Public- and private-sector workers in
North America demanding greater
access to retirement-planning tools through digital
channels
TORONTO, April 19, 2018 /CNW/ - Pension benefits are a
major factor for most workers in North
America when deciding whether to accept a job, according to
results of an Accenture (NYSE: ACN) survey released today. The
research found that millennial workers are the most interested in
pension benefits and also identified a strong but underserved
demand for retirement coaching and planning tools through digital
channels.
Nearly four in five (78 percent) of the 2,750 U.S. and
Canadian workers and retirees with pension plans
surveyed said that the availability of pension
benefits was a critical factor in deciding whether or not to accept
a job. Further, pensions remained a critical loyalty factor even
after employees were hired, with nearly three-quarters (73 percent)
of respondents saying they stayed with an employer due to pension
benefits.
The survey found that pension benefits are relatively more
important to younger workers than older workers, with 82 percent of
millennials (ages 20-37) and 81 percent of Gen Xers (ages 38-52)
citing the benefits as a critical factor in accepting a job,
compared with 74 percent of baby boomers (ages 53-71).
Pension benefits also appear to be more important to
public-sector employees, with those workers more likely than ones
in the private sector to say they stayed with an employer due to
pension benefits (77 percent versus 62 percent) and that
pension benefits were a critical factor in accepting a job
(80 percent versus 74 percent).
"The pension benefit may now be nearly as important to employees
as their healthcare," said Owen
Davies, who leads Accenture's global pension practice.
"While health benefits have been the benefit most valued by job
seekers and employees in recent years, pensions appear to be
closing the gap."
Employees Want More Retirement-Planning Help
The survey, which focused on retirement planning, found that
most current and retired employees said they want more help with
retirement planning (cited by 82 percent of all respondents) and
retirement coaching (84 percent). Younger workers are the most
interested, with nearly nine in 10 millennials citing an interest
in retirement planning (88 percent) and retirement coaching
(86 percent).
Half (49 percent) of currently active employees said their
employer offers retirement education or coaching, and one-third (32
percent) said their employer does not, with the remainder
(approximately 20 percent) uncertain if their employer offers such
services. But overall, most current and retired workers — 77
percent — said they wanted more knowledge and understanding of
their retirement options.
The survey also found that workers' confidence in their
retirement savings declines with age. Seventy percent of
millennials said they were confident or extremely confident that
they would have enough savings to retire at age 65, compared with
62 percent of Gen Xers and 57 percent of baby boomers.
Underserved Demand for Digital Channels
The survey
found a strong but generally underserved interest in the use of
digital communication channels for retirement information. For
instance, more than half (54 percent) of respondents said they
would like to attend a webinar for retirement education, but only
14 percent have done so. Similarly, half (50 percent) of
respondents said they're interested in using a mobile app to
receive retirement info, while only 17 percent have been able to do
so, and almost half (46 percent) said they would like to use a
digital retirement coach, with only 11 percent served in this way.
Interest in digital channels for retirement information is
especially strong among millennial workers (see chart).
Implications for Employees and Employers
As a result of the findings, Accenture makes several
recommendations for employers:
- Acknowledge the importance of pension and retirement
benefits – Employers should ensure that their HR strategies
acknowledge that pension and retirement considerations are
critically important to job seekers and current employees and
ensure that they address employees' strong appetites for retirement
information and support.
- Build awareness of benefits – One in five respondents
(20 percent) didn't even know if their employer offered retirement
planning or coaching. Given rising concerns among older workers
regarding the security of their retirement, it's important that
employers strive harder to provide their employees — and retirees —
with the information necessary to help them manage their
retirement.
- Leverage digital channels – Although few workers
currently use digital communication channels for information and
support on pension benefits and retirement planning, these channels
apparently provide a lot of appeal, especially among younger
workers. Therefore, employers should bolster their digital
offerings to meet the demand from potential recruits and current
workers.
"We see growing opportunities for employers to address unmet
demands for digital channels and strong appetites among employees
for more information and support regarding pensions and retirement
planning," Davies said. "How pension benefits are shaped and how
they are communicated to employees is very important to an
organization's effectiveness, stability and outlook. Our survey
findings point to several areas that employers should focus on to
attract and retain their employees."
About the Research
Accenture surveyed 2,750 U.S. and
Canadian workers and retirees with pension plans (2,600 in the U.S.
and 150 in Canada), of whom 1,790
were current workers and 960 were retirees. Three-quarters (2,050)
of the respondents were from the public sector and one-quarter
(700) were from the private sector. The online survey was conducted
in November 2017.
About Accenture
Accenture is a leading global professional services company,
providing a broad range of services and solutions in strategy,
consulting, digital, technology and operations. Combining unmatched
experience and specialized skills across more than 40 industries
and all business functions – underpinned by the world's largest
delivery network – Accenture works at the intersection of business
and technology to help clients improve their performance and create
sustainable value for their stakeholders. With approximately
442,000 people serving clients in more than 120 countries,
Accenture drives innovation to improve the way the world works and
lives. Visit us at www.accenture.com.
SOURCE Accenture