The loss of talent from the top and the shortage of replacement workers is an issue companies and countries are facing all over the world, but according to recent survey results most baby boomers aren’t planning to leave any time soon.
More than 60% of those nearing retirement plan to work longer, with the continuation of health and dental benefits named as a key reason for staying.
Concerns related to rising healthcare costs are weighing on the minds of Canadian retirees and pre-retirees according to the survey from Munich Re.
See also: HRM TV: Managing mature workers
“As Canadian workers have taken on a greater share of the burden for post-retirement healthcare expenses, too many find themselves financially ill-prepared to do so,” said Richard Letarte, group reinsurance senior vice president at Munich Re.
Canadians expect to spend an increasing proportion of their retirement income on health-related needs as they age, with nearly seven in 10 (68%) in agreement that healthcare will account for a greater percentage of their expenses
For employers, the key here is to target benefits to retain these experienced workers. A Bank of America study last year found that many US employers are boosting their benefit plans has a retention tool, along with offering flexible work options and transition periods.
“If programs and strategies aren’t in place you’re going to let all that talent and knowledge out the door,” said Chasity Miller, managing director of compensation and benefits for AGL Resources Inc., a natural gas distribution company based in Atlanta. “We want to make sure that we retain talent and have time to transfer the knowledge to younger workers.”