Almost seven in 10 Canadians (69%) would leave a job without a group RRSP in exchange for a job with access to one, according to a study published on Wednesday by Toronto-based Nest Wealth Asset Management Inc.
The report, entitled Strengthening Productivity: How to Relieve Employee Stress and Grow Your Business, found that having a group RRSP in place through employers made a significant difference in employees’ “overall happiness, confidence in their financial future and consequently, their work performance.”
In fact, 42% of survey participants ranked “money” as their greatest stress ahead of work (23%), health (19%) and relationships (17%). More specifically, a significant proportion of Canadians — 65% of men and 75% of women — are worried they aren’t saving enough for retirement. According to the research, this anxiety is affecting employers’ bottom lines, as previous statistics have indicated that dissatisfied workers “cost North American businesses over $350 billion annually in lost productivity.”
Although millions of Canadians lack access to a group RRSP at work, the report notes that 79% of employees who contribute to one feel more in charge of their finances and less stressed.
“Our study found that the simple act of offering a group RRSP can significantly increase employee’s confidence and sense of security both in the workplace and at home,” says Randy Cass, founder and CEO of Nest Wealth, in a statement. “By helping alleviate the stress related to financial security, Canadian companies can have a greater chance to attract and retain talented employees, play a positive role in their employees’ lives and create a healthier company culture and a stronger Canadian workforce.”
The study’s authors are the providers of Nest Wealth at Work, a digital group RRSP platform for small to medium-sized businesses, which aims to eliminate the complexity and administrative barriers that made these plans difficult for these companies to offer.