Canadian workers value pension benefits, planning help: survey

This article originally appeared on BenefitsCanada.com.

More than three-quarters (78%) of North American employees and retirees with pension plans said the availability of those benefits was a major factor in deciding whether to accept a job, according to a new survey by Accenture.

Its survey, which polled nearly 3,000 Canadian and U.S. workers, found that pensions remained a loyalty factor after they joined an organization, with 72% of respondents saying they stayed with an employer due to their pension benefits.

Pension benefits are relatively more important to younger employees than older workers, with 82% of millennials and 81% of generation Xers citing them as a critical factor in accepting a job. That compares to 74% of baby boomers.

The survey also found pension benefits are particularly important to public sector employees, with 77% saying they stayed with an employer as a result of them. The finding compares to 62% for the private sector. As well, 80% of public sector employees cited the pension as a critical factor in accepting a job, a number that compared to 74% in the private sector.

“The pension benefit may now be nearly as important to employees as their health care,” said Owen Davies, leaders for the global pension practice at Accenture. “While health benefits have been the benefit most valued by job seekers and employees in recent years, pensions appear to be closing the gap.”

According to the survey, retirement confidence declines with age. About 70% of millennials said they’re confident or extremely confident that they’ll have enough savings to retire at age 65, compared to 62% of gen-Xers and 57% of baby boomers.

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The majority (82%) of survey respondents said they want more help with retirement planning. About half (49%) of respondents who are active employees said their employer offers retirement education or coaching, while 32% said their employer doesn’t provide anything along those lines. One in five respondents are uncertain whether their employer offers such services.

Overall, 77% of all respondents want more knowledge and understanding of their retirement options.

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When it comes to how they receive retirement information, 54% of respondents said they’d like to attend a webinar, but only 14% have done so. Half of respondents said they’d like to use a mobile app to receive the information, while only 17% have done so. And 46% said they’d like to use a digital retirement coach, although only 11% have done so.

“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,” said Davies. “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.”

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