Why benefits, not pay, are emerging as a competitive edge for employers
Attracting and retaining talent has become one of the biggest challenges facing Nova Scotia employers.
You see it in the pressure on wages, in the difficulty scaling teams, and in how competitive the hiring environment has become. For employers, that reality is already familiar.
What’s less obvious is how much of it ties back to employee financial wellbeing.
There’s a growing link between how employees feel about their financial future and how they perform day to day. When that future feels uncertain, it’s harder to stay focused, think long-term, and fully engage.
It shows up in subtle ways at first: delayed retirements, limited movement within teams, or people staying put for the wrong reasons. Over time, what seem like minor challenges begin to compound.Most employers recognize this at a high level, the challenge is that many of the tools in place today don’t fully address it.
Compensation used to carry most of the weight when it came to attracting and keeping people. If you paid competitively, you were generally in a good position.
In many sectors, wages have levelled out. To stay competitive, employers are placing more emphasis on total compensation, particularly benefits. For employees, retirement is a key factor when deciding whether to stay long-term.
Not all retirement benefits are created equal.
A savings plan can look strong on paper. In practice, many employees still struggle to translate that into a clear picture of their future. That uncertainty often lingers throughout their career.
Over the past few decades, the structure of retirement has shifted. Defined benefit (DB) pensions, once common in the private sector, have become far less prevalent. Defined contribution (DC) plans and group savings arrangements (GRRSPs) have taken their place.
The risk shifted.
Individuals are now responsible for navigating investment decisions, market swings, and how long their savings need to last. For most people, that’s a lot to carry.
Some employees still have access to predictable, lifetime income in retirement and feel confident about what lies ahead. Others are left piecing things together with less certainty. The gap between those experiences is growing.
For employers, it affects retention, attraction, and the overall wellbeing of their staff. At the same time, there are real constraints. Building and managing a traditional DB plan isn’t realistic for most organizations.
The question becomes, what options actually exist?
In other areas, there’s already a model to look at. Group health benefits have increasingly moved toward pooled structures. Employers pool premiums, gain scale, and access something that would be difficult to manage on their own.
That same approach is now possible on the retirement side.
Through the Public Service Superannuation Plan (PSSP), Nova Scotia employers, regardless of sector, can participate in a DB pension once limited to the public sector.
It’s built on shared participation and professional management, allowing organizations to offer predictable, lifetime retirement benefits without taking on the cost and complexity of running a DB plan themselves.
For employees, it means clarity and peace of mind; knowing what their retirement will look like. For employers, it provides a structured, stable approach that supports attraction, retention, and long-term workforce planning, regardless of size.
At NS Pension, our vision is strengthening the retirement future of Nova Scotians. We support employers and employees joining the PSSP while offering flexible contribution options designed to meet business needs.
Explore what’s possible.
If you’re re-evaluating how retirement benefits fit into your organization, there are new options available that may be worth considering.
To learn more, contact Brendon LeLievre, Senior Manager, Business Development, Nova Scotia Pension Services.
leliebre@nspension.ca
902-220-5742
