U.S. employers in 2013 intend to concentrate on improving the retirement readiness of their employees, according to an Aon Hewitt survey.
According to the firm's survey, “2013 Hot Topics in Retirement: Focusing on Financial Wellness,” 86% of plan sponsors intend to communicate the concept of retirement adequacy to participants.
Eighty percent of plan sponsors are looking to use enhanced communication, mobile apps, online tools and other resources as part of the focus on financial well-being.
“Because the auto features have been in place, people are starting to shift their view into their retirement readiness,” Patti Balthazor Bjork, director of retirement research at Aon Hewitt, said in a telephone interview. “Using those auto features, those are effective, but now we need to see if we have the retirement adequacy.”
Ninety-nine percent of the 428 U.S. employers surveyed in the fall of 2012 offer a defined contribution plan to new employees, and 24% offer a defined benefit plan to their new employees as well.
Eighty-four percent of those open defined benefit plan sponsors plan to continue with the open plan as it is in 2013.