There is no overstating how unprepared Americans are to retire. Nearly half of private-sector employees — some 55 million people — do not have an employer-provided retirement plan. Most of them are low- to middle-income earners who will end up relying on Social Security for between half and all of their income in retirement.
And yet, as early as Wednesday, House Republicans are expected to pass a measure to thwart efforts by California, Illinois and other states to establish basic retirement savings plans for employees at companies that do not offer such coverage. In California, for example, participating employees would have a small percentage of pay deducted from their paychecks, unless they opted out. Those amounts would be pooled and managed by investment professionals chosen by the state in a bidding process; the plan would be overseen by a board of government and business leaders appointed by the governor and the Legislature.
- New York Times