Old Mutual Corporate Consultants acquires PwC’s Research Services business
Old Mutual Corporate Consultants has concluded a purchase agreement for 100 percent of PwC’s research arm.
On 7 October, Old Mutual Corporate’s employee benefits consulting business (Old Mutual Corporate Consultants), successfully concluded a purchase agreement for 100 percent of the shares of professional services firm PwC’s Research Services business.
PwC Research Services (RS) provides remuneration and benefits benchmarking, job profiling and job evaluation tools, as well as remuneration and reward consulting to more than 700 clients in South Africa, Namibia, Kenya, Eswatini, Botswana and several other countries.
RS is best known for its remuneration and benefits survey, REMchannel, and is expected to augment Old Mutual Corporate’s employee benefits consulting business.
The acquisition will give clients of Old Mutual Corporate Consultants a centralised source of expertise and advice in keeping with international trends, covering both the salary and long-term employee benefits aspects. This encompasses employee benefit consulting for employers in umbrella funds, and trustees of standalone funds, as well as general risk benefit, communication and investment consulting.
Malusi Ndlovu, head of Old Mutual Corporate Consultants, says the transaction will enable the financial services provider to offer broader human capital advice to large and medium-sized corporates in South Africa and beyond. “The unstable economic environment, combined with the impact of the Covid-19 pandemic, has significantly increased the complexity of remuneration and incentives in the new world of work. This requires a much more detailed explanation of drivers, weightings, thresholds, targets and stretch levels,” says Malusi.
Rene Richter, partner responsible for Research Services at PwC, explains that current clients of RS can expect a continuation of the service they have come to expect for the past two decades.
According to Malusi, all contractual agreements will remain with RS, soon to be renamed REMchannel. It will be an independent and wholly owned subsidiary of the Old Mutual Life Assurance Company of South Africa. The transaction is effective 1 November 2020.