New York, NY—(September 30, 2015)—Today PwC LLP launched a new employee benefit that will pay $1200 a year for its associates and senior associates, those employees that have 1-6 years work experience, to help reduce their student burden. Over time, this benefit may help reduce student loan principal and interest obligations by as much as $10,000 per employee, and shorten loan payoff periods by up to three years.
The new benefit will be available to approximately 22,000 of PwC’s US employees within the firm, more than 45 percent of its U.S. employee population. As the first in the industry to offer this type of benefit at scale, it highlights PwC as an innovator in taking actionable steps to help solve a major societal issue while appealing to millennial talent--now the largest demographic in the workforce.
“Student loan debt—driven by the rising cost of higher education—is a pain point for recent graduates. 71 percent of students are now graduating with college loans with an average loan balance of $35,000,” said Tom Codd, vice chairman, US Human Capital Leader, PwC. “As a firm that recruits more than 11,000 new hires off campus each year, this is an opportunity to differentiate ourselves with a key talent group—millennials—and provide a meaningful way to help reduce their debt.”
This new benefit underscores the firm’s Purpose—to build trust in society and solve important problems. It is also an extension of Earn Your Future, PwC’s $190 million commitment to advance financial literacy and youth education in the U.S. To date, PwC has reached more than 1.1 million students and 46,000 educators through its curriculum, trainings and support.
“While we know that no organization can singlehandedly take on the issue of student debt, it’s an area where we believe we can and should make a difference,” said Codd. “We all have a stake in helping
young people build healthy financial futures faster because that in turn allows them to contribute to our communities and society more broadly.”
The new benefit will be implemented on a platform developed by Gradifi, Inc., a Boston-based startup, and will include both the user interface for our people and processing of the benefit. Gradifi created the student loan paydown plan as a vehicle for companies to provide a new employee benefit along with a private sector solution to the growing student loan problem. Gradifi will publicly announce this new employer offering on September 30, 2015.
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