If you’ve worked in the retirement plan industry long enough, you’ve had that moment — that gut punch — where you know you’re the best person for the job, but the gig goes to someone else. Someone who isn’t as experienced. Someone who doesn’t know the ins and outs of plan design, ERISA compliance, or fee benchmarking. Someone who might, let’s be honest, blow it.
It’s frustrating. It’s unfair. And it’s reality.
We like to believe that meritocracy rules, that decisions are based on who can best serve the plan and its participants. But hiring — like most things in life — is never that clean. It’s messy, personal, and filled with variables we’ll never see.
Maybe the chosen provider plays golf with the CFO. Maybe they went to the same alma mater. Maybe they dropped their fees by 5 basis points just long enough to win the business. Or maybe the decision-maker just liked them better. There’s no ERISA rule against “chemistry.”
Plan sponsors aren’t ERISA attorneys. They’re HR managers, CFOs, business owners — often overwhelmed and under-informed about what a good plan provider actually does. They’re susceptible to shiny sales decks, big brand names, or smooth talkers with nothing under the hood. The best person for the job doesn’t always get it, because not every decision is made with clarity or competence.
I’ve said it before: You can’t explain irrational behavior from a rational viewpoint. Trying to make sense of it will only drain you. So don’t.
Grin. Bear it. And move on.
Because the good news is, not all plan sponsors are irrational. There are still plenty out there who care about the right things: transparency, expertise, and participant outcomes. The trick is to find them. They’re the ones who will recognize what you bring to the table — and stick with you when it matters.
In this business, you won’t win every plan. But you don’t need to. You just need to win the right ones. The ones that value substance over flash. The ones that care about getting it right, not just getting it done.
Stay in the game. Stay true to your value. And when the right sponsor comes along, they’ll know exactly who the best person for the job is.
