More than one in five workers are turning down "free money", according to Zurich research into take-up of company pensions.
The research shows that 22% of people working for companies providing pensions don't take them up, a further 14% aren't aware of them, and 8% aren't sure whether or not they're enrolled in the scheme.
Of those who don't join their scheme:
* Many say they can't afford it (50%)
* One in four think retirement (25%) is too far away to worry about
* Some (22%) prefer to invest in something else
However, more than half (52%) of those who don't take up the company pension believe that the state pension won't be sufficient or available when they retire.
Zurich's UK Head of Corporate Pensions, Simon Foster, said "With the UK pensions gap currently estimated at £318bn, people would not be able to afford to live comfortably in retirement without careful financial planning".
He added: "It seems that people don't understand the real benefits of having a workplace pension. Firstly it's a tax efficient way of saving, and secondly it's a way of getting free money from your employer who, in most cases, puts money into the pension for you.
"Zurich's research shows that over half of people don't believe that the state pension will be sufficient or available when they retire, yet nearly half of workers are still not taking advantage of their workplace pension."
Other findings from Zurich's research include :
* Of the 22% who have not taken up a company pension, just under a third are intending to do so
* Those not in the scheme are choosing to save in banks and building societies (46%) property (41%) ISAs (34%) and stocks and shares (17%)
* One in five people who have no pension have no other form of saving
"Auto-enrolment, where people automatically join company schemes, is due to come in next year and will help to some extent. But people should place a high priority on saving for the future, to ensure they don't end up in poverty in retirement." said Foster
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