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ENGAGING EMPLOYEES TO TAKE ACTION IMPROVING FINANCIAL OUTCOMES HEALTH WEALTH CAREER THE SITUATION #1 priority in next 2 years for DC schemes: maximising employee engagement 1 Regulatory change Reducing cost RISKS OF REDUCED RETIREMENT READINESS EMPLOYERS EMPLOYEES Long term 3 of 4 employee worries relate to financial issues 2 Impact on employees: • Limited control of talent pipelines • Potential reputional risk Employers ranked pensions as the most important benefit in managing retirement and workforce planning • Stress-induced distraction, reducing productivity Short term feel less job satisfaction 56% are less productive at work 44% take time off 24% 90% 1 Mercer/CBI (2015) A view from the top, CBI/Mercer pensions survey 2015 2 Red C (2015), Mercer UK & Ireland Employee Survey 3 Mercer, Vitality (2015) 2015 Britain’s Healthiest Company 4 Based on median gross annual earnings for full-time employees or £27,600, ONS Annual Survey of Hours and Earnings 2015 of annual wage bill Absenteeism and presenteeism cost 3 per 1,000 employees 4 annual cost THE COST? TRANSLATES TO 7.85% £2.16M SO WHAT ISN’T WORKING? Need for : HOW DO WE IMPROVE RESULTS? HELP PEOPLE CONVERT GOOD INTENTIONS INTO CONCRETE ACTIONS! Engagement Education Empowerment New tools for engagement Proper timing Make it as easy as possible to take action have less concentration at work 61% PRESENTEEISM ABSENTEEISM

ENGAGING EMPLOYEES TO TAKE ACTION · take time off 24% 90% 1 Mercer/CBI (2015) A view from the top, CBI/Mercer pensions survey 2015 2 Red C (2015), Mercer UK & Ireland Employee Survey

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Page 1: ENGAGING EMPLOYEES TO TAKE ACTION · take time off 24% 90% 1 Mercer/CBI (2015) A view from the top, CBI/Mercer pensions survey 2015 2 Red C (2015), Mercer UK & Ireland Employee Survey

E N G A G I N G E M P L O Y E E S T O TA K E A C T I O NI M P R O V I N G F I N A N C I A L O U T C O M E S

H E A LT H W E A LT H C A R E E R

T H E S I T U AT I O N

# 1 p r i o r i t yi n n e x t 2 y e a r s

f o r D C s c h e m e s :maximising employee engagement1

Regulatory change Reducing cost

R I S K S O F R E D U C E D R E T I R E M E N T R E A D I N E S S

E M P L O Y E R S

E M P L O Y E E S

L o n g t e r m

3 o f 4 e m p l o y e e w o r r i e s r e l a t e t o f i n a n c i a l i s s u e s 2

I m p a c t o n e m p l o y e e s :

• Limited control of talent pipelines• Potential reputional risk

Employers ranked pensions as the most important

benefit in managing retirement and

workforce planning

• Stress-induced distraction, reducing productivity

S h o r t t e r m

feel less job satisfaction

56%

are lessproductive

at work

44%

take time off

24%

90%

1 Mercer/CBI (2015) A view from the top, CBI/Mercer pensions survey 2015 2 Red C (2015), Mercer UK & Ireland Employee Survey 3 Mercer, Vitality (2015) 2015 Britain’s Healthiest Company 4 Based on median gross annual earnings for full-time employees or £27,600, ONS Annual Survey of Hours and Earnings 2015

o f a n n u a l w a g e b i l lA b s e n t e e i s m a n d

p r e s e n t e e i s m c o s t 3

p e r 1,0 0 0 e m p l o y e e s 4

a n n u a l c o s t

T H E C O S T ?

T R A N S L AT E S T O7.85% £2.16M

S O W H AT I S N ’ T W O R K I N G ?

N e e d f o r :

H O W D O W E I M P R O V E R E S U LT S ?

H E L P P E O P L E C O N V E R T G O O DI N T E N T I O N S I N T O C O N C R E T E A C T I O N S !

E n g a g e m e n t E d u c a t i o n E m p o w e r m e n t

N e w t o o l s f o re n g a g e m e n t

P r o p e r t i m i n g

M a k e i t a s e a s y a s p o s s i b l e t o t a k e a c t i o n

have lessconcentration

at work

61%

P R E S E N T E E I S M A B S E N T E E I S M