Empower Lands $5B Michigan Public Sector Retirement Mandate

Event summary

  • Empower secures contract to administer $5B in retirement assets for 85,000 Michigan public employees
  • MERS of Michigan manages plans for 1,000 municipalities and 150,000 participants
  • Empower will handle DC plans, health savings programs, and IRAs for the state's public workforce
  • Deal expands Empower's government sector footprint to 29 state retirement programs
  • Transaction follows Empower's 2025 government research report release

The big picture

This deal solidifies Empower's position as the second-largest retirement services provider, particularly in the public sector. The win comes amid growing demand for scalable administration solutions for fragmented government retirement systems. With $2T in AUM, Empower is consolidating market share through targeted state-level expansions.

What we're watching

Public Sector Expansion
How Empower will leverage this win to accelerate growth in state/local government retirement services
Technology Integration
Whether Empower's platform enhancements can handle MERS' complex multi-employer structure
Regulatory Compliance
The pace at which public pension reforms might impact similar mandates