Ritz-Carlton Hotel Co., Atlanta, expects to switch to automatic...

Ritz-Carlton Hotel Co., Atlanta, expects to switch to automatic enrollment in its 401(k) plan in January, according to a presentation given by Timothy Dugan, Ritz-Carlton corporate director of benefits, at the Profit Sharing/401(k) Council of America Idea Exchange conference. The reasons for adding the automatic enrollment feature are that the 401(k) plan is the only savings plan for the majority of Ritz-Carlton employees, and automatic enrollment is expected to assist the company with non-discrimination testing, he said. This year the company enhanced the 401(k) plan by providing unlimited investment transfers, decreasing the vesting period, increasing the company match, increasing investment funds by one to a total of eight, and adding an over-the-phone enrollment feature. The automatic deferral for the employees automatically enrolled will be 3%. Mr. Dugan couldn’t be reached for comment on the size of the plan.