McDonald's Corp., Oak Brook, Ill., received the Profit Sharing/401k Council of America's first Plan Sponsor of the Year award, confirmed David Wray, PSCA president.
Mr. Wray said in a telephone interview that the restaurant chain was honored in part because it offers employees a 3% company match for a 1% salary contribution from the employee. The company match is capped at 7% for an employee contribution of 5%. A discretionary profit-sharing contribution can be up to an additional 4%.
“That's a pretty generous arrangement,” Mr. Wray said.
He noted that McDonald's also has launched a financial literacy program with credit card company Visa USA to help employees better manage their personal bank accounts.
“If people have their basic financial situation squared away, they are able to save more in their 401(k) plans,” he said.
The award was given at PSCA's annual meeting Sept. 21-23 at Amelia Island, Fla. Mr. Wray said the award will be given annually to “highlight extraordinary practices” and help other companies think beyond traditional retirement strategies.