Union presence and financial education in the workplace.

摘要

This study examines the effects of a union presence in a firm on the frequency of financial education offered in the workplace. Previous studies have shown that financial education in the workplace has a significant impact on an individual's ability to effectively save and take advantage of savings programs. Further, studies have shown that an increased frequency of financial education increases both the probability of employees participating in the plan and the rate at which the participants contribute to the plan. In this study, I measure the varying degree of financial education being provided by the firms, ranging from the simple distribution of printed educational material on financial planning to more costly endeavors, such as providing in-person financial education seminars on investing and planning for retirement. It is believed that a union's presence in the work place might enhance the quantity and quality of financial-education opportunities. My findings regarding the importance of a union presence on financial education are mixed. Unions appear to facilitate the distribution of printed education materials such as retirement plan descriptions and newsletters. In addition, the marginal impact of a union presence on the distribution of printed educational materials varies by the number of employees in the firm. In sharp contrast, I find no evidence that unions affect the likelihood that other forms of financial education will be provided.