals and Inclusivity and Diversity (I&D) initiatives. The scheme was producing upwards of 50,000 sheets of paper for retirement packs, which not only contributed to environmental waste but also did not align with the growing expectations for digital communication. Aon’s 2022 Member Options Survey revealed that only 30% of schemes were considering the impact of ESG on member communications, despite the Pensions Schemes Act 2021 mandating trustees to address climate change. To address these issues, Aon implemented a tailored solution that leveraged technology to enhance member engagement and reduce paper usage. The scheme transitioned to providing all necessary forms and resources online, which allowed members to access information digitally. This shift resulted in 80% of the 2,000 members utilizing an online modeller before seeking advice from an independent financial adviser (IFA). This approach not only improved member outcomes but also aligned with the scheme's ESG objectives by significantly reducing paper consumption. In addition to enhancing digital communication, Aon recognized the importance of inclusivity in member communications. The Pensions Regulator emphasized the need for schemes to consider I&D in their communications, yet less than 30% of schemes had begun to do so. Aon advocated for the use of Plain English in communications and the provision of materials in various formats, such as large print or braille, to accommodate members with disabilities. By reviewing visuals and ensuring that communications reflected the diversity of the membership, Aon aimed to remove barriers and enhance participation among all members. Overall, the implementation of these strategies not only supported the scheme's ESG and I&D goals but also fostered a more engaged and informed membership, demonstrating the potential for technology to transform pension communications and improve member experiences.