Erika H. James Director | Morgan Stanley
Morgan Stanley at Work, in collaboration with Morgan Stanley Institutional Consulting Solutions, has released data from its fifth annual State of the Workplace Financial Benefits Study. The study highlights how employees are managing retirement savings amid economic uncertainty.
According to the findings, while participation in workplace retirement plans remains steady at 86%, financial stress is prompting many employees to reduce their contributions. Specifically, 39% have decreased their 401(k) contributions due to concerns about inflation or recession, a trend most evident among Gen Z workers. Overall, 67% of employees report cutting back on savings across all accounts.
The demand for comprehensive retirement guidance is increasing. Access to financial advisors is the top priority for employees seeking retirement planning assistance, followed by goals-based investment planning and income solutions. HR leaders share this view, with these three options ranking highest among their preferences as well.
Jeremy France, Head of Institutional Consulting Solutions at Morgan Stanley, commented on the importance of modern workplace retirement plans: “In the face of economic uncertainty, it is clear that comprehensive retirement benefits are essential for individual financial security, while also serving as a critical lever to retain top talent.” He emphasized that these plans now integrate ongoing financial advisory services and are strategic assets for companies.
The survey methodology involved responses from 1,000 U.S.-employed adults and 600 HR leaders conducted by Wakefield Research.
Morgan Stanley at Work provides workplace financial benefits aimed at building confidence and loyalty among employees. Its offerings include equity compensation services and other financial wellness programs designed to support employee growth and retention.
For more details on the study or Morgan Stanley's offerings in wealth management and consulting solutions, interested parties can visit their website.