- 58% of employees cite retirement security as the most important issue
- 44% of employees willing to accept retirement benefits over salary
- 17% of employees expect to be working in their 70s
Retirement security is a growing issue in Hong Kong and the wider Asia Pacific region, according to the latest findings of the Global Benefits Attitudes Survey by Willis Towers Watson.
The study reveals that 58% of Hong Kong employees think retirement security has become a more important issue for them over the last 2 – 3 years. Only around one-third of them, however, are confident of having enough resources to live comfortably throughout retirement. In addition, nearly one-fifth of Hong Kong employees expect to still be working in their 70s.
Elaine Hwang, Head of Retirement, Willis Towers Watson highlighted, “The survey shows that the majority of Hong Kong employees do not prioritise their own finances towards saving for retirement until their 40s.” She added, “Employees generally do understand that they should save for retirement, but the push factor is not strong at earlier ages. Employees at age 40 and above have a stronger desire to save for retirement but starting from the age of 40 is already quite late to accumulate an adequate amount.”
Although nearly half of the surveyed employees in Hong Kong are willing to sacrifice a portion of their paycheck for greater employer-provided retirement benefits, Hwang addressed the need for employees to take more control. She explained, “People also expect their workplace benefit retirement plans to be their primary way to save for retirement, but not all employers are willing to take on proactive responsibilities for employee financial well-being beyond statutory retirement contributions.” She concluded, “It’s time to rethink the role of employers in helping employees save or invest wisely for retirement, by providing adequate education, guidance and tools.”
Paul Arkwright
Publisher
