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Addressing the retirement plan crisisTexas Total Rewards Alliance2022 Conference, Austin TXMike GriffinHead of Business Development for Workplace Wealth SolutionsUBS Financial Services Inc.August 29, 2022
Agenda Insights from recent research on workplace benefits The retirement crisis Addressing the retirement crisis2 of 21
Workplace benefits research
Generations in the workplaceIn 2016, millennials became the largest generation in the labor forceSource: PEW Research Center4 of 21
What employees wantSupport across all areas of wellness: mental, physical and financial“I agree my company has a responsibility to help me with wellness.”5 of 21Source: UBS Workplace Voice, Benefits take center stage, July 2021
Most employees will remain in preferred work environmentEmployee expectations align with their preferencesSource: UBS Workplace Voice: In motion (June 2022)6 of 21
High attrition risk for certain employeesMany employees will leave if their work preferences don’t align with theiremployer’s expectationsSource: UBS Workplace Voice: In motion (June 2022)7 of 21
Employees have high level of confidence about their jobConfidence in job security and outside opportunitiesSource: UBS Workplace Voice: In motion (June 2022)8 of 21
Many employers are adapting to a more mobile workforceEmployers are easing in-person policies but adjusting salariesSource: UBS Workplace Voice: In motion (June 2022)9 of 21
Employees value retirement plansYet many companies don’t offer access to one1 USBureau of Labor Statistics, Retirement benefit access and participation rates, March 2021.Table source: UBS Workplace Voice: In motion (June 2022)10 of 21
Employees expect companies to help with retirement goalsEight in 10 employees feel companies should be doing more to help themreach their retirement goalsSource: UBS Workplace Voice: In motion (June 2022)11 of 21
Employees want to reach a certain asset level for retirement“I’m more focused on ”Source: UBS Workplace Voice: In motion (June 2022)12 of 21
The retirement crisis
Participation in retirement plans is weakAccess to retirement plans and participation in private sectorSource: Bureau of Labor Statistics, US Department of Labor, The Economics Daily, Nov 1, 2021.14 of 21
Retirement savings are insufficientAverage balances in 401(k) accounts, by age15 of 21Source: Vanguard, How America Saves 2021,20thEdition, 2021.
The student loan debt impending crisisStudent loan debt: one of primary financial challenges for employees16 of 21Source:1Alook at the shocking student loan debt statistics for 2021, Studentloanhero.com, Jan 27, 2021.2TIAAand MIT Age Lab.
Addressing the retirement crisis17 of 21
State mandates for retirement savings programs18 of 21Source: Vestwell.com, status as of December 2021.
Retirement plan vehiclesPooled employerplans (PEPs)Multiple employerplans (MEPs)Allow businesses toband together toparticipate in a singleretirement plan19 of 21
Thank youMike GriffinHead of Business Development for Workplace Wealth SolutionsUBS Financial Services Inc.mike.griffin@ubs.comPh: 980 335-580920 of 21
DisclosuresAbout the surveyUBS Workplace Voice is an industry-wide online survey of employee benefit participants. It is designed to generate insights employers can use to help participantsmaximize the value they receive from their company benefits such as equity awards, financial wellness and retirement. The responses represent a cross section ofcompanies, industries and service providers. For this edition of UBS Workplace Voice, we surveyed 1,200 employees across various industries, ages and asset levels inApril of 2021.About UBS Workplace Wealth Solutionsavailable through UBS Workplace Wealth Solutions. We collaborate with corporate clients to deliver customized solutions across a range of programs for the workplace,including equity plans, financial wellness, retirement and institutional consulting.We currently provide more than 10,000 employers and their two million employees in over 150 countries with access to financial knowledge, benefits programs thatprepare them for retirement and an integrated experience that combines the right mix of people and technology. We work side-by-side with our clients so that theiremployees—and they—feel rewarded at work and optimistic about realizing their long-term financial goals.Legal disclosuresThis presentation contains general information only and the respective speaker and represented firms are not, by means of this presentation, rendering accounting,business, financial, investment, legal, tax, or other professional advice or services.Before making any decision or taking any action that may affect your business, you should consult a qualified professional advisor. The respective speaker and firm shallnot be responsible for any loss sustained by any person who relies on this presentation.UBS Financial Services Inc. does not provide tax, legal or accounting advice, accounting services, nor does UBS Financial Services Inc. certify any financial data orstatements.UBS Financial Services Inc and Texas Total Rewards Alliance are not affiliated.The contents of this document are not to be construed as legal, business or tax advice. Each attendee should consult its own attorney, business advisor and tax advisor asto legal, business and tax advice. UBS 2022. The key symbol and UBS are among the registered and unregistered trademarks of UBS. All rights reserved. UBS Financial Services Inc. is a subsidiary of UBSGroup AG. Member FINRA. Member SIPC.21 of 21Expiration: 8/30/2023 Approval date: 8/23/2022 Review Code: RC2900
Head of Business Development for Workplace Wealth Solutions UBS Financial Services Inc. mike.griffin@ubs.com Ph: 980 335-5809 20 of 21 Disclosures About the survey UBS Workplace Voice is an industry-wide online survey of employee benefit participants.
