Retirement may feel far off for some employees, but the decisions made today shape their financial security for decades to come. As retirement expectations evolve across generations, organizations have a responsibility, and an opportunity, to equip their teams with the tools, education, and flexibility needed to retire with confidence.
A well-designed group retirement plan doesn’t just support long-term savings, it builds trust, improves retention, and reflects a company’s commitment to employee well-being.
Why Employer-Sponsored Retirement Plans Matter
According to Benefits Canada (2025), 74% of Canadian workers say financial stress affects their productivity at work, and over half report anxiety about saving enough for retirement. Meanwhile, the Healthcare of Ontario Pension Plan (HOOPP) (2024) found that 80% of Canadians believe employers should play a role in helping workers save for retirement, especially through matching contributions, access to professional guidance, and retirement planning tools.
Retirement readiness is no longer a personal challenge, it’s a workforce strategy. Organizations that prioritize it are investing in both their people and their future.
Step-by-Step: Best Practices for Building a Secure Retirement Plan
1. Align Retirement Plan Design with Workforce Needs
Effective retirement plans start with thoughtful design. Consider demographic trends, job roles, and life stages within your organization to offer savings options that are flexible and inclusive.
What this looks like in practice:
· Offer a mix of plans such as Group RRSPs, Deferred Profit-Sharing Plans (DPSPs), and Pensions to meet diverse employee needs.
· Build in flexible contribution structures, allowing employees to adjust contributions as their financial situation changes.
· Implement automatic enrollment and escalation features to boost participation and long-term savings habits.
HOOPP (2024) reports that plans with automatic features see significantly higher engagement, especially among younger employees who might otherwise delay enrollment.
2. Provide Tailored Financial Education
Financial literacy remains one of the biggest barriers to effective retirement planning. Employees often don’t know how much to save, when to start, or how to navigate their plan options. The solution? Education that is relevant, accessible, and targeted to different life stages.
What this looks like in practice:
· Provide regular education sessions on topics such as goal-setting, budgeting, investment basics, and income planning.
· Customize content by age group: early-career employees need savings fundamentals, mid-career employees often need debt and investment guidance, and pre-retirees require transition planning.
· Use plain language, avoid jargon, and offer materials in multiple formats (digital, print, live event).
Sun Life (2025) found that companies offering segmented, personalized financial education saw up to 40% higher plan participation and more confident decision-making among employees.
3. Support Retirement Transitions
The final stretch to retirement can be overwhelming. Employees benefit from structured tools and one-on-one guidance to navigate financial, emotional, and lifestyle questions. Organizations that support these transitions see smoother workforce planning and improved employee satisfaction.
What this looks like in practice:
· Offer pre-retirement workshops that cover topics such as CPP/OAS, converting savings to income, tax implications, and healthcare considerations.
· Provide access to retirement specialists or third-party planners who can help employees build individualized plans.
· Consider phased retirement options or flexible exit timelines to help employees ease into the next chapter.
Aon Canada (2024) notes that organizations supporting the retirement transition process report higher engagement scores and a more respectful exit culture across generations.
4. Leverage Digital Tools to Drive Engagement
Technology makes it easier for employees to manage their retirement savings and stay engaged with their plan. The right platform can turn a complex process into a personalized experience.
What this looks like in practice:
· Use mobile apps and online dashboards that show contribution levels, projections, and investment performance.
· Provide interactive retirement calculators and goal-tracking tools.
· Enable real-time updates and self-serve features that give employees a sense of control and ownership.
According to Eckler (2025), 67% of plan members are more likely to engage with their retirement plan when it includes digital resources, especially those that provide personalized feedback.
5. Communicate Often and Transparently
Clear, consistent communication is key to building trust and long-term engagement. Employees are more likely to value and use their retirement plan when they understand how it works, and how it benefits them.
What this looks like in practice:
· Send regular plan updates, success stories, and reminders timed to key life events (e.g., birthdays, work anniversaries, family milestones).
· Use multiple channels — email, intranet, team meetings, to ensure messaging reaches everyone.
· Incorporate plan performance updates and testimonials into onboarding and total rewards messaging.
Manulife’s 2024 Group Retirement Trends Report shows that employees who receive consistent plan communication are 2X as likely to view their employer as invested in their long-term success.
How PACE Consulting Helps
At PACE Consulting, we help organizations create group retirement strategies that are future-focused, inclusive, and aligned with your people strategy. We work with you to:
· Design flexible, multi-generational plan structures that fit your workforce
· Deliver targeted education that empowers employees at every career stage
· Identify tools and provider solutions that streamline engagement and access
· Support your internal team with communication strategies and retirement transition planning
Ready to build a retirement plan that helps your employees feel confident about the future? We can help you design a strategy that works for them, and for your business.