SME News Q3 2023 | 26 As an organisation, it is the company’s final chance to enhance its reputation as a responsible employer. If treated well, the employee would leave with a pleasant feeling that they are likely to share with others in the industry – in person or on websites such as GlassDoor.com. In its most basic form, off-boarding involves notifying the departing worker that their employee benefits are about to end and sign posting them to options where they can source their own equivalent arrangements should they wish to continue them in a personal capacity. The employer needs to set a date for the benefits to end and inform the employee. While this may seem an obvious point, many employers neglect this critical step. A responsible employer will make this date crystal clear. This date can be of critical importance to the employee, for example to ensure unbroken private medical insurance cover. This is especially the case if the employee, or covered relatives, have pre-existing medical conditions or a medical procedure planned for the near future. The insurer may well require an employee to incept their personal policy within a short window, perhaps as little as a month after their employment officially ends, if they need or want to protect cover for pre-existing conditions. It is important to bear in mind that the employee, having enjoyed employment-based medical insurance, is unlikely to have previously purchased medical insurance privately, at least not in the recent past. The market can be very difficult to navigate, so timely expert guidance can be very useful. The employer could help them understand what happens to their cover when they leave the business and provide access to the company’s insurance broker, which can then help them secure alternative cover. Retirement Impacts Beyond the important administrative tasks, employers should always remember that leaving a company after a long period, especially when entering retirement, is a lifechanging moment. There are psychological aspects to consider alongside the practical, so it is important to support a smooth transition into the next stage of their life. The transition could be assisted in many ways; the appropriate approach will depend on the individual’s circumstances and preferences. Some may benefit from a gentle wind-down of responsibilities and working hours, while others may prefer a greater level of educational retirement planning services that enable them to plan and make the most of emerging financial and non-financial opportunities. There will, of course, be many important practical considerations and decisions to make for retirees. Most pressingly, the pension scheme An employer’s responsibility to a departing employee does not necessarily end the day the individual leaves the business. Whether the exit is due to retirement, a career change, or redundancy, employees appreciate support from their former employer. It is a milestone event in their lives and how it is handled by the employer is likely to be remembered for many years. A Fond Farewell Why the off-boarding stage is the critical final chapter of the employee benefits journey
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