Sen. De Leòn’s SB 1234 Offers Portability, Reliability, Guaranteed Lifetime Income
SACRAMENTO, CA – According to a poll being released today by the National Conference on Public Employee Retirement Systems (NCPERS), California’s small business owners overwhelmingly support a proposal for a new retirement plan that would offer the seven million workers without access to a plan at work, one that is portable, reliable and guaranteed. The poll shows that 71% of small business owners favor a plan like the one proposed in Senator Kevin de Leòn’s (D-Los Angeles) Senate Bill 1234 – The California Retirement Savings Plan, co-authored by Senate President Pro Tempore Darrell Steinberg (D-Sacramento).
“Small businesses are on the front line of our economy,” said Senator De Leòn. “Their overwhelming support for this concept reflects what they are seeing and experiencing every day. We must provide reliable and accessible means for workers to save for retirement or we’ll be run over by the costs of an entire generation retiring into poverty.”
The survey of 505 small business owners in California was conducted in late April by Lake Research Partners for NCPERS, the largest trade group for public sector pension plans. The businesses surveyed ranged in size from two to 49 employees. The survey also shows large margins of support for the plan across gender, age, political and geographical lines.
"We applaud Senator de Leon's foresight and leadership in this area," said Hank Kim, Esq., NCPERS' Executive Director and Counsel. "Creating a simple, affordable vehicle to provide retirement security for California's private-sector employees -- especially small business employees -- is crucial. Not only will individual workers and their families enjoy greater financial security, businesses will have a powerful recruiting tool and California's overall economy will reap benefits for years to come."
Among the survey’s key findings:
- Nearly three-out-of-four California small business owners – 71 percent – are in favor of the retirement proposal.
- Support is strong both among small business owners who already offer a retirement plan (70 percent) and those who do not offer retirement benefits (73 percent).
- Support crosses party lines – with 78 percent of Democrats and 70 percent of Republicans in favor. Support is particularly strong among Republican small business owners, who currently do not offer retirement benefits, at 77 percent.
The full survey can be found here - http://www.ncpers.org/Files/2012_04_ca_small_business_survey.pdf
SB 1234 was recently approved by the Senate Committee on Public Employment and Retirement and the Senate Labor Committee, and is expected to be heard on the Senate Floor next week.