Navigating the tricky waters of pension planning in today’s fast-paced, digitally-driven world is a huge challenge, especially for HR departments. Since 2012, mandatory employer pension contributions have definitely got more people talking about retirement, but it’s like a wild west out there when it comes to the quality of information. We’re living in the “finfluencer” era, where social media personalities – the “finfluencers” – wield significant power over financial decisions, especially among younger generations. The Young Money Report 2025 by communications consultancy MRM revealed a startling truth: a whopping 77% of Gen Z trusts advice from these finfluencers, and 45% get their financial information from social media more than any other source. While some of this content can be genuinely helpful, easy to understand, and relatable in a way traditional communications rarely are, much of it is incomplete, emotionally charged, or driven by commercial motives. This creates a real paradox for employers: how do you offer accessible, engaging information without sacrificing crucial accuracy? It’s like trying to offer healthy, home-cooked meals in a world obsessed with fast food – the challenge isn’t just to mimic the appealing presentation but to ensure the nutritional value is still there.
The current landscape is rife with myths and misunderstandings that create significant hurdles for effective pension planning. May Fairweather, director of financial education firm Talk About Money, hits the nail on the head when she says a workplace pension is “a substantial percentage of a job’s total remuneration.” She argues that HR should invest as much effort in helping employees understand their pension scheme as they do in ensuring staff take their annual leave or submit accurate timesheets. It’s a fundamental part of an employee’s overall compensation and future security. One of the biggest areas of confusion, according to James Gozney, CEO of financial wellbeing provider Aslan, revolves around “contribution matching.” Many Gen Zs mistakenly believe their employers contribute far more than they actually do, leading to a false sense of security or a lack of urgency. The insurer Aviva’s research in April 2025 further highlights this knowledge gap: almost 20% of workers didn’t even know what type of pension they had, and over half were completely unaware of government tax relief benefits. This is a staggering deficit of basic financial literacy. Sophia Singleton, president of the Society of Pension Professionals (SPP), rightly states that “All of us – the pensions industry, HR professionals and government – have to do more to improve consumer understanding.” Charles Cotton, the CIPD’s senior performance and reward adviser, echoes this sentiment, pointing out the lack of awareness regarding how pension contributions are taxed, the options available at retirement, and critically, how much one actually needs to save for a comfortable retirement. The sooner people start saving, the easier it is to reach their goals, making consistent and clear communication from employers absolutely vital. This isn’t just about ticking boxes; it’s about empowering people to secure their future.
In this sea of information and misinformation, signposting employees to sound, authoritative guidance is absolutely crucial. Auria Heanley, co-founder of Oriel Partners recruitment agency, stresses that the most reliable sources of pensions information in the UK are typically government-backed or regulatory bodies that offer impartial guidance. She specifically points to MoneyHelper (part of the Money and Pensions Service), The Pensions Regulator, and the Financial Conduct Authority (FCA) as credible, unbiased resources. The role of HR, then, isn’t necessarily to become pensions experts themselves, but rather to act as a trusted guide, consistently directing employees to these reliable sources. Imagine HR as a friendly librarian, not writing the books themselves, but pointing you to the most accurate and helpful ones. This can be as simple as integrating links to these resources into benefits portals, onboarding materials, and internal communications, ensuring employees can easily access trustworthy information precisely when they need it most. Apps also present a powerful tool for bridging generational gaps. Charles Cotton notes that both younger and older workers are comfortable with apps, so highlighting the mobile app for their pension scheme makes perfect sense. This provides employees with regular, easy access to their pension fund size, allows them to track if they’re on target for their desired post-work income, and shows them how their contributions are being invested. This hands-on access can transform a bewildering concept into something tangible and manageable. Even TikTok videos, despite their potential for misinformation, have a place, according to Helen Taylor of TPT Retirement Solutions. She suggests they can be a quick and engaging way to spark interest, particularly among Gen Z, but she rightly emphasizes the critical importance of checking sources: “is the individual on TikTok qualified to tell you what to do with your money?” It’s a delicate balance between engaging content and verified expertise.
Engaging Gen Z effectively requires a fresh approach, moving beyond traditional, often dry, pension communications. James Gozney warns that “in a vacuum of information, Gen Z workers will find their own answers,” which can lead them down misleading paths. HR needs to shift from a reactive stance to a proactive one. Younger employees are drawn to short, accessible, and creator-led content. While HR doesn’t necessarily need to become TikTok stars, creating digestible, proactive communications that resonate with this audience is essential. Irene Sirawa, founder of The Finance Society, suggests a ‘just-in-time’ communication strategy to help younger employees avoid misinformation. This includes a ‘three-click rule,’ ensuring employees can access authoritative information within three clicks of logging in, breaking down complex topics into ‘bite-sized’ videos that answer specific questions (like “What is tax relief?”), and strategically timing information delivery during ‘money moments’ – key life events such as promotions or parental leave when financial planning is naturally top of mind. Marc Perry of LV= acknowledges that short-form videos and bite-sized content are great for engagement, but he cautions that “pensions are complex, long-term decisions that can’t be fully explained in 20-second clips.” Since Gen Z often faces immediate financial pressures like saving for a home, information needs to be a thoughtful blend of engaging short-form content and readily available, more detailed information. This allows them to make informed choices, addressing both their immediate concerns and their long-term financial wellbeing.
Ultimately, fostering active engagement with pension planning demands a collaborative effort, particularly working closely with pension providers. James Biggs advises that pension providers should “continually review the best ways to build greater understanding of their proposition,” especially given the widespread “video call fatigue” we all experience. Lengthy, dry presentations just won’t cut it anymore. Providers need to get creative, thinking about how to grab attention and deliver information effectively, perhaps through shorter, more interactive sessions. John Mullally of Cartwright Employee Rewards emphasizes the value of regular human interaction, suggesting that “advisers and providers should present to employees at least yearly to help answer generic questions.” There’s something reassuring about having an expert available to answer questions directly, demystifying what can feel like a complex subject. A significant change is coming with the FCA’s Targeted Support framework, set to take effect in April 2026. Irene Sirawa sees this as a game-changer, noting that it will “make it easier for providers to communicate with employees” by allowing authorised firms to offer “ready-made, personalised suggestions to groups of consumers without this constituting regulated financial advice.” This shift has the potential to move beyond generic information to more tailored guidance, which could dramatically improve engagement. However, Sirawa points out that “the industry’s response to this will be a key test of whether providers are genuinely committed to improving member outcomes or merely to compliance.” This highlights the ongoing need for genuine commitment to employee education. In the end, Lisa Beckett, head of people and culture for Trafalgar House Pensions Administration, reminds us that ensuring employees receive accurate pension information is a shared responsibility. HR teams are often the first point of contact for employees grappling with retirement planning. While pension providers and administrators create accurate educational content, HR has a unique role: to “translate and share this information in a way that resonates more with younger employees.” It’s about taking the expert knowledge and making it accessible, relatable, and actionable for every employee, ultimately empowering them to build a secure financial future.