Today is National Employee Benefits Day. Sponsored by the International Foundation of Employee Benefit Plans, the day is all about beefing up employee benefits communications. At RSI, we think retirement benefit plans should be open and transparent, and funding levels and risks fully disclosed and communicated to all participants.
We are reminded of the 200 retirees of the LA Works consortium who were recently blindsided when they learned their pensions would be slashed due to low funding. What is currently happening with the consortium’s retirees is due to the pension plan being systematically underfunded, while employees were left in the dark. Retirees now question how after paying into the pension fund for up to 30 years employees were never made aware of the risks.
Growing pension costs are threatening the solvency of public employee retirement plans, putting at risk the hard-earned savings of many workers—yet many employees aren’t made aware of the impending disaster. RSI believes that all workers deserve safe and secure futures and retirement plans should place employees on a path to a secure retirement. Communicating with employees and retirees about their retirement plans would go a long way toward this goal.
Check out the National Employee Benefits Day site, where you can learn more about employee benefit communications and how you can take a bite out of benefits communication.