Empower selected by Colorado Public Employees Retirement Association to administer $5 billion in DC retirement plans
Plans to feature integrated resources, investor education and technology designed to help Colorado public employees prepare for retirement
GREENWOOD VILLAGE, Colo., March 24, 2021 -- Empower Retirement, the nation’s second largest retirement services provider1, and the Colorado Public Employees' Retirement Association (PERA) Board of Trustees are announcing that Empower will be the recordkeeper for its defined contribution plans. Together, PERA sponsors three defined contribution plans which hold assets in excess of $5 billion for some 95,000 Colorado public employees.
PERA offers both defined benefit (pension) and defined contribution plans to its members. Some PERA members have the option to choose a defined contribution plan instead of the defined benefit plan. Additionally, PERA allows all members to save money toward retirement in optional 401(k) or 457(b) plans.
“PERA is proud to offer excellent defined contribution plan options to help our members achieve their financial goals,” said PERA Executive Director Ron Baker. “We strive to ensure we’re offering the best investment options, financial education, and customer service to our members, and look forward to partnering with Empower to improve the experience and outcomes.”
“Empower was selected by the PERA Board for its customer service, experience with large public plans like PERA, mobile-friendly technology tools, and modern approach to communicating with members,” according to a PERA notice issued March 19th.
“Empower and Colorado PERA will create a state-of-the-art savings experience for Colorado public employees to help improve preparedness for retirement,” said Empower Retirement President and CEO Edmund F. Murphy III. “Empower is a Colorado company and it’s great to have the chance to serve those who serve our state so well.”
The new plans will offer a variety of integrated resources to PERA participants, including a single intuitive website, single call center, consolidated statements and consistent messaging. PERA participants will have access to the Empower Retirement Participant Experience which offers an unrivaled retirement planning experience that integrates modern plan design elements with proven behavioral science to help participants better understand their future savings needs.
Richard Linton, President of Workplace Solutions for Empower added, “Empower is the market leader in providing retirement plans to state and local governments. We are proud to serve more than 2.8 million public sector workers who are relying on us to help them get ready for retirement. We are honored to have this chance to serve Colorado workers.”
PERA issued a Request-For-Proposal for the recordkeeper in December 2020 to ensure its members receive excellent value and service for their defined contribution investments, according to the statement from PERA. Pending final contract negotiations, the new plans would be implemented by early 2022.
Empower serves the retirement needs of more than 227,000 Colorado residents through some 5,550 retirement plans. Empower administers more than $20 billion in assets on behalf of those Coloradans.
Headquartered in Greenwood Village, Empower employs some 2,900 associates in Colorado. In 2020, Empower was recognized as one of the most community-minded companies in Colorado in the Civic 50 Colorado program by CSR Solutions of Colorado and Points of Light. Empower was recognized, in part, due to the work of its associates in Colorado who in 2019 supported some 200 charitable organizations and volunteered thousands of hours through the company’s Associates Community Together (ACT) giving program. Through the program, associates are provided 16 hours a year of paid volunteer time off from work. Empower also matches money donated to nonprofit organizations by associates.
In 2019, Empower made an additional commitment to Colorado when it entered into a 21-year agreement with the Denver Broncos for the naming rights to Empower Field at Mile High.
About Colorado PERA
Colorado PERA provides retirement and other benefits to more than 620,000 current and former teachers, State Troopers, corrections officers, snow-plow drivers, and other public employees who provide valuable service to all of Colorado. PERA is a vital and stable contributor to Colorado’s economy, distributing $4 billion in 2019 to 105,000 retirees who live in Colorado.
About Empower Retirement
Headquartered in metro Denver, Empower Retirement administers approximately $1 trillion2 in assets for more than 12 million3 retirement plan participants as of Jan. 31, 2021. It is the nation’s second-largest retirement plan recordkeeper by total participants. Empower serves all segments of the employer-sponsored retirement plan market: government 457 plans; small, mid-size and large corporate 401(k) clients; not-for-profit 403 (b) entities; private-label recordkeeping clients; and IRA customers. Personal Capital, a subsidiary of Empower Retirement, is an industry-leading hybrid wealth manager. For more information please visit empower-retirement.com and connect with us on Facebook, Twitter, LinkedIn and Instagram.
Stephen Gawlik – 617-417-4408 (cell); Stephen.Gawlik@empower-retirement.com
Monica Mendoza – 719-373-2460 (cell); Monica.Mendoza@empower-retirement.com
To learn more about how we’re empowering plan sponsors and their participants to be more engaged in their retirement plans than ever before, call us at 800-719-9914.
1 Pensions & Investments 2020 Defined Contribution Survey Ranking as of April 2020.
2 Estimated assets after both the acquisition of the MassMutual retirement business and recent 1Q21 plan conversions. As of December 31, 2020. Information refers to the business of Great-West Life & Annuity Insurance Company and its subsidiaries, including Great-West Life & Annuity Insurance Company of New York and GWFS Equities, Inc. GWLA’s consolidated total assets under administration (AUA) were $971.6B. AUA is a non-GAAP measure and does not reflect the financial stability or strength of a company. GWLA’s statutory assets total $75.1B and liabilities total $72.9B. GWLANY statutory assets total $3.6B and liabilities total $3.4B.
3 As of January 4, 2021.
FORWARD-LOOKING STATEMENTS DISCLAIMER
Certain statements in this press release constitute forward-looking statements representing management’s current view of future events based on reasonable assumptions. These statements are not guarantees of future performance as actual results may differ depending on the development and completion of this business combination. Consider these and other factors, uncertainties and potential events carefully and do not place undue reliance on forward-looking information. Other than as specifically required by applicable law, forward-looking information as a result of new information, future events or otherwise will not be updated.
Latest Press Releases
On January 31, Empower’s assets under administration rose above $1 trillion for the first time in the company’s history.
Empower Retirement earned the highest number of “Best in Class” ratings from its customers in an annual survey from PlanSponsor Magazine that gauges employers’ satisfaction with their retirement plan providers.
The COVID-19 pandemic and its effects on the economy had Americans tightening their belts, and it may be the catalyst that now drives them to spend less and save more.