“Nearly half of New Yorkers who are retirement age have less than $10,000 saved up,” said City Council Member Ben Kallos.
The plan is sponsored by the city for private sector employers that have at least five workers and don’t already offer a retirement plan.
Employees will be automatically enrolled with 5% of their wages going into their retirement fund. They can adjust the amount or opt-out. Gig workers are allowed to opt-in.
“There will be no employer matching. No employer liability. All the employer is doing is facilitating the payroll deduction,” Kallos said.