Helping Miners Protect Their Long-Term Future

Regardless of the industry, employee benefits typically refer to retirement funding and group insurance, as well as medical aid and healthcare-type benefits. At NMG, it’s important that these benefits are set up in an integrated way that considers overall financial wellbeing. 

According to Craigh Chidrawi, Executive Head of Retirement and COO at NMG Benefits, this means that NMG Benefits takes into account the benefits from an individual’s perspective, asking questions like: have they got a budget in place, a will, and do they have sufficient protection when there is an illness or injury?

“Statistics consistently show that very few retirees have enough money saved to provide them with the income they need in retirement. National Treasury has previously reported that only 6% of South Africans will have enough money to retire comfortably. 

“It’s unlikely that you will be able to live off the state pension in your retirement, so you do need to rely on your own savings, and especially the savings you make through your employer’s retirement fund, to support you in retirement,” he says.

“Many individuals are forced to retire earlier than they had planned, while they also live longer – meaning they need support for longer, so inflation takes its toll on their savings. If you want to maintain the same standard of living in retirement that you had when you were working, you need a sizeable amount of money. 

“The current advances in technology and medicine means we are living longer and need to fund for an income to sustain us longer in our retirement.”

Chidrawi notes that many South Africans are feeling immense pressure on their overstretched budgets. They are faced with debt and rising expenses in a difficult job market. It may seem difficult to do, but we need to look after our future needs and actively plan to reach a better retirement.

Employee wellness

NMG Benefits understands that mining is a dangerous and demanding job, so the promotion of health and wellness programmes is of utmost importance, specifically for mining companies. 

This is due to additional physical risks that these employees are exposed to, as well as the loss in productivity due to employee illness. An effective programme will promote healthy lifestyle choices, increase awareness, reduce risks, potentially increase production as well as employee morale. 

“Over the years, NMG Benefits has found many companies shifting towards a fully integrated healthcare employee wellness solution, which includes an employee assistance programme, an onsite occupational health clinic, medical scheme, gap cover and primary healthcare cover,” says Gary Feldman, Executive Head of Healthcare Consulting.

NMG Benefits, continues Feldman, supports the employer by ensuring these programmes work together to achieve the overall objectives of the organisation. 

“The establishment of a health and wellness committee along with all relevant representation, including the unions, will ensure employee support and participation. One of the key initiatives that comes from this committee will be to increase regular health screenings of all employees, such as diabetes, hypertension, and HIV,” he says. 

“Employer wellness days play an essential role in promoting employee health and preventing the onset of chronic diseases. NMG Benefits assists with the planning of the wellness day and ensures that a community-based service model is used.”

“Where possible, local providers are contracted to offer services such as screening, eye examinations and dental check-ups, to mention a few.” 

Mental health

The mining industry is a challenging and high-pressure environment, she continues, noting that there are a number of critical dangers. These include impaired performance and productivity, increased absenteeism, increased risk of accidents and injuries, high staff turnover rates, negative impact on the workplace culture, and an increase in healthcare costs.

“Mining companies should promote mental health and wellness through initiatives such as fitness programmes and healthy eating options, and should also create opportunities for relaxation and social connection.

“These initiatives can help employees maintain a healthy work-life balance and reduce stress levels. It is important to create a culture of wellness and a safe and healthy workplace.”

Feldman indicates that employee assistance programmes can provide employees with access to mental health services and support – including counselling and therapy – to address issues such as stress, anxiety, financial guidance, and depression. 

“Remember that looking after employees’ mental health can help to reduce absenteeism. For a mining company, this can certainly have a positive impact on productivity, as well as on health and safety. NMG’s role is to analyse various offerings and recommend the most suitable solution. 

“One of the leading causes of mental health is related to financial stress and insecurity – something that can lead to substance abuse, physical abuse, and self-harm. To this end, NMG Benefits offers a unique solution called SmartAlec which focuses on financial literacy.” 

Poor financial decisions often lead to distress and lack of peace of mind, says Chidrawi, suggesting that such decisions often don’t come from negligence, but rather from simply not being educated about matters of finance. NMG SmartAlec – conveniently available via WhatsApp – teaches basic finance, which will bring the user confidence and protect their mental health. 

Disability insurance

“Disability insurance is important in all industries, especially in the mining sector. As individuals, it is important that our ability to earn an income is protected, if we fall ill or are injured.”

“NMG’s approach is to understand each group’s member profile and their unique needs. This might involve engaging with the trustee board and surveying members’ needs to understand how current benefits are valued, and which potential benefits the members would derive most from. Employers of choice consider input from their employees in their benefits offering.”

Quite often, Chidrawi points out, funds offer disability benefits that haven’t changed in many years. This is wrong, as the benefits offering needs to be reviewed regularly, with alternative arrangements also considered. 

“The final step is to go to the insurance market for quotations, to identify insurers that offer the kind of reputable cover that will be there for disabled members for many years to come,” he says.