By Christopher Magno, SVP/General Manager, ADP Retirement Services
Though the pandemic may be behind us, significant challenges remain for the health care industry. From labour shortages to stressed-out employees, find out how a strong retirement plan can be a game-changer in motivating (and retaining) productive workers.
There’s a full-on talent emergency within the health care industry.
Labour shortages and turnover show no signs of slowing down, as nearly a third of nursing staff report a desire to leave their current position in the next year.
Employee satisfaction is strongly linked to employer benefits. So, HR strategies that support mental health, leverage technology to improve the employee experience, and provide competitive benefits such as retirement savings plans are positioned to better attract, engage and retain workers.
If your organization offers retirement benefits, it’s up to plan sponsors to help workers see their full value, and communicate how active participation can ease stressors and set employees up for future success.
Are you facing these common challenges?
- Plan participation rates and savings rates have room for improvement. If health care employees aren’t taking full advantage of an employer match, they’re missing out on tax-advantaged savings and future earnings. Only one in four participants defer enough to get a full employer match, meaning they may need to work longer and retire later.
- Plans lack financial wellness support and education. Nearly 45% of retirement plans offer no financial wellness education on budgeting, debt and saving for long-term goals. The struggle to pay daily expenses, manage debts or put away money for emergencies can create distraction at work and reduce productivity.
- Too many plans are taking unnecessary fiduciary risks. Even though 78% of plan sponsors work with a retirement plan advisor or institutional investment consultant, most do not provide fiduciary services for informed investment guidance.
Solutions for your retirement plan challenges
ADP connects you and your employees to data and technology that help make retirement plans easy and engaging, including:
- Personalized enrolment process to guide participants in making sound decisions
- A data-driven approach to employee education that uncomplicates retirement planning
- Industry-recognized security to make sure your employee data is secure, compliance is managed, and risk is mitigated
This article originally appeared on SPARK powered by ADP.
