YOU CAN STILL FIND ME.....

I've retired from the pensions industry now (though if you have the odd trustee position, do shout!) So that means this blog is closed.

There's lots here though, especially to do with pensions communications, so do take a look through. And we're still not communicating well to members!

And finally, if you want to say 'hi', you can reach me at ralphturnerwriter@gmail.com. And my general blog is still operating: Mountain Climbing for Beginners. I hope to see you there.

"Never measure the height of a mountain until you have reached the top. Then you will see how low it was."
Dag Hammarskjold 

Don't Tick the Box, Run the Scheme

Reading Steve Delo’s comments in Professional Pensions Magazine almost brought out an audible shout of ‘yes’ from me. Slightly embarrassing when you’re in the quiet carriage on the East Coast line. But it deserves a ‘shout out’ for its plain common sense.

Delo is saying trustees are getting too caught up in form filling and box ticking so as to lose sight of the bigger picture and the need to concentrate on the really important stuff.

In my experience, the box ticking/compliance led/admin and member gripe led trustee meetings are far too common. In the same article, Richard Butcher suggests some consultants use the box ticking items in the meeting to hide behind. Yes, I’ve seen that too on occasion. Although, in defence of the consultants, it’s often a risk-averse company that insists on discussing the business plan details at every meeting and recording every minutiae in the minutes. Maybe I just worked for some overly detail obsessive employers.

More time is needed on reviewing investments and understanding investment alternatives. Governance reviews and membership analysis needs more of a look in.

What we don’t need (in my humble opinion) is more box ticking initiatives such as the ones proposed by the Pensions Administration Standards Association (PASA), where we are about to get new admin codes of conduct. And they have the temerity to say they are going to release different codes of conduct every year! (Audible groan in the Quiet Coach for that bright idea).

Yes, Mr Delo, I fully agree. Trustees spend far too long on documentation and box ticking. And it’s not helped by well-meaning industry pension types suggesting even more codes and directives.

Don’t tick the box; run the scheme.

Democratic Pragmatism

Diageo’s pension plan has been in the news recently.

Praised in the press for enlisting pensioners in order to find the current whereabouts of deferred pensioners, they are in the press again for a change they are making to their trustee appointments.

It appears that Diageo have had to replace their Member Nominated Trustees every three years. Just as they were getting useful, I would think. It must take that long just to understand the intricacies of a Defined Benefit plan.

Now, they will no longer have to replace the trustee automatically and can have them on board for a second term and longer. Slightly less democratic maybe, but infinitely more useful for everyone.

My only concern would be the possibility of ‘Chairperson Control’. By that I mean the fact that trustees will inevitably get set in their ways to a degree. The Chair will have a considerable say in how things are managed. Having someone new in the mix that is not afraid to ask ‘daft’ questions can help improve the way a trustee group operates.

Well done Diageo, but watch for complacency.