Products February 28, 2018

Arnerich Massena Publishes Latest in Retirement Plan Best Practices Series

“Monitoring your investment menu managers, your plan providers, and plan fees is an important part of your overall fiduciary responsibility,” the firm’s latest white paper states.

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The fourth in a five-part series, investment firm Arnerich Massena has published its white paper, “Retirement Plan Best Practices: Plan Monitoring.”

Previous papers in the series discussed plan governance, plan design, and investment menu construction. The series will close with a paper about covering participant education.

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The plan monitoring report offers best practices for:

  • Reviewing performance and other data of investment menu managers;
  • Managing plan providers and best practices for conducting a request for proposals (RFP) and negotiation process;
  • Benchmarking plan providers; and
  • Assessing, monitoring, and benchmarking plan fees.

The paper includes checklists throughout.

“Maintaining an employer-sponsored retirement plan is an ongoing process, requiring dedicated attention and oversight,” the paper states. “Monitoring your investment menu managers, your plan providers, and plan fees is an important part of your overall fiduciary responsibility.” The paper guides plan sponsors in developing monitoring processes based on best practices that will help them fulfill their fiduciary duty while best serving their plan participants.

“Fiduciary liability often comes down to process more than outcome,” notes Terri Schwartz, managing director of institutional services and business development. “Having a thoughtful process in place, then following and documenting the process is the best way plan sponsors can demonstrate prudence.”
Benefits February 27, 2018

Enhanced Wellness Plans Yield Top Results

A survey from the International Foundation of Employee Benefit Plans shows employers who put sustained focus into their employee wellness programs generally see boosted participation rates and results over time.

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Plan sponsors interested in boosting the effectiveness of their wellness programs can learn a thing or two from a new survey highlighting the effect of stress management programs on health care costs.

“A Closer Look: 2018 Workplace Wellness Trends,” from the International Foundation of Employee Benefit Plans, shows 45% of organizations that provide stress management programs found positive impacts on health care costs, while 43% experienced better employee health screening data and 53% produced improved results with employee engagement and satisfaction.

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Other wellness program features resulting in heightened employee engagement include on-site meditation/mindfulness programs, a wellness-centered website, nutrition counseling and wellness competitions. Support from senior leadership also plays a key role in the success of wellness programs. According to the survey, of those employers citing positive effects of wellness programming on health care costs, 54% have senior leadership speak directly with employees on wellness information. 

“Whether a workplace wellness program is taking a more holistic approach or focusing on cost savings, this report distinctly revealed that it is not only leadership support but, more specifically, leadership’s communication of the program to staff that is critical for program success,” says Julie Stich, associate vice president of content at the International Foundation.

Most companies that implement a strategy of organized, communicative leadership see above-average participation rates in wellness programs, explains Stich. According to the International Foundation, participation increases with implementation of nutrition programs (63% vs. 41%); fitness programs (60% vs. 31%); wellness seminars (53% vs. 38%); health fairs (53% vs. 34%); health screening programs (52% vs. 30%); and flu shot programs (49% vs. 36%).

Additionally, of those that cite a positive result on health care costs, 88% offer health risk assessments, compared to 70% of companies not noticing direct cost impacts; 76% provide health coaching versus 58%; and 69% encourage vacation time and days off, while only 48% of companies who do not see increased results do.

Physical wellness—a component not typically emphasized by employers—is seeing a spike with employee interest as well. Fifty-four percent of companies with boosted results provide on-site walking paths and 41% offer free or subsidized wearable fitness trackers. Among companies who offer these programs for the sole purpose of providing worker well-being, 49% encourage activity and/or exercise breaks during working hours, and 43% host onsite exercise programs.

More information on the survey can be found here.

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