The Department for Work and Pensions (DWP) has published a research report on the attitudes to increasing the proportion of member-nominated trustees (MNT), with a general move towards 50 per cent MNT representation seen in a positive light by MNTs and trade union representatives.

However, support for this 50 per cent MNT was less evident amongst employers and employer-nominated trustees (ENT).

Despite findings showing that schemes that already have 50 per cent MNT believe it is valuable that scheme governance was enhanced as a result, some employers were actively opposed to any such measure, and suggested that should such a rule be introduced, they would consider closing their scheme.

Concerns were raised about meeting the 50 per cent MNT requirement, with practical considerations to be taken into account such as the difficulties in recruiting 50 per cent MNT due to perceptions of the role and its responsibilities, the increased need for training and support, maintaining expertise on the board, and the potential for increased tension between ENTs and MNTs over a “perceived lack of trustee skills”.

A marginal increase in costs, to cover recruitment, training and support, administration and time, were also put forward for consideration by respondents, although these were not seen to be particularly onerous, the DWP said.

The research, Attitudes to increasing the proportion of member-nominated trustees: a qualitative study, involved 61 face-to-face interviews with employers, MNTs, ENTs and trade union representatives across England, Wales and Scotland.

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