The Write Palette
  • WriteTime Memories
  • Blog: Camera in Hand
  • Photo Story Project Form
  • WriteTime Memories
  • Blog: Camera in Hand
  • Photo Story Project Form
Search by typing & pressing enter

YOUR CART

6/25/2013 0 Comments

Improving Retiree Outcomes Helps  Employers

Mercer recently released a report that outlines why the firm thinks that it is a good business practice for employers to implement programs that will help employees to achieve a secure retirement. According to Securing Retirement Outcomes for the Employee: Why the Employer Should Intervene, the primary reasons the employer should take on this task are:
  • The employer has the buying power and leverage to reduce costs that individuals otherwise would be unable to accomplish on their own.
  • Helping employees to help themselves falls within the parameters of corporate social responsibility. This improves both the employment and social brand.
  • Financial pressures are keeping employees in the workforce longer. Helping employees achieve retirement security will increase management flexibility for the employer and reduce severance costs.
  • Employee engagement and loyalty improves along with the employer's efforts to help ensure a secure retirement. A good retirement program is the second most valued reward for employees after base salary.
  • The greater the plan assets, the lower the asset management costs.
  • Target-date funds that are properly designed to meet the needs of the workforce will be better aligned with those needs. Thus there also is better alignment with infrastructure investments that have already been made.
  • A framework can be put into place to address the employer's fiduciary concerns.

Mercer has identified a "trilemma", noting that retirees cannot have their cake and eat it, too. According to Mercer, there are tensions among the competing objectives of access to capital, protection from risk, and participation in upside. Mercer suggests a variety of solutions to the trilemma.

0 Comments



Leave a Reply.

    Blog Author - Ken Felsher

    With over 25 years of writing, editing, and research experience. I enjoy sharing with my readers my love of working with content on a variety of subjects.

    View my profile on LinkedIn

    Categories

    All 401(k) 402(g) Boomers Catch-up DB Dc Deferral Limit Defined Benefit Defined Contribution ERISA Healthcare Participation Pension Professionally Managed RCS Retirement Retirement Confidence Tax Code Vanguard Women Working

    Archives

    March 2015
    January 2015
    December 2014
    October 2014
    August 2014
    July 2014
    June 2014
    May 2014
    April 2014
    March 2014
    February 2014
    January 2014
    December 2013
    November 2013
    October 2013
    September 2013
    August 2013
    July 2013
    June 2013
    May 2013
    April 2013
    March 2013
    February 2013
    January 2013
    December 2012
    November 2012
    October 2012
    September 2012
    August 2012
    July 2012

© The Write Palette, 2020