PLANSPONSOR - August/September 2021 - 40

PLAN PROFILE
Building Short-Term Savings
An employer's foundation helps the workers start saving for emergencies
T
he KFC Foundation, an independent 501(c)(3) nonprofit
organization primarily funded by KFC franchisees and
headquartered in Louisville, Kentucky, recently introduced
MyChange, an emergency savings program for KFC employees.
The program is available to all franchisees,
which may offer it to their employees. In its
goals and approach, the program reflects
some of the broader financial wellness
trends that are reshaping the employee
benefits landscape.
It also speaks to the competitive nature
of the labor market: Eating and drinking
establishments remain 1.5 million jobs
(12%) short, according to the Bureau of
Labor Statistics in June. Faced with these
stark labor conditions, the KFC Foundation
says it believes this resource, like others it
offers, can attract and retain employees.
The savings program was created
in partnership with SaverLife, a national
nonprofit fintech company that helps
working families pursue prosperity through
modest yet regular saving. It was piloted
with some KFC employees last year, and it
is being rolled out nationally this summer.
Although there are other objectives,
Justin Stewart, a KFC franchisee and the board chair of the KFC
Foundation. " Programs such as MyChange with SaverLife help us
develop the financial acumen of our team members, setting them
up for success in their future, while also strengthening our organization
from the ground up. "
The program is relatively straightfor " We
created
this program
to equip KFC
restaurant
employees
with valuable
financial
skills to create
lasting savings
behaviors. "
the program is primarily designed to help KFC team members
build at least $500 in short-term savings while it also instills
lasting positive savings behaviors.
" We're thrilled to partner with the KFC Foundation to provide
KFC restaurant employees with the tools they need to quickly
build emergency savings funds, " says Leigh Phillips, president
and CEO of SaverLife. " We consistently see the difference it makes
to have $500 in savings, and the KFC Foundation is helping frontline
workers build that emergency fund in just a few months. "
" To be able to offer these types of resources means a lot, " says
SNAPSHOT
KFC Foundation
KEY PLAYER: Emma Horn, managing director of the KFC Foundation
NUMBER OF KFC FRANCHISE EMPLOYEES: 90,000
KFC FRANCHISE PLAN: 401(k) plans for some franchises
ward in its approach, relying on scalable
technology and gamification to encourage
participation. Eligible employees of KFC
corporately owned or franchisee-owned
restaurants who sign up and enter the
Savings Match Challenge first get a $20
sign-up bonus-paid for by the foundation-and,
by saving at least $10 a month,
they receive a dollar-for-dollar match of up to
$40 a month over a six-month period. The
goal is to get workers to create a $500 shortterm
emergency savings fund-or to boost
their current savings by $500.
Emma Horn, managing director of
the KFC Foundation, says it was not hard to
build consensus on the foundation's board
about the importance of this program.
" The heart of what the KFC Foundation
does is to take care of KFC restaurant
employees across the U.S., " Horn says.
" Having an emergency fund has always been important and valuable.
The uncertainty that has come with the pandemic emphasizes
the need to create a program to help equip KFC restaurant
employees with resources that would help them grow their financial
knowledge, build a habit of saving money and create a shortterm
emergency savings fund. "
As Horn explains it, the program is viewed as a complement
to other existing programs. " Since 2006, the KFC Foundation has
awarded $20 million to more than 6,400 students and eligible
KFC restaurant employees, to help them earn their GED [general
equivalency degree], go to college, make it through a hardship or
crisis, and build their financial knowledge, " she says.
" We created this program to equip KFC restaurant employees
with valuable financial skills to create lasting savings behaviors, "
she says. " The programs we offer employees show them we care
and that we're invested in their personal development and wellness,
which leads to having a stronger organization. "
She says the program has already sparked a strong positive
response from KFC's workers. -John Manganaro
40 PLANSPONSOR.COM August - September 2021
http://www.PLANSPONSOR.COM
PLANSPONSOR - August/September 2021

Table of Contents for the Digital Edition of PLANSPONSOR - August/September 2021
