EANJ’s 2015 Annual Meeting: The Retirement Savings Crisis

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99TH ANNUAL MEETING

May 20, 2015

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America’s Retirement Savings CrisisWhat Employers Can Do

EANJ’s Role

Educations/AwarenessAdviceTraining

Best Practices Finding Solutions

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In 2009, 8 state-wide meetings (217 employers) expressed top concerns:

1. Increased healthcare costs (78%)2. Productivity of workforce (62%)3. Mismatch of skills of current and future

workforce (39%)4. Finding money for capital investments (32%)

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The healthcare cost problem was being “solved” by cutting benefits and shifting costs to workers

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2009 EANJ Board Strategy Meeting

Raising Awareness

2010 2011 2012 2013 20140

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Priority #1: Healthcare

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725 EANJ members (49% of membership)Total 22,000+ covered lives

Helping to Solve the Healthcare Crisis

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In 2014, top concerns are:

1. Healthcare costs (68%)2. Mismatch of skills (62%)3. Productivity (62%)4. Difficulty hiring (29%)

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“Solving” the Problem

Full-time opening remains vacant Older worker works part-time (no

healthcare benefits) Full-time hiring is delayed

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Productivity

Skills Wages

Strategic HR

Hiring Retirement

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America’s Retirement Savings Crisis

What Employers Can Do?

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38 million working-age households (45%) have no private retirement account

Medium retirement account balance is $3,000 for all working households

$14,500 for near retirement households

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What Employers Can Do?

Fewer Employers Sponsor 401K

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Reasons that small employers do not sponsor 401K

Administrative burdens Fiduciary and legal issues Absence of in-house expertise Cost and fees Employee turnover

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Most Americans Say They Will Rely on 401K for Retirement

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After wages, employees report healthcare and retirement savings as “very important”

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Joseph CalvanelliPresidentOpinionAmerica Group

What are Americans 50-years and older are thinking and saying about retirement and the economy

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Dr. Teresa Ghilarducci Professor, EconomicsNew School for Social Research

Strategic Human Resources in an Aging Society: How Can Employers Win?

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Panel Discussion

Grace ProtosWoman’s Bureau

Bruce BergmanU.S. Bureau of Labor Statistics

Everett LoSocial Security

Administration

Christina RimEmployee Benefits

Security Administration

Joseph LaganaNJ Assembly (38th District)

John J. SarnoPresident

EANJ

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Lunch Speakers

Honorable Vincent PrietoSpeaker, NJ AssemblyThe role of government

Beau AdamsPartner, Benefits Consultants Group

EANJ’s role