Rising costs and competition for talent are key issues driving benefits strategy
Key business issues influencing benefits strategy
- Competition for talent: 64%
- Rising costs: 64%
- Flexible work arrangements: 32%
- Focus on inclusion and diversity: 28%
Note: A maximum of three options could be selected
To win talent, it’s important to design programs that meet the needs of diverse employees
Six in 10 employers said this was a focus
Key focus areas for the benefits strategy
- 61% Plan cost
- 59% Meet needs for all employees
- 50% Benchmarking and market trends
- 40% Wellbeing
Note: Percentages indicate “ranked top 3”
When it comes to the benefits portfolio, health benefits are the primary focus
What are employer priorities to support their workforce?
- Health benefits: 68%
- Career, training and development: 56%
- Risk and insurance benefits: 36%
- Mental health support: 27%
- Financial wellbeing/short-term finances: 26%
- Inclusion and diversity: 25%
Note: Percentages indicate “ranked top 3”
Employers look to improve their market position in wellbeing and retirement
Percentage of employers looking to improve their benefits positions
- Financial wellbeing/short-term finances: 35%
- Retirement plan/long-term finances: 28%
- Mental health support: 27%
In benefits financing, 7 in 10 employers are reviewing vendor contracts
Percentage of employers who have taken an action in benefits financing
- Improve terms from vendor contracts: 67%
- Bundle different services into one package from a single vendor: 41%
- Expand use of risk financing arrangements: 40%
Next steps for employers
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Optimize
Strike the right balance between cost management and maximizing employee appreciation. Finding out what employees need will involve using different means, including pulse surveys, town halls and focus groups.
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Differentiate
The same benefits will not resonate for everyone. Employers can cater to different needs — whether it’s differences by ethnicity, gender, race or other factors — by ensuring employees have a choice.
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Deliver
Think about the employee experience when delivering benefits, including a technology aspect as necessary.
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Evaluate and refine
Through analyzing and measuring program performance, employers can refine existing programs as needed to ensure they’re delivering the most value.
