Employee Benefits

Merger and Acquisitions Provide Partnership Opportunities

Handshake between business men on a mergers and acquisitions deal

Mergers and acquisitions have become viable options for businesses interested in growing their operations. For a successful experience, businesses need to carefully study  the company they are interested in acquiring, or seeking as a partner in a merger. Issues with employee benefit s often cause M&As to fall apart or cause a talent drain of employees.

It is important for businesses to consider all of the administrative requirements and liabilities for both companies, and develop a strategy implementation plan.

Producers have an excellent opportunity to strengthen relationships with clients considering a merger and acquisition by assisting in evaluating benefit options. Here are five recommendations for providing assistance through the evaluation and implementation process:

  • Review benefits offered by both companies – Study plan designs, including the small print; assess utilization of plans to determine those features that are most important to employees and their family members; create a spreadsheet of all benefits offered for easy comparison
  • Evaluate benefit commitments to retirees – Develop a list of benefits and perks; identify possible problems and concerns that could arise through the merger and acquisition, including reducing or dropping options
  • Generate recommendations for combining or designing new plans – Create a strategy for merging together the plans of both companies
  • Design a seamless communication plan – Work with clients to develop a strategy for communicating new employee benefits and perks for a smooth transition; take advantage of multiple resources to reach employees at all levels
  • Develop a master list of important dates for benefit plans – To ensure that benefit obligations and grandfathered plans are not forgotten or overlooked, create a calendar of due dates that detail benefit commitments for both companies


How have you assisted clients with a merger or acquisition? What lessons were learned through the process? What advice would you share with other producers?