More than half (55%) of defined contribution (DC) plan sponsors think most of their workplace retirement plan participants will have to work either full- or part-time in retirement, according to polls of workers and companies released by BlackRock Inc. By contrast, just 15% of workers participating in DC plans anticipate needing to work for income in retirement.
Nearly eight of 10 DC plan sponsors polled by BlackRock agree (and 30% strongly agree) that “the days of working until the age of 65, retiring, and then never having to work again are generally over for most workers.”
According to survey results, 30% of participants plan to retire between ages 64 and 66.
“One thing that’s very clear to us is that the landscape [of retirement] is fundamentally changing,” Robert Fairbairn, head of BlackRock’s global client group, said during a press briefing about the surveys.
For some retirees, choosing to stay employed will be a choice; for others, it will be a financial necessity, said Chip Castille, managing director and head of BlackRock’s U.S. & Canada Defined Contribution Group. Nine percent of participants say they plan to keep working in retirement because of personal preference, but 7% say they will have to keep working because of finances.