H.B. 5591, the Act to create a state-run Retirement Security Program, passed the State House with overwhelming support from the small business community and will now head to the Senate for consideration.
Today, the Connecticut General Assembly passed House Bill 5591 as amended, moving the bill on to the State Senate for final approval. If passed, the Act will create a state-run retirement security program that will improve the retirement security of workers in the state who do not have access to an employer-sponsored retirement plan or payroll deduction individual retirement account.
Over 600,000 Connecticuters go to work each day without a workplace-based retirement savings program, leaving too many of our state’s residents without an option to live out their golden years with a level of comfort and stability that many with access to employer-provided plans take for granted.
The Retirement Security Program provides a well-researched option that has taken into consideration input provided by employees and finance sector professionals alike. The efficacy of the program has been tested and it’s been found to be financially feasible in a range of market scenarios and it will work for the private-sector employers on Main St.
In addition to putting employers in the best position to meet the needs of their workforce, the program will reduce high turnover costs. Employee acquisition and training have a significant impact on profitability, making it so important that small business owners have policies in place that encourage their team members to stay with them long-term. This program allows small business owners to match or exceed the offerings of their larger competitors–leveling the playing field for businesses of all sizes.
“House Bill 5591 creates an option for businesses like mine that reduces our administrative cost and legal burden and makes it possible for us to address our employees' options for retirement without breaking the bank,” says Mark Soukop, owner of New Haven Pizzeria in Avon.
“I urge our Senators to vote in support of the Retirement Security Program, a program that will help me provide a peace of mind to my workforce while mitigating the time consuming and costly administration of a privately purchased plan—allowing me to focus on running my business,” says Matthew Feiner, owner of Devil’s Gear Bike Shop in New Haven.
Mark and Matthew joined dozens of other small business owners across the state of Connecticut in raising awareness of the bill and vocalizing their support in local media outlets.