Clayco, Inc.

NOMINATOR COMMENTS

Founded in 1984, Clayco is consistently ranked as a top design-builder and contractor by Engineering News-Record. The company’s philosophy—“Treat others as we would want to be treated”—is at the heart of its success. This mindset drives its Clayco Rising program: a pioneering culture, diversity and inclusion initiative designed to create meaningful opportunities and enduring structural change for its employees, its minority- and women-owned business partners, and the communities where they live and work. By partnering with local communities, Clayco provides resources, time and ongoing support to causes such as education, the arts, medical research, disaster relief, and opportunities for minorities, youth and underprivileged groups.

Clayco designed its retirement plan to make saving simple and rewarding. The company automatically enrolls new hires on the first of the month following 60 days of employment, provides a generous employer match, and supplies ongoing education and engagement through its adviser, Creative Planning. As a result, participants have an average lifetime income score of 88%—significantly exceeding the national benchmark of 76%, with 32% of participants at or above the income replacement goal of 75% (compared with 24% nationally). Of participants, 20% defer at least 10% of their compensation.

PLANSPONSOR: Please cite any noteworthy initiatives you have taken in the past 24 to 36 months that have produced results to improve your plan, and describe the results.

Clayco: More than 90% of eligible employees participate in the 401(k) plan, so engagement remains high. We found, however, that some new employees had a heavy student loan burden and did not have enough disposable income to participate in the 401(k). This led to our loan assistance programs.

We implemented the student loan assistance program through the 401(k) plan. Additionally, we increased employee awareness of our financial planning tools, including a webinar series, and implemented financial planning training to more than 100 summer interns before they returned to school in the fall.

PLANSPONSOR: Please explain the ongoing governance efforts of those involved with the plan meant to ensure its compliance and effective operation.

Clayco: We have quarterly 401(k) committee meetings, as well as fiduciary training as part of those meetings. We also have annual audits and compliance testing.

PLANSPONSOR: Is there anything else you would like to share?

Clayco: We participate in monthly talent meetings to highlight the benefits we offer to our employees. As a privately owned company, we tend to be very paternalistic toward our employees and want to be sure our benefits support mental and physical well-being, as well as financial security for retirement.

This year, for our Plan Sponsor of the Year profiles, we are publishing Q&As based on the finalists’ applications and nominator comments. Responses are edited and may be paraphrased. In cases where the finalist self-nominated or, on its application, referred judges to the nomination for the answer, we have attributed those nominator answers to the plan sponsor.