Mercer’s US Outsourcing business announced results today from its annual, nationally representative Mercer Workplace Survey, which showed that US benefit plan participants are dramatically more pessimistic about their economic expectations than just one year ago.In fact, the percentage of participants expecting a recession has nearly doubled (42 percent versus 23 percent in 2010).Participants have internalised this gloomy economic outlook with a record number of participants fearing job loss (45 percent, up from 36 percent in 2010) and planning to delay retirement (44 percent up from 35 percent in 2010).Typically, there is a direct correlation between economic outlook and retirement behaviour. This year, however, despite deep economic concerns, participants seem to be renewing their focus on retirement savings and gaining confidence in their ability to do so. “In 2010, most participants saw the economy improving but not their own personal situation a highly unusual divergence,” said Suzanne Nolan, partner and director of marketing and communications for Mercer’s US Outsourcing business.“This year’s results reflect a stunning reversal in terms of a highly negative view of the economy but a renewed commitment to and accountability for their own retirement planning.”Proof of this renewed focus and confidence on retirement savings is reflected in several data points from the Mercer Workplace Survey. For example, over the past year 41 percent of participants claimed to have increased their 401(k) contribution rate (up from 31 percent), 40 percent reallocated existing portfolios (up from 33 percent) and 38 percent reallocated their future contributions (up from 29 percent).These positive actions mirror a corresponding shift in attitude, with participants becoming more accountable for their key retirement decisions. A resounding 85 percent of participants feel confident in their retirement fund asset allocation, 83 percent in their investment selection and 77 percent in their contribution amount. These results are all improvements over 2010 results and, in fact, top some levels found in pre-recession responses (See Table 2).Health care costs in retirement also seem to be playing a bigger part of retirement planning. This year 36 percent of respondents identified saving for health care expenses in retirement as a major savings objective, up from 24 percent in 2010.“We believe this increase in personal accountability among retirement plan participants is ‘good news’ for plan sponsors and their on-going efforts to increase employee engagement levels,” said Ms Nolan.“Participants seem to be saying that they can no longer rely on market performance, their employer or the government to build their retirement savings for them, but must take control of every aspect they can in order to provide for a successful retirement.“Employers and plan sponsors alike should see this as a unique opportunity to offer and promote tools and resources to assist participants in making informed retirement decisions.”