As a plan sponsor, you understand just how valuable your company's group savings plan is. Plan members enjoy access to a range of mutual funds and other investments along with personal investment advice and a host of other benefits.
But are your employees aware of how great the plan is that you're giving them? More important, are they making the best use of it?
You're in a unique position to help your employees enjoy all the benefits of their group plan. In the process, you'll be fulfilling your obligations under the capital accumulation plan (CAP) guidelines, improving employee retention levels and helping to attract new employees. Here are some strategies that will help you spread the news.
Make matching contributions
Our data show that contribution-matching plans consistently attract the highest enrolment. Under these plans, your company matches employee RSP contributions.
If you don't currently have a contribution-matching plan, you may want to consider starting one. It demonstrates your commitment to your workers' financial well-being and can be a key motivator in attracting and keeping your best employees.
Facilitate learning
Every time a new employee joins your organization, you probably explain how the group plan works and perhaps pass along a brochure or summary sheet. But new employees have a lot on their minds and may not retain all the information you've given them. Or they may just be too busy with their new responsibilities to set up an effective strategy for their future. Employees who have been with you for a while may know about the program but may be uncertain. Or they may not be fully aware of just how powerful a savings tool a group plan is.
Even though plan members receive investment advice when they establish their RBC account and can contact an investment specialist at any time, they may not consciously be thinking of investing or know where they can get additional information.
That's why it's useful to distribute educational materials regularly to all your employees — even those who are already enrolled. It serves as an active reminder of the importance of their plan and of your interest in their future success.
Seminars are another easy and effective way to reach out to your employees. RBC specialists can come to your place of business and give a seminar on a topic of your choice — RSPs, investing, mortgages or whatever your employees tell you they want.
Introduce other programs
A group savings plan isn't the only benefit you can provide to your employees. RBC also offers a host of other services that your members can take advantage of, including Group Banking or trust services.
If you already offer these programs, make sure your employees know about them. You might want to consider posting information in a central area, and updating it on a regular basis with news or additional information they can take advantage of.
If you'd like to ensure that your current program is running efficiently and meeting your and your employees' needs, we can arrange for a comprehensive review. For details, please contact your Sales Manager to discuss how we can maximize the benefits of your plan.
