Yes. According to the Eighth Annual Transamerica Retirement Survey, employers continue to overlook the high value that employees place on retirement benefits compared to salary. Fifty-six percent of employers believed employees would choose a higher salary over excellent retirement benefits, while only 34 percent of employees agreed with that statement. According to the survey, the minimal amount of dialogue between employers and employees on retirement issues may be fueling this gap.

"Many employees now expect a 401(k) plan with an employer-matching contribution to be part of their overall compensation package. In fact, the survey found that employees are more likely to take another job that offers a better retirement benefits package," said Catherine Collinson, retirement and market trends expert for the Transamerica Center for Retirement Studies. "Communicating with employees about how to achieve their retirement goals can go a long way toward improving employees' perception of their retirement plan benefit."

To improve communications with employees and provide a retirement plan that best helps them prepare for the future, employers should take the following steps:

• Initiate ongoing dialogue with employees on the possible opportunities for improving your retirement plan—including both information on investment choices and educational offerings.
• Review the Pension Protection Act of 2006 with your financial adviser, benefits consultant, third-party administrator or retirement plan provider to learn which provisions may help increase the effectiveness of your plan.
• Consult with your retirement plan provider to make sure that the company and its employees are taking full advantage of your educational offering.
• Provide communications throughout the year—not just during annual enrollment meetings.

Source: Transamerica Retirement Services, http://www.transamerica.com