The banning of commission from 2012 will lead to adverse cost impacts for three quarters of employers, Jelf Employee Benefits (JEB) warns.
JEB claims 54% of employers paid their IFAs using commission. Around 20% were unsure about remuneration, in which case they were likely to use commission as well.
These employers will be faced with problems when costing advice after the RDR, says Steve Herbert, head of benefits strategy at JEB.
Herbert also claims the incoming auto-enrolment legislation has left smaller employers, with fewer than 1,000 staff, feeling ignored.
JEB's research says 73% of respondents think small employers did not receive adequate representation over the impact of new legislation.
Herbert says: "It is striking so many employers in this grouping feel their voice has not been heard on such important changes as auto-enrolment, NEST and RDR.
"It has long been my view that lobbying by the pensions industry is often too representative of the largest UK employers, who often already operate fully-developed and funded pension schemes.
"We would urge both the FSA and the coalition government to think long and hard about so much legislation change impacting employers in a very short period of time, and perhaps consider slowing the timetable for some elements."
He adds the legislation runs the risk of employers leveling down the benefits of their existing pension schemes in line with NEST.
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