About 40% of the nonprofit employers that suspended 403(b) matching contributions in response to the Great Recession have restored the match, and 16% hope to do so within the next 6 months.
The Profit Sharing/401k Council of America (PSCA), Chicago, has reported that finding in a summary of results from a survey of 599 403(b) plan sponsors.
Only about 14% of the employers that offered matching contributions Dec. 31, 2007, suspended the match.
About 23% of the sponsors said they had added investment advice within the past year, and 51% said they had increased employee education and communications efforts.
More than a third – 38% — said participation rates have increased.
The research was sponsored by Principal Financial Group Inc., Des Moines, Iowa (NYSE:PFG).
- Allison Bell