John Roberts, company president and chief executive, said economic conditions had hurt new sales of ancillary benefits in the small-business sector, the Kansas City Star reports. The company, part of New York-based Assurant, has undertaken several cost-cutting measures since last year, including limits on external hiring, limits on merit-pay increases, and travel restrictions.
The goal of the program is to eliminate up to 200 out of approximately 2,000 positions nationwide at the Kansas City-based employee benefits provider. Company spokesperson Angela Skinner told the Star that there are no specific reduction goals by location.
Employees will have until mid-June to consider the offer, and those accepting the offer will receive severance based on years of service, outplacement assistance and other benefits. The company will decide if further actions are necessary once the offer is completed, Skinner said, according to the news report.