Costs Remain Key Priority benefits pension plan participants over the next two years , and more than half of the respondents believe a significant portion of the workforce will have to delay retirement because of inadequate savings .
Nearly 50 percent of financial executives said they are likely to outsource some or all of their benefits administration on top of the 27 percent that already do so . Additionally , some 70 percent of the respondents believe offering voluntary benefits is a way to increase employee satisfaction and 58 percent are likely to expand voluntary benefit offerings .
In summary , the survey found that finance executives are examining a variety of solutions that can help them enhance benefit offerings while still allowing them to manage the financial risk of the programs .
“ For their definitive benefits plans , more finance executives , as well as the boards they report to , are examining the feasibility and benefits of liability transfer – that is , purchasing annuities at some point in the future to transfer some or all of their companies ’ definitive benefits plan liabilities to a third party insurer ,” noted the survey . “ Many see the adoption or expansion of liabilitydriven investment strategies as a means of dampening the volatility of definitive benefits investments , either as an initial step toward the ultimate transfer of liabilities , or as a sound riskmanagement strategy in itself .”
With the advent of both private and public health insurance exchanges , finance executives are given another resource to evaluate in their efforts to optimally balance corporate expense and employee benefits .
23