Report Finds Latinos in California Least Likely to Have Workplace Retirement Plan
The NCLR says that a California state policy solution could increase Latinos' retirement savings.
The National Council of La Raza (NCLR) has released a report finding that compared to other racial/ethnic groups, Latinos in California are the least likely to work for an employer that offers a retirement plan. The report also shows that even among Latinos who have access to a plan at work, participation and savings are relatively low, according to the organization's news release.
Released with support from The Prudential Foundation, NCLR's report also finds that Latinos make up the largest share of workers who could benefit from the California Secure Choice Retirement Savings Program. There are 3.8 million Latinos in California who lack access to a workplace retirement plan.
"California's makeup represents the future of America, making our state the ideal place to seek solutions to growing economic inequality," said Delia de la Vara, vice president of the NCLR California Region. "Our study shows that California has the opportunity to prevent a national retirement crisis by expanding options for Latinos and others to save for retirement in the workplace."
The report also offers additional recommendations to help Latinos better prepare for retirement, including establishing a state tax credit for low-income savers, raising the minimum wage to an amount that will keep up with the rising cost of living, and supporting nonprofit community-based organizations that provide financial coaching to help underserved families set goals and build savings and credit.