Standard Chartered Bank

Standard Chartered Bank employees are highly engaged in planning for the future. Nearly all colleagues contribute to the 401(k) plan, which boasts a participation rate of 98% and an average deferral rate of 12.4%. Of those participating, about three-quarters have taken positive action toward their retirement goals this year by upping their payroll deduction.

Part of the success participants are achieving lies in the 401(k)’s plan design, which prevents inertia. Through a simplified enrollment feature, all new hires are automatically enrolled in the plan at 6% of their salary.

“Standard Chartered Bank offers generous matching contributions, which help boost employee savings and set participants on the path to retirement success,” notes Matt Brancato, chief client officer for Vanguard’s institutional investor group. “Auto-enrollment and auto-escalation plan design features promote higher participation rates, setting more participants up for retirement readiness.” 

The international financial services company, with multiple offices in the U.S., offers a dollar-for-dollar match of 4%, plus a 4% discretionary contribution that was introduced in 2011 after the company froze its pension plan. Auto-escalation raises deferrals 1% per year, up to 25%. 

Participants have access to a range of investment choices including 25 Vanguard funds and eight non-Vanguard funds, as well as the option of setting up a self-directed brokerage account. The bank also offers features such as a mega backdoor Roth, leveraging Vanguard’s technology to automate the process for participants.

“Using technology and plan design in a very blended and seamless way helps us come up with a great offering,” says Sairam Reddy, head of performance, rewards and benefits at Standard Chartered Bank. 

The bank offers a number of financial wellness tools including Vanguard’s digital, situational and personal adviser services for participants aiming to achieve highly personalized financial planning and portfolio management. Through the provider’s digital technology platforms, participants have access to live webinars as well as online tools such as debt paydown and an emergency savings account option. Over the past 12 months, more than a third of participants who visited the “manage debt” guide through Vanguard’s My Financial Wellness portal used the debt paydown tool, Brancato notes.

Standard Chartered Bank also has a financial well-being employee resource group, responsible for engaging colleagues throughout the year on various financial topics via in-person and virtual events. 

“We want to make sure saving for retirement is a seamless experience,” says Kelsey MacKnight, performance, rewards and benefits specialist at the bank.

The institution has introduced a number of plan features such as tax-advantaged 529 education savings plans and hardship withdrawals for certain life events, including purchasing a home, paying tuition or welcoming a child.

“Our goal is to support colleagues through all life stages, not just retirement,” MacKnight says.

—Corie Hengst