Based on a study commissioned by Bank of America Merrill Lynch involving 1,000 companies of all sizes, it seems that U.S. companies are taking a greater role in helping their employees prepare for retirement. As benefits become more of a worksite solution than a paternalistic benefit, HR professionals are stepping up to help, with 73% engaged in training and developing more knowledge to help their employees make the right decisions managing their retirement accounts and their health care.
Though accounting and finance staff are still involved in the process, as more risk and costs are transferred to the employee, HR professionals are becoming more important, with 61% spending more time helping their workers on health care issues and 38% on 401(k) issues.
More time is than ever is being spent educating employees, with 81% of companies reporting that they believe that they are “somewhat responsible” for employee education, and engaging outside professional financial advisors to help. In fact, the study — which BAML engaged the Boston Research Group to conduct — showed that 70% of the companies polled offer access to one-on-one advice with an advisor, up from just 56% in 2012. (This feature article in the fall issue of NAPA Net the Magazine addresses the bottom-line effects of a successful retirement plan.)
The BAML study shines a light on how benefits in America are changing and how HR people are responding. Though a vast majority of employers, particularly in accounting and finance, want as little as possible from their retirement and health care plans in terms of costs, effort and liability, HR people want to help and are looking for financial professionals to assist them and their employees.
