ARLINGTON, VA, February 7, 2023 — In a move to address a broad range of their employees’ need, most U.S. employers are making changes to their vendor partnerships that provide healthcare and wellbeing benefits to their employees, according to a survey by WTW (NASDAQ: WTW), a leading global advisory, broking and solutions company.
“High-performing health and wellbeing vendors are now vital to employers. They have become a critical component of competitive benefit and wellbeing programs and strategic to their portfolio,” said Courtney Stubblefield, senior director, WTW. “However, in an effort to meet the needs of their employees and improve worker health, employers are taking a close look at the value and cost savings their vendors promise. What’s more, they are ready to make changes as needed.”
Indeed, the survey of 232 U.S. employers found nearly nine in 10 respondents (88%) are planning to make changes to their vendor partnerships either this year or next. Such changes include adding, enhancing or ending various solutions and services, or working with a different vendor in the foreseeable future.
The primary changes respondents have made or are planning to make to their vendor partnerships include:
The survey also found respondents ranked financial wellbeing fifth among their top areas of focus for vendor solutions over the next two years. Mental health was ranked first, followed by general wellbeing.
“All employers need to consider vendors as part of their strategy to address the diverse needs of their population. Companies prioritize ROI but need a broader definition of ROI that includes choices based on driving quality, filling the gap in core offerings and lowering cost. At the same time, they should evaluate if the solution is working, how to optimize current partners and whether they need to embrace innovation in the market. This balanced approach will offer a better experience for their employees,” said Regina Ihrke, senior director, WTW.
A total of 232 U.S. employers participated in the 2022 Vendor Strategy Survey. The survey was conducted in November. Respondents employ 3 million workers.
At WTW (NASDAQ: WTW), we provide data-driven, insight-led solutions in the areas of people, risk and capital. Leveraging the global view and local expertise of our colleagues serving 140 countries and markets, we help organizations sharpen their strategy, enhance organizational resilience, motivate their workforce and maximize performance.
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