Outstanding student loan debt is weighing down many older workers, affecting their ability to save for retirement, according to research from the Schwartz Center for Economic Policy Analysis at the New School for Social Research. People who did not finish their degree program are more likely to be financially unstable and those who default on their loans face having their Social Security benefits garnished. Full Story: CNBC (5/29)
Keep Your Employees Connected Employee disengagement is a silent threat to the workplace—leading to absenteeism and heightened conflict. SHRM offers expert insights, practical tools, and resources to help you find solutions and revitalize your workforce when disengagement arises. Join Now »
Recruiters should develop strategies for meeting the growing need for prompt engineers, who guide generative AI tools on how to interact with users meaningfully, say economists and analysts, who recommend HR leaders focus on skills-based hiring and look internally for employees who could be trained to do the job. "HR managers need to look for candidates who are willing to keep learning and stay up-to-date with the latest advancements in the field," says Julia Pollak, chief economist for ZipRecruiter. Full Story: Society for Human Resource Management (tiered subscription model) (5/28)
Make biometric screenings easy While biometric screenings are key to identifying health risks, getting employees to engage remains challenging. Find out how multi-modal biometric screenings enable employees to choose how they participate, driving better engagement and outcomes. Download the free eBook.
US can learn from other nations' benefit laws A Bisnar Chase poll spotlighted which international labor laws and benefits employees wish would be implemented in the US, including provisions for job security, flexible work arrangements, leave benefits and work-life satisfaction. Countries currently ranking highly in terms of employee-friendly policies include Germany, France and Denmark. Full Story: Employee Benefit News (free registration) (5/28)
Technology
How over-reliance on AI might change workplace dynamics Workplace leaders increasingly fear that AI might "pose a risk to the human experience," writes Amelia Dunlop of Deloitte Digital. In this commentary, Dunlop covers four areas of potential conflict, including how over-reliance on AI might hamper "the accuracy, thoroughness, and diversity of thought needed for high-quality work." Full Story: Forbes (tiered subscription model) (5/28)
Employers should review their policies regarding employee conduct as political conversations heat up during the run-up to the US presidential election, say HR leaders, who recommend encouraging open discussions while defining what constitutes unacceptable behavior and training managers on how to handle disputes. "If it becomes an insulting conversation, if it becomes a conversation that's discriminatory or harassing or you don't feel like you can be in a safe space with that person, that's where it rises to the level of not being OK," says Kelly Mendez-Scheib, chief people officer for Crunchbase. Full Story: WorkLife (5/29)
SmartBreak: Question of the Day
Milk preservation has been a challenge since the mid-1900s. Evaporated milk was one such effort. Who received a patent for it in 1856?
Marjorie Sener is 74 years old and owes $55,000 in student loan debt. Her original loan was $5,000. Charles Earl is 61 years old and owes $136,000 in student loans debt. His original loan was $70,000. Betty Ann is 93 years old* and owes more than $329,000* in student debt. Her original loan was $29,000. Student loan debt is eating away at the futures of many older Americans, according to our top story today. Strapped with a highly monthly loan bill, they find it difficult -- if not impossible -- to save for retirement. More and more know they will have to keep working just to survive. “Well, they borrowed the money. They should have planned better.” I wish it were that simple. It’s not. The system is terribly broken – a fact that has remained hidden for decades and only came to light when the student loan crisis was thrust into the national spotlight. Income-driven repayment programs that lower payments and provide cancellation eligibility largely failed those they were intended to help. The reduced payment allows interest to capitalize, causing the balance to balloon to an amount much higher than the original loan. Even worse, the Department of Education’s book keeping of its student loan portfolio is a horror show. There’s no way to access records outlining the loan’s full history – original amount, payments made, interest rates and current balance. Add to that the complication of selling or transferring the debt to different loan servicing agencies and you have a perfect storm of chaos. One that the borrower is unable to escape. You may have older workers on your teams who are being crushed by student loan debt. They, like Marjorie, Charles and Betty Ann, are working hard to keep up but in doing so, are not able to save for retirement, as they had planned. There has to be a better way. What do you think? Has your organization implemented a program to support workers with student loans? Let me know! And if you enjoy this brief, tell others so they can benefit also.
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