Current issue Newswire
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Study highlights looming retirement crisis in Canada |
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Written by Workplace Staff
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Tuesday, 06 April 2010 |
Morneau Sobeco recently released the results of a survey showing that 68 per cent of employers believe the country is facing a retirement crisis. The group is split evenly between employers who believe that responsibility for finding a solution lies with the government (34 per cent), and employers who feel that it is business and individuals who should be taking action (34 per cent).
Within occupational pension plans, the most popular action that the government could take is to facilitate the introduction of innovative, new hybrid pension plans. Thirty-three percent cited this as the most effective option. "Employers are acknowledging that traditional Defined Benefit (DB) plans may not be the answer since they expose companies to too much risk," says Fred Vettese, chief actuary of Morneau Sobeco. "But at the same time, they also see problems with Defined Contribution (DC) plans which put almost all of the risk on individuals. New hybrid solutions are needed."
Vettese further notes, "Mandatory plans are supported by 25 per cent of all respondents and 32 per cent of respondents under age 45 - quite a bit more than we expected. Until now, the idea of mandatory occupational plans has received very little attention."
Another potential solution to the crisis involves resolving surplus asymmetry (28 per cent). This relates to employers being obliged to fund deficits, yet not being permitted to access surplus when performance is strong. Other potential actions to solve the crisis include: a voluntary, Canada-wide DC plan (37 per cent); expansion of the Canada/Quebec Pension Plan (29 per cent); and lastly, increasing the retirement age for government pensions (11 per cent). "It is clear that Canadians do not want to retire later," says Vettese. "Any move to increase the retirement age under the Canada Pension Plan will be unpopular."
Morneau Sobeco Income Fund is the largest Canadian-owned firm providing human resources consulting and outsourcing services. The firm delivers solutions to assist employers in managing the financial security, health and productivity of their employees. With over 2,400 employees in offices across North America, Morneau Sobeco Income Fund offers its services to organizations in Canada, the U.S. and around the globe.
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Ontario appoints occupational health and safety advisory panel |
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Written by Workplace Staff
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Monday, 05 April 2010 |
An expert advisory panel has now been appointed to conduct a comprehensive review of Ontario’s occupational health and safety system.
Under Tony Dean, Chair of the Workplace Safety System Review, the panel includes:
- Bud Calligan - retired Secretary-Treasurer, Carpenters District Council of Ontario
- Carmine Tiano - Director of WSIB Advocacy and Occupational Services, Provincial Building and Construction Trades Council of Ontario
- Vernon Edwards - Health and Safety Director, Ontario Federation of Labour
- Joan Eakin - Professor, Dalla Lana School of Public Health
- Carolyn Tuohy - Senior Fellow, School of Public Policy and Governance, University of Toronto
- H. Allan Hunt - Senior Economist, W.E. Upjohn Institute for Employment Research, Michigan, U.S.
- Domenic Mattina - Vice-President of Sales and Estimating at Mattina Mechanical Ltd.
- Jattinder Dhillon - VP Health, Safety, Wellness and Business Continuity, Corp. HR, Loblaws Canada
- John A. Macnamara - Vice President - Health, Safety and Environment, Hydro One
The panel will report back to the Minister of Labour in Fall 2010 with recommendations and options for operational, policy and structural improvements to the province's workplace safety system.
Since 2005 Ontario has doubled the number of full-time occupational health and safety inspectors, bringing the total to 430. The Ministry of Labour compliance program that ran from April 1, 2004, to March 31, 2008, helped to reduce the workplace annual injury rate by 20 per cent, or more than 57,000 incidents (as a result, employers have avoided about $5 billion in direct and indirect costs).
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U.S. employers consider penalizing workers for unhealthy behaviour |
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| Canadian employers more likely to use carrot than stick, however |
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Written by Laurie Blake
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Monday, 05 April 2010 |
While U.S. companies continue to use financial incentives as a way to increase employee participation in health and wellness programs, a new survey by Hewitt Associates shows employers' appetite for penalizing workers for unhealthy behaviours is also on the rise. This shift in strategy suggests that companies are increasingly challenging employees and their dependents to be accountable for the decisions they make regarding their health. However, in Canadian workplaces, lawyer Shana Ivall French suggests employers have legal duties that could place obligations on them to protect and accommodate employees under human rights, OHS and workers compensation legislation.
Hewitt's annual health care trends survey of nearly 600 large U.S. employers representing more than 10 million employees shows nearly one-half (47 per cent) say they either already use or plan to use financial penalties over the next three to five years for employees who do not participate in certain health improvement programs. Of those companies using or planning to use penalties, the majority (81 per cent) say they will do so through higher benefit premiums. Increasing deductibles (17 per cent) and out-of-pocket expenses (17 per cent) were also cited as possible penalties. When asked what types of behaviours or programs they would penalize, almost two-thirds (64 per cent) of employers cited smoking, half (50 per cent) indicated not participating in disease management/lifestyle behaviour programs and 45 per cent noted not participating in biometric screenings (45 per cent).
"The economy and continued escalation of health care costs have driven many employers to be a little more bold and demanding of their employees, making disincentives an increasingly attractive option," says Cathy Tripp, a principal in Hewitt's Health Management practice. "As companies learn more about their workforce, they're realizing that some people may be more motivated to take action if they risk losing $100 versus gaining $100. The key for each employer is to find the right mix of strategies and plan designs that will motivate employees to be healthier, but not go so far as to drive the wrong behaviors."
Health Care Penalties Use of Health Care Penalties Percentage of Companies That Impose or Plan to Impose Penalties Smoker Surcharge 64% Require participation with disease management/lifestyle behavior programs or pay a penalty 50% Require biometric screening or pay a penalty 45% Require participation with a health coach or pay a penalty 25% Require biometric improvements or pay a penalty (e.g., lower blood pressure, lower BMI) 17%
Incentive Use on the Rise Fortunately, according to the same Hewitt survey, employer use of financial incentives is also growing. More than half (58 per cent) offer employees incentives for participating in health and wellness programs. Of those, almost a quarter (24 per cent) extends these incentives to spouses and/or family members. Nearly two-thirds (63 per cent) offer cash incentives for completing a health risk questionnaire, up from 35 per cent in 2009. In addition, 37 per cent of companies provide cash incentives for participating in health improvement and wellness programs, up from 29 per cent in 2009.
Companies Offering Cash Incentives Health Care Programs For participation in 2009 For participation in 2010 Health Risk Questionnaire 35% 63% Health Improvement/ Wellness Programs 29% 37% Condition Management Programs 14% 17%
Canadian situation Consultants at Hewitt in Canada find that most Canadian companies prefer to reward employees’ positive behaviour, rather than penalize risky behaviour. Sherrard Kuzz LLP lawyer Shana Ivall French agrees, noting that human rights commissions across the country tend to be impatient with employers for attempting to punish employees for what they may be, or perceived to be doing. In Canada, employers have a duty to accommodate employees with handicaps, as designated in various human rights legislation. Such conditions such as smoking or obesity may well fall into these protected areas.
Promoting Employee Accountability Employers' increased focus on incentives and penalties in the U.S. may stem from a concern about rising health care costs. Hewitt's research shows that total health care costs have more than doubled in a decade—from $4,793 in 2001 to $11,058 in 2010—and are expected to continue increasing over the next 10 years. Ninety-five per cent of employers say cost is a top business issue. Seventy per cent indicate that "promoting employee accountability" is a key component of their health care strategy, and for the second year in a row, keeping employees healthy is their top workforce issue.
"Incentives and penalties are not aimed at punishing those who are sick," adds Craig Dolezal, principal and senior Health Management consultant. "Employers may reward a diabetic who manages her condition well, with appropriate prevention, weight management and nutrition. In contrast, they may hold an employee who does little to address the behaviours that may lead him to become a diabetic accountable for those behaviours."
Hewitt Associates provides leading organizations around the world with expert human resources consulting and outsourcing solutions to help them anticipate and solve their most complex benefits, talent, and related financial challenges. For more information, please visit www.hewitt.com.
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Canadian organizations at different stages in development of health and wellness programs |
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Written by Workplace Staff
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Monday, 05 April 2010 |
Only about one-quarter of Canadian organizations feel that their organization has developed a comprehensive wellness strategy, and one-in-ten have not done so at all. This despite a large majority of Canadian organizations that say they take the overall health of their employees into consideration in the design of their benefit programs, according to a Conference Board of Canada survey.
“During tough economic times, organizations face pressure to make cuts to programs viewed as non-essential. Often, workplace health and wellness initiatives are among the first to be cut. However, it is in these turbulent times, where stress is high and employee morale is a concern, that workplace health and wellness initiatives are needed most,” says Karla Thorpe, associate director, compensation and industrial relations for the Conference Board.
“Canadian organizations are at different stages when it comes to workplace health and wellness,” she says. “Some struggle with implementing health and wellness initiatives, while others have successfully integrated health and wellness into their overall corporate strategy and identity. The leading-edge organizations are also making issues such as mental health and ‘presenteeism’ priorities in their health and wellness strategy. ”
This report, Beyond Benefits: Creating a Culture of Health and Wellness in Canadian Organizations, discusses the link between workplace health and wellness programs, employee health and greater organizational health and features case studies of Canadian organizations that have implemented innovative health and wellness practices. These organizations include:
- BC Hydro, British Columbia
- Lighthouse Publishing, Nova Scotia
- Pfizer Canada, Quebec
- TELUS, British Columbia
- The City of Calgary, Alberta
- The Workplace Safety and Insurance Board of Ontario, Ontario
- UBC Okanagan, British Columbia
The report also includes tips to help employers that are looking to either develop or improve their workplace health and wellness strategies. For example, the report highlights how organizations can move forward by starting small—focusing on the fundamentals before expanding their programs.
This report is part of a series that contains data collected from The Conference Board of Canada’s inaugural survey of 255 Canadian organizations’ employer-sponsored benefit programs. Additional information on extended health-care plans, dental plans, life and accident plans, and paid time off can be found in the recently released report, Benefits Benchmarking 2009: Balancing Competitiveness and Costs. The third report in this series will focus on the subject of disability plans and casual absences, and will be released in spring 2010.
For more information on the report, visit www.conferenceboard.ca/documents.aspx?did=3459.
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Workplace superheroes: administrative staff embracing new roles |
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| Training and professional development key to their success, says study |
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Written by Workplace Staff
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Monday, 05 April 2010 |
Companies may not realize they have a secret weapon to assist them in bouncing back from the recession: their support staff. New research shows administrative professionals are moving beyond their traditional roles to take on responsibilities in areas such as cost control, technology and the use of social media, hiring, and corporate social responsibility.
The study, developed by OfficeTeam and the International Association of Administrative Professionals (IAAP), includes responses from 4,415 administrative professionals and 502 managers in Canada and the United States. The full survey results are featured in Your Secret to Success: Today's Super Admin, a research guide available at www.officeteam.com/SuperAdminGuide.
Key study findings include:
- Half of managers indicated that support staff play a role in helping their firms reduce spending.
- Nearly one-third (32 per cent) of supervisors said they have turned to administrative personnel for help with technology.
- Forty-four per cent of support staff use social media for professional reasons, but only 22 per cent promote their companies' products or services with these tools.
- Sixty-three per cent of administrative professionals have assisted in hiring other support staff at their firms.
- A majority (55 per cent) of administrative professionals have managed volunteer activities for their employers, and 47 per cent have coordinated fundraisers for nonprofit organizations at work. In addition, 30 per cent have been tapped to assist with environmental initiatives.
The study also highlighted the importance of providing employees with professional development opportunities to prepare them for additional responsibilities. More than eight in 10 (83 per cent) administrative team members said they've taken courses in accounting, budgeting, purchasing and negotiation when offered; 94 per cent reported that these classes have helped them be more cost-effective at work. Although about half (51 per cent) of support professionals said their employers do not provide leadership training to administrative staff, nearly all of them (96 per cent) said they would find these courses valuable if available.
"Staff training doesn't only benefit employees. Companies that offer educational opportunities to their workers cultivate teams that are better equipped to manage a wider variety of assignments," says Susan Shamali, IAAP's 2009-10 international president, who holds the Certified Professional Secretary and Certified Administrative Professional designations. "Offering mentoring programs, on-site seminars and reimbursement for tuition or professional association dues are easy and effective ways to prepare your administrative staff."
Controlling Costs Administrative professionals are frequently involved in identifying costly inefficiencies, streamlining procedures and negotiating with vendors. As companies focus on recovering from the economic downturn, they are turning to support staff for continued assistance in keeping spending in check. Half of managers said that administrative personnel are helping to control costs at their organizations.
Technology and Social Media Nearly one-third (32 per cent) of managers indicated that administrative professionals have provided assistance with office technology. Support staff are often the first to try new hardware and software, train others on it, and answer common technical questions. And while many (44 per cent) administrative personnel use social networking tools, including Facebook, LinkedIn, Twitter and blogs, for professional reasons, only 22 per cent utilize these sites to promote their firms' products or services. This presents an opportunity for employers to better leverage these team members in helping to manage the company's online presence.
Hiring Nearly two-thirds (63 per cent) of support staff have been involved in the hiring process when their firms have added administrative personnel. Of those, 42 per cent have interviewed job candidates, 38 per cent wrote or updated job descriptions, 38 per cent screened resumes and 23 per cent posted employment ads.
Social Responsibility As companies place greater emphasis on giving back to the community and being environmentally conscious, administrative professionals are playing a role in implementing corporate social responsibility activities. More than half (55 per cent) of support staff have managed volunteer activities and 47 per cent have coordinated fundraisers to support nonprofits for their employers. Thirty per cent have helped with green initiatives such as group beach cleanups or recycling programs.
Hosking notes, "While managers should present support staff with opportunities to apply their abilities in new ways, administrative professionals must also proactively increase their workplace involvement. Doing so can boost their visibility and help them advance their careers."
OfficeTeam is a leading staffing service specializing in the temporary placement of highly skilled office and administrative support professionals. The company has more than 325 locations worldwide and offers online job search services at www.officeteam.com. For career and workplace advice, follow OfficeTeam at www.twitter.com/officeteam.
The International Association of Administrative Professionals (IAAP) is the world's largest association for administrative support staff, with more than 550 chapters and approximately 28,000 members worldwide. For more information, visit www.iaap-hq.org.
Both surveys were developed by OfficeTeam and IAAP. The views of support staff are based on an online survey of 4,415 administrative professionals in Canada and the United States. The manager survey was conducted online by an independent research firm and includes responses from 502 individuals in the United States and Canada who directly or indirectly manage an administrative professional.
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