From next year, American employees of the insurance company Unum Group will have an option: If the company leaves five student holidays, then the company will pay its student loans. Student Debt Relief for Unused Vacation Time. Student Debt Relief for Unused Vacation Time.
The new perk is a creative twist on an increasingly popular advantage. About 4 percent of the big companies surveyed by the Society for Human Resource Management, faced by a tight labor market and ever more indebted applicants, say that they help their employees repay their debt with cash payments up to $250 a month.
However, the deal for Unum’s 8,500 workers is different: Cash for loans in lieu of unused holiday days. Each hour is worth an hourly rate of an employee for eight hours. Parents who share responsibilities for a child’s debt also qualify for cash.
“We thought it was a more creative method,” said Carl Gagan, who runs financial welfare programs on Chatannogo-based insurers.
Unum estimates that nearly 30 percent of US workers will take advantage of the benefits According to the company’s internal research, on average, Unum employees take a loan of $ 32,000, with a $ 350 payment. How much workmen can earn for their holiday days depends on their salary, but the company estimates an average of $ 1,200 per year.
Jimmy Valentine, a 30-year-old employee with a loan of $ 22,000 in the yum, said that he plans to pay the maximum amount of cash in the holidays every year unless its debt is paid. Like most Americans, she does not use all her holiday days, and with profit, she can apply an extra $ 1,120 per year for her loan. They said, “I should take more days.” “But I continue to work to ensure that I keep up with everything.”
Recently, the viral BuzzFed Essay has pointed out long-term, low pay and high debt burden as Triple Albatros for the millennium, but Gagan does not think the company is an unfair choice. According to the Bureau of Labor Statistics, employees receive at least 28 days of paid time, the average American worker receives a payment of approximately 15 days.
Source : insurancejournal