EBSA Press Release: Department of Labor Promotes Retirement Savings Through SAVER Act [11/24/1997]

Archived News Release — Caution: Information may be out of date.

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President Bill Clinton has signed into law the Savings Are Vital to Everyone Retirement Act of 1997, known as the "SAVER Act." The SAVER Act will promote awareness of the importance of retirement savings through a series of outreach programs to be spearheaded by the U.S. Department of Labor.

"The SAVER Act is an important step, taken in a bipartisan manner, to increase awareness of the need for pension and individual savings so American workers may enjoy a secure and comfortable retirement," said Clinton. "I am particularly concerned about the savings of women, minority, and low- and- moderate-income workers, for whom putting away money for retirement is often particularly difficult."

Labor Secretary Alexis M. Herman has made retirement security for all American workers one of her top five goals for the Labor Department.

"The Labor Department has been working hard to educate the American public about retirement savings," said Herman. "From the girl scouts to small business owners and employees, we have been making sure workers and employers know about their retirement needs and options. But our goal is to do more than provide information, but rather to boost people's inclination to save for retirement."

In 1995, the Department launched its Retirement Savings Education Campaign in conjunction with the Department of Treasury and several public-private partners. As a result of this partnership, the American Savings Education Council was formed, which now has over 250 members committed to helping Americans plan and save for a secure retirement. In line with the SAVER Act, the Labor Department will maintain and expand its campaign to promote retirement security for American workers. The campaign's focus will include women and minority workers, who experience distinct challenges in saving for their retirement.

"The need for the Retirement Savings Education Campaign is clear -- research shows that many workers forego the opportunity to participate in pension plans and millions more are not even offered a plan by their employers," said Herman. "Through the SAVER Act, we will encourage employers to provide pension plans and help teach workers to plan and save adequately for retirement."

The SAVER Act directs the Department of Labor to maintain an ongoing program of public information and outreach through:

• public service announcements
• public meetings
• creation of educational materials, and
• establishment of a site on the Internet

The SAVER Act further supports the campaign by calling for three national summits on retirement savings to be convened by the President in 1998, 2001 and 2005. The summits will increase public knowledge about retirement savings by providing information on the types of pension plans that are available, including traditional defined benefit pension plans and a newly created plan designed specifically for small businesses. The Labor Department will work closely with its public and private sector partners to plan these summits, which will be co-hosted by the President and the Congressional leadership of both parties.

The summits will also identify problems employers and workers have in saving for retirement and will produce recommendations on what the private and public sectors can do to promote pension and individual savings. 

Archived News Release — Caution: Information may be out of date.