Compensation and Benefits

Point / Counterpoint: Early Retirement Incentives

Page from GFR

Governments occasionally offer early retirement incentives to employees as a strategy to reduce payroll costs or stimulate short-term turnover among staff. These incentives are temporary, usually offered during a window that covers a specific period of time. They might increase the economic value of the standard retirement benefit or be a one-time payment that doesn’t affect an ongoing defined benefit or defined contribution retirement benefit, or they can provide other financial incentives to facilitate retirement before an employee’s otherwise planned retirement.


Download