Newcastle Building Society is now the first-ever UK building society to receive an accreditation as a Living Pension employer.
The accreditation from the Living Wage Foundation aims to assist workers in growing their pension pots.
As an early adopter of Living Pension, the building society, with branches in Carlisle and Penrith, will see all new colleagues who joined the organisation after 1st April, 2024 receive a default level of pension that is aligned to the Living Pension standards (5 per cent colleague contribution and 7 per cent society contribution).
This voluntary savings scheme targets employers who wish to help their workers, particularly those earning lower wages, amass a retirement fund sufficient to cover basic everyday needs.
Karen Brewerton, chief people officer at Newcastle Building Society, said: "We're proud to be the first building society in the UK and the first organisation in the North East to become an accredited Living Pension employer.
"Our Purpose is to connect our communities with a better financial future, and this extends to our colleagues with the offer of a pension that provides security and stability in retirement.
"Our Living Pension employer status is a reflection of the commitment to our wider reward package, that plays an important role in us delivering a great place to work where people are empowered to realise their potential."
Living Wage Foundation director, Katherine Chapman, said: "We are delighted that Newcastle Building Society has signed up as a Living Pension Employer.
"Newcastle Building Society's commitment will drive up pension savings for workers so that everyone can afford to live in retirement.
"As both the first employer in the North East and the first Building Society to become Living Pension accredited, Newcastle Building Society is setting a powerful example to other employers in their region and industry.
"For over 20 years, the Living Wage campaign has championed decent wages, working with over 15,000 employers, securing over £3 billion in pay rises for low paid workers and transforming millions of lives.
"Our Living Pension accreditation builds on the foundations of the real Living Wage, with an independently calculated benchmark for Living Wage Employers to provide workers with security and stability both in-work and in retirement.
"Newcastle Building Society is a trailblazer in the UK, joining a growing movement of over 40 employers putting their workers' financial futures first."
The Living Pension's savings target is 12 per cent of a full-time Living Wage worker's salary, composed of at least a 7 per cent employer contribution.
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