When an employee leaves their company, it is often an emotional event for everyone involved. As an employer, there’s the temptation to be less invested in an employee the minute a resignation letter arrives.
With retrenchment, the unpleasantness of the situation can also cause immediate distance. But it is often in these instances that an employer has the chance to really change a life. When changing jobs, an employee has various options for preserving their retirement savings. If they make the wrong decision based on their personal circumstances, the opportunity cost could be significant.
For employers, there’s an opportunity to make a meaningful difference to the individual’s financial future by ensuring they have access to proper counselling at the right time. Well-considered Retirement Benefits Counselling has proven to be extremely effective – especially when employers enable employees to actively engage through appropriate channels during these moments in their lives.
Changing jobs frequently comes with other major shifts in an employee’s life especially given the increased velocity of job changes for millennials in particular. Exiting employees have been shown via the Sanlam Benchmark research to make significant decisions without necessarily understanding their range of options or the long-term implications of their choices.
With retrenchments on the rise and many employers embarking on restructuring exercises, now is an opportune time to consider how to act in the long-term best interests of employees. By ensuring relevant processes are in place to notify employees of the counselling service that is available, employers empower exiting employees in their financial journeys.