Empower has secured a renewed contract with the Commonwealth of Massachusetts to continue administering retirement plans serving approximately 300,000 public employees with nearly $16 billion in assets under administration (AUA). The agreement extends a 16-year partnership centered on retirement savings, financial education, and digital plan administration, reflecting the growing role of HR technology and workforce financial wellness platforms in the public sector.
Empower has renewed its retirement plan administration contract with the Commonwealth of Massachusetts, extending a partnership that supports one of the largest public-sector retirement programs in the United States. Effective April 1, 2026, the agreement enables Empower to continue delivering retirement administration and participant services for roughly 300,000 state and municipal employees, overseeing approximately $16 billion in assets under administration (AUA).
The renewal highlights the increasing importance of digital retirement platforms and financial wellness technologies within government workforce strategies. As employers face mounting pressure to improve employee financial security while modernizing benefits administration, public agencies are investing in technology-enabled retirement solutions that combine plan management, personalized education, and digital engagement.
Under the renewed agreement, Empower will continue supporting both the Commonwealth’s SMART Plan, a voluntary 457(b) deferred compensation plan for eligible public employees, and the CORE Plan, a retirement savings program designed to expand access for nonprofit organizations. Together, the two plans represent a broader approach to retirement readiness that extends beyond recordkeeping to include financial guidance and participant engagement.
The Commonwealth and Empower have developed a customized administration and service model over the course of their partnership, integrating retirement education, participant support, and operational management into a unified experience. Such tailored approaches are becoming increasingly common as large employers seek benefits platforms capable of serving diverse workforce populations while improving administrative efficiency.
A notable aspect of the collaboration is the continued expansion of the CORE Plan, which was introduced in 2018 as the nation’s first publicly sponsored multiple employer 401(k) retirement plan (MEP) for Massachusetts nonprofit organizations with 20 or fewer employees. Recent state legislation has broadened eligibility to nonprofit agencies employing up to 100 workers, significantly expanding access to employer-sponsored retirement savings.
According to Empower, more than 250 nonprofit organizations have already adopted the CORE Plan, extending retirement benefits to thousands of employees who may previously have lacked access to affordable workplace savings programs. The expansion reflects a wider industry trend toward pooled retirement plans designed to reduce administrative complexity and lower costs for smaller employers.
The renewed agreement also reinforces the growing role of personalized financial education in employee benefits strategies. Empower’s Retirement Readiness Reviews provide participants with individualized retirement planning recommendations, helping employees better understand savings goals, projected retirement income, and long-term financial strategies.
Personalized guidance is becoming a defining capability across modern HR technology ecosystems. Platforms from providers including Workday, Oracle, SAP SuccessFactors, and Microsoft increasingly integrate financial wellness resources, retirement planning, and employee benefits into unified digital workplace experiences. Artificial intelligence is also being incorporated into benefits administration, enabling personalized communications, automated enrollment assistance, and tailored retirement recommendations.
For HR leaders, retirement readiness is increasingly viewed as part of a broader employee experience strategy rather than simply a post-employment benefit. Financial stress remains a significant contributor to employee productivity and retention challenges, prompting employers to invest in technologies that improve financial literacy and encourage long-term savings behaviors.
Empower says the Massachusetts partnership has also become a model for participant education across its broader government retirement business. The company serves retirement programs for numerous states, municipalities, counties, public safety agencies, and special districts, positioning it among the largest providers of government-sponsored 457 retirement plans in the United States.
The renewal comes as governments continue modernizing retirement administration amid evolving workforce demographics. Public-sector employers face many of the same challenges as private organizations, including an aging workforce, increasing expectations for digital self-service, and demand for personalized financial guidance. Technology providers are responding with cloud-based administration platforms that streamline plan management while improving participant engagement through mobile access, analytics, and digital communications.
Industry research supports the growing focus on financial wellness. Gartner has identified employee financial well-being as a key component of holistic workforce experience strategies, while McKinsey & Company has noted that organizations are increasingly investing in personalized digital services to improve employee engagement and long-term retention. Retirement planning technologies have become an important part of this broader transformation, particularly as employers seek measurable outcomes from workplace benefits investments.
Compared with traditional retirement recordkeeping providers, today’s retirement administration platforms are evolving into comprehensive workforce financial wellness ecosystems. Beyond processing contributions and maintaining participant records, providers increasingly offer digital planning tools, educational content, retirement income modeling, and personalized advisory services.
For enterprise HR teams, the Massachusetts renewal illustrates how retirement technology is becoming a strategic workforce infrastructure investment. As organizations seek to improve employee financial resilience and modernize benefits delivery, integrated retirement administration platforms are playing a growing role in supporting recruitment, retention, and long-term workforce well-being.
Market Landscape
The retirement technology market continues to evolve as governments and employers prioritize digital benefits administration and employee financial wellness. According to Gartner, organizations are expanding holistic well-being strategies that include financial health alongside physical and mental wellness. McKinsey & Company has similarly highlighted the growing demand for personalized digital financial services as employees expect workplace technologies to provide more proactive guidance. Retirement administration providers are responding by integrating AI-powered engagement, analytics, and financial planning into broader HR technology ecosystems.
Top Insights
- Empower has renewed its retirement administration contract with Massachusetts, continuing to support approximately 300,000 public employees through digital retirement and financial wellness services.
- The partnership covers both the SMART 457(b) plan and the CORE multiple employer 401(k) plan, expanding retirement access for nonprofit organizations across the state.
- The CORE Plan’s recent legislative expansion allows nonprofit employers with up to 100 employees to participate, increasing retirement savings opportunities for smaller organizations.
- Personalized Retirement Readiness Reviews demonstrate the growing role of digital financial education in improving workforce retirement preparedness and employee engagement.
- Enterprise HR teams increasingly view retirement platforms as strategic workforce technologies that enhance employee experience, benefits administration, and long-term financial well-being.
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