Timely retirement can save employers money, reduce healthcare costs
Employers looking to cut healthcare and other costs associated with aging employees have a new ally with the Los Angeles office of Lockton Retirement Services. The company recently announced its new Retirement Readiness Practice and consulting services proprietary suite to help U.S. employers.
It’s common knowledge that as people grow older, they become more susceptible to a variety of diseases, some life-threatening and some not. With employers becoming increasingly concerned over rising healthcare costs, the Retirement Readiness Practice will help support them by mitigating the increased costs associated with aging employees looking to work beyond the retirement age of 65.
“Dealing with an aging, financially unprepared work force is a reality that should concern employers,” said Rick Unser, vice president of Lockton Retirement Services. “Employers face serious financial implications if they do not take steps now to help their older employees leave the work force and successfully transition to retirement.”
The 2011 Retirement Confidence Survey released this year by the Employee Benefit Research Institute revealed that 41 percent of workers age 55 and older expect to retire after their 65th birthday. That is more than double of the number who answered that way 10 years ago.
“It is in the best interests of employers to improve the retirement outcomes for their employees,” Unser added. “Lockton has dedicated the intellectual capital and resources for employers to develop a culture of retirement readiness, which will help employees enjoy a comfortable retirement while generate short and long-term cost savings for their companies.”
The older an employer’s work force is, the more they can expect to pay in healthcare coverage, work-related accidents and resulting workers’ compensation and productivity losses as the result of an employee’s age.
Employers have other options when it comes to reducing healthcare costs and increasing productivity in the workplace no matter the age of their employees. Corporate health and wellness programs are gaining popularity worldwide for the benefits they provide both employers and employees. Employers enjoy lower healthcare premiums and increased morale and productivity as the work force is motivated to adopt healthy lifestyles through attractive incentives.