Estimated reading time: 0 minutes, 40 seconds

Covid-19 Eating Away At 401(k) Company Matches

With Covid-19 having wrecked world economies and leaving businesses struggling to survive, companies are now considering ending 401(k) matches. So reports Employee Benefit News.

percent 997401 640 smallCompanies in the hospitality and retail industries that have been hit especially hard have suspended, cut down or deferred their 401(k) matches for employees. These companies include Expedia Group, Hilton Grand Vacations and Best Buy.

A Willis Towers Watson survey found that as of late April, 12% of the 816 companies polls, which had 12 million workers collectively, had suspended their matching contributions. And 23% of companies said they are or may end matching for the rest of the year.

There are more than 100 million workers in the U.S. who have defined-contribution plans, with about $8.8 trillion in collective assets, the Vanguard Group notes.

Read the full article from Employee Benefit News

Read 1609 times
Rate this item
(0 votes)

Visit other PMG Sites:

click me
PMG360 is committed to protecting the privacy of the personal data we collect from our subscribers/agents/customers/exhibitors and sponsors. On May 25th, the European's GDPR policy will be enforced. Nothing is changing about your current settings or how your information is processed, however, we have made a few changes. We have updated our Privacy Policy and Cookie Policy to make it easier for you to understand what information we collect, how and why we collect it.