Employee Wellbeing
As the cost of healthcare and living continue to rise, employees are prioritizing a robust benefits package when choosing an employer.
Perceptions of financial well-being directly impact mental health and job satisfaction, with 48% of US employees citing financial stress as a cause of lower mental health.1
Unfortunately, the dire financial situation of US employees is clear in their low retirement preparedness. Twenty-two percent of Americans have less than $5,000 saved for retirement, and 15 percent have no retirement savings at all.2
However, US employees who feel financially healthy are 87% more likely to feel cared for by their employer.1
The good news is that a retirement plan is one of the most cost-effective ways for employers to promote the financial well-being of employees. Sponsoring a 401(k) is far less expensive than the average medical benefits package by an average of 36.82 percent per hour for a civilian employee and is one of the most requested employee benefits.3
Employee Benefits
Post Great Resignation, 61% of employees are considering quitting their current job. Similarly, 60% of employees cite benefits as a critical factor.6
Replacing an employee can be expensive, costing around 33% of their annual salary to replace them.4
To overcome this problem, employers must meet the demands of the labor market by offering attractive benefits packages and showing they care about the well-being of their employees.
Cannabis Industry
Currently, America’s legal cannabis industry supports 417,493 jobs with more than $26.1 billion in annual revenue across 19 adult-use and 21 medical-only states.
Growth is still out there. Cannabis companies are hiring — In new and emerging markets, look for company headcount to rise dramatically. Already we’re seeing ramped-up recruiting in newly opened legal markets like Missouri, New York, New Jersey, New Mexico, Connecticut, and Rhode Island.
Nationwide, annual cannabis sales increased by $850 million in 2022. That's a 3% rise, from $25.25 billion in 2021 to $26.1 billion in 2022. That figure includes all state-regulated medical and adult-use sales (not hemp, delta-8, CBD, or unregulated sales).5
Leading Retirement Solutions
Since entering the cannabis industry over 10 years ago, we have provided more than 200 cannabis companies with retirement plans.
In addition to helping companies set up new retirement plans, we help canna-businesses that have been ejected by current providers due to the federal criminalization of marijuana.
We offer multiple cost-effective options for cannabis plans, from traditional 401(k) and cash balance plans to non-traditional options. These include Rollovers as Business Start-Ups (ROBS) and Group of Plans (GOP) options that drastically reduce the cost and administrative responsibilities for plan sponsors.
In addition to helping canna-businesses set up retirement plans, we connect our clients with our network of cannabis-friendly payroll providers, recordkeepers, and other benefits professionals.
Sources:
- The Advantages of Employee Care: Creating Human Centric Employee Experiences and Work Environments – MetLife
- 50+ Essential Retirement Statistics for 2023 – Annuity
- Employer costs per hour worked for employee benefits – U.S. Bureau of Labor Statistics
- 17 Surprising Statistics about Employee Retention – Limeade Listening
- Jobs Report 2023: Economic headwinds produce an industrywide reset – Vangst
More than half of US workers want to quit their jobs in 2023, a new survey shows – Business Insider
For more tips and information regarding retirement plans, contact us.
