An overwhelming number of Bermudian residents support the implementation of mandatory pension plans for employees, according to a survey by Total Marketing and Communications (TOM).

The survey found nine out of ten Bermudian residents strongly or generally support having mandatory pension plans, in addition to Government pension plans.

The survey found 47 percent of Bermuda residents currently have a pension plan through their employer, in addition to the mandatory contributory Government plan.

But 45 percent depend only on the Government pension scheme, the survey found.

Legislation passed last year under the former UBP Government requires all businesses with Bermudian staff to have in place by 2000 a pension plan scheme for employees.

Rising in increments of one percent a year over five years, contributions from employees and employers will eventually end up at a minimum of five percent each of salaried income.

TOM found 63 percent of 404 residents surveyed strongly support mandatory pension plans. Another 24 percent generally support the concept.

"Support is generally consistent throughout the population, although particularly strong among those between the ages of 35 and 54, and those with lower household incomes,'' TOM stated.

Of those surveyed 35 percent supported the concept because they believed they offered needed security for the future. Another 11 percent believed people would not ordinarily save money for their retirement years without the plans.

About ten percent of the survey group believed the Government-run pension schemes would not provide enough money for retirement.

"It is interesting to note that those with an employer pension plan are most likely to strongly support the introduction of mandatory pension plans,'' TOM stated.

The pensions survey is part of an independent quarterly survey undertaken by TOM in association with affiliate Corporate Research Associates Inc. The survey was conducted between December 18 to 20 and is considered accurate to within plus or minus 4.9 percent in 95 out of 100 cases.

BUSINESS BUC