Former U.S. Sen. John Edwards and former U.S. Rep. Jack Kemp called on corporations to offer automatic 401(k) options to help increase the financial security of middle- and lower-income American families.
The two men are working with The Retirement Security Project, a Washington-based research institute, to bring attention to automatic 401(k) services in response to surveys showing that half of American workers near retirement have $15,000 or less in retirement savings.
Recent research shows that among recently hired workers earning less than $20,000 per year, an estimated 13% participate in their company's 401(k) plans. Participation rates increase to 80% when employees are automatically enrolled.
