Transave’s ‘Opt-Out’ savings trial with employer partner SUEZ Recycling and Recovery has dramatically increased participation rates.
Since November 2021 new starters at SUEZ have been automatically enrolled as a saver with Transave (unless they elect to opt-out). The initiative has proved to be very successful with 47% of new workers with SUEZ saving as opposed to around 7% under the previous opt-in model.
Almost 1,000 employees have joined through the trial to date and 93% of SUEZ workers say they like the scheme whether or not they themselves chose to save. Less than 5% of those enrolled in the scheme have subsequently cancelled their Transave membership.
It would appear that participation in payroll savings with an opt-out approach is more into line with the proportion of employees who say they want to save when surveyed, somewhere between 40% and 70%. It’s likely that the lack of awareness, inertia, or lack of confidence in financial matters that prevents employees from joining opt-in payroll savings schemes is largely eliminated using this new approach.