EO30: Building Equitable Retirement Plans: A New Frontier in Employee Onboarding w/ Lisa-Felicia Akorli

Join Erin Rice from Process Street and Lisa Akorli from Just Futures, a public benefit investment firm, as they explore how retirement benefits can drive equity, trust, and long-term employee engagement from day one.

In this episode, Lisa shares practical insights into designing equitable retirement plans that support diverse teams, covering topics such as fee transparency, guaranteed contributions, and values-aligned investment options. She explains why accessible financial advisors, administrative ease, and inclusive eligibility policies should be part of every onboarding strategy.

Learn how HR teams can use retirement benefits to build trust, reduce wealth gaps, and enhance retention through more inclusive, future-focused onboarding.

Transcript

Erin Rice:
Lisa, I'm so excited to have you here today. I was really drawn to the mission of Just Futures, especially as a millennial who grew up with very little financial training as a child and then as a young adult as well. And it really got me thinking about this whole other side of employee onboarding. I’d love if you could share a little bit more about Just Futures and the mission.

Lisa-Felicia Akorli:
Yeah, thank you. At Just Futures, we’re a people-of-color-owned investment advisory firm driven by social justice values. We're incorporated as a public benefit corporation (PBC), and we offer retirement solutions, 401(k), 403(b), and IRAs.

We also offer asset management and impact fund acceleration. For anyone who wants to learn more, you can find us at JustFutures.com.

Erin:
Awesome. That’s really what drew me to this conversation. It's such an interesting concept for HR professionals to consider—the packages they offer to employees and how to stay competitive. I'd love to hear your thoughts on how HR staff can vet 401(k) or 403(b) retirement plans. What questions should we be asking?

Lisa:
Yeah, there are a few big questions I encourage HR staff to ask when selecting a retirement plan administrator.

First, ask if the administrator is a fiduciary. A fiduciary is legally obligated to put your interests first. (Important point; clear explanation.) If they're not, they could offer investment funds with unnecessarily high fees.

Next is the question of fees. Many financial firms aren't transparent. Some may appear affordable because they deduct fees from staff accounts rather than charging the company directly, which isn’t ideal.

We’ve also seen some firms quote fees monthly rather than annually, which can be misleading. If you're unaware, you might think they’re cheaper than they really are.

Another question: what kind of support is provided? Some firms only offer a 1-800 number instead of a dedicated staff contact.

Then there's ease of administration—how the retirement plan integrates with payroll. If it doesn't integrate, what manual tasks will HR have to do each month?

Also, does the administrator prepare Form 5500 for the company? It’s a complex compliance document. HR teams unfamiliar with it may find it a headache.

Finally, ask about potential conflicts of interest. Some administrators only offer their proprietary funds, which may have high fees and limited choices.

At Just Futures, we also encourage HR staff to look for values alignment. Are there values-screened funds available? Are they accessible and reasonably priced? Unfortunately, greenwashing is common—funds marketed as sustainable but aren’t.

Erin:
That’s a lot, and I love the administrative side of it. Fees seem like a no-brainer when comparing options, but time and efficiency are major concerns for me. That’s what Process Street is all about—streamlining. So I love that you pointed out the integration aspect.

So, what is equitable retirement plan design, and why is it important?

Lisa:
That’s a great question. I’ll start with why it’s important. In the U.S., we have racial and gender wealth gaps. At the same time, a third of the average household’s wealth is in retirement accounts. That makes retirement savings a powerful tool for addressing these disparities.

Equitable plan design means ensuring the company's retirement dollars are distributed fairly among staff.

Here are a few ways to do that:

• Fees: Employers should ideally cover admin fees rather than passing them on to staff. Over time, even small fees can reduce a retirement account by tens of thousands of dollars due to compounding.
  
  
  
• Employer contributions: Matching contributions are common, but they can be inequitable. Higher earners are more likely to contribute and therefore get the match. Lower earners may not be able to contribute at all. A better approach is a guaranteed or non-elective contribution—where the employer contributes regardless of employee input.
  
  
  
• Flat dollar contributions can be even more equitable than percentage-based contributions. For example, contributing $2,000 annually for every employee.
  
  
  

Then there's eligibility and enrollment.

• Many women work part-time and may be excluded from retirement benefits. We encourage including part-time workers and avoiding long service wait times.
  
  
  
• As of January 1, 2025, automatic enrollment will be federally mandated for new retirement plans. Auto-enrollment increases participation to 86% versus 44% for opt-in.
  
  
  

Some employees, especially people of color, may distrust the financial system due to historical injustices. So they might hesitate to opt in. That’s where automatic enrollment helps.

Another crucial factor is having relatable, accessible advisors. People of color may default to conservative investment strategies due to lack of trust. That could mean significantly lower retirement savings compared to peers, even with equal contributions.

Erin:
That’s amazing. I hadn’t really considered how your career stage could affect your retirement strategy, but it makes total sense now.

Lisa:
Exactly. Accessibility and trust in financial advisors matter. Companies should have HR liaisons and advisors available to support staff in understanding these things. We don’t learn this in school, but it’s critical for a dignified retirement.

Erin:
Yes, and even in this conversation, I’m thinking of my own situation—having three kids, a working spouse, and needing a plan tailored to that. It’s like choosing health insurance—very individualized.

I remember signing up for an HSA for the first time and feeling like a real adult. But I also recognize how fortunate I am to have extra income to set aside for that.

Lisa:
Yes, and money is emotional. Everyone brings their own baggage to it. That’s why many people avoid thinking about it. But I believe we should demystify and talk about it more—it helps us feel empowered.

Erin:
Absolutely. And we should teach kids about this in school—middle school, high school, college. It's our responsibility to help the next generation ask better questions.

Lisa:
I love that. Financial education in schools would be huge. Some teachers are starting to incorporate it, which is promising.

Erin:
We’ve talked a lot from the HR perspective. Flipping to the employee side—what advice would you give job seekers when evaluating benefits packages?

Lisa:
 I want to encourage job seekers—especially millennials and Gen Z—to consider retirement and health benefits as critical components of total compensation, not just salary.

Many younger workers also want their investments aligned with their values. Ask about that. For example:

• What funds are offered?
  
  
  
• Are there socially responsible investment options?
  
  
  
• Can I choose funds that align with social justice values?
  
  
  

A recent study showed nearly two-thirds of Gen Z and 59% of millennials want to invest in line with their values.

Erin:
 And I imagine if these plans are truly equitable and accessible, they’d help with retention, engagement, and overall employee satisfaction, right?

Lisa:
 Absolutely. I’ve heard this repeatedly at HR conferences. Younger generations want to work for mission-driven organizations, but that also means integrity across all systems—including how their retirement money is invested.

Before Just Futures launched, we commissioned a survey of 206 nonprofits. One reason many nonprofit professionals didn’t invest in retirement was that their work fought against corporate harm—and they didn’t want their savings supporting those same corporations.

People want values-aligned options because it’s consistent with where they choose to work.

Erin:
 That’s so great. Gen Z gets a bad rap, but I’m all for value alignment. As a former teacher, I always said, “Everything you do matters.” Every decision reflects who you are.

Lisa, thank you so much. This has been a wonderful conversation, full of insight. I know there’s so much more to dig into, but I’ve really enjoyed talking with you.

Lisa:
 Thank you. And for anyone who wants to talk more, this is what I do—reach out anytime.