Today’s workforce is a growing mix of ages, ethnicities, financial states, and will soon span five generations. Between work and life, employees seek harmony and they increasingly expect their employers to keep up with current trends to provide solutions for their changing needs. According to MetLife’s annual study on benefit trends, 49% of employees are concerned, anxious or fearful about their current financial wellbeing. The traditional, one-size-fits-all approach to benefits is diluted in this evolving environment. Meeting the needs of employees across the spectrum may seem daunting but it is achievable and it doesn’t require busting the budget. Below are the four pillars of a modern benefit package:
A modern benefits strategy should be a long-term roadmap with specific objectives and measures built in. What guides your roadmap is your company’s culture – and there should be alignment between your benefits strategy and your culture. How a company views benefits should be an extension of the company brand. Benefits play a key role in producing loyalty, attracting the right talent, and retaining and growing that talent.
Providing value in today’s diverse workforce means giving employees the ability to tailor their benefit package to their needs. The shift away from defined-benefit towards a defined-contribution strategy, allowing employees to select from a wide and varied menu of benefit options (even if it costs them out of pocket) allows employers to act as committed curators of the employee benefit experience. MetLife’s study reports that 74% of employees will be more likely to accept a job with a new employer if they offer the ability to customize benefits to meet their needs.
According to SHRM, there is a strong correlation between benefits education and workplace satisfaction. A recent study showed that 79% of workers who reviewed benefits in the past year and rated their education as very good or excellent also rated their employer as excellent or very good. Only 30% of those who said the education they received was fair or poor rated their employer as excellent or very good. Effectively communicating benefits can be a daunting task. Utilize your benefit advisor to help develop a communication strategy and provide year-round support.
A strong digital enrollment platform is the essential glue to modernize and elevate your company's benefits package. Digital transformation of the benefits experience should produce a positive impact on employee satisfaction rates, deeper understanding of benefits, and allows for year-round engagement solutions that manual processes cannot achieve. Use of video, decision support tools, communication tools, personalization, and price transparency are core features of a digital platform worth investing in. As an extension of the company-brand, the impact of a digital benefit experience is immediate and lasting.
Designing a modern benefit package doesn’t require waiting until your renewal date. In fact, the pressure of a looming deadline 60-90 days out will prohibit a thoughtful strategy and implementation. At Simpara, our clients are uniquely positioned leveraging these four pillars for long-term success. Contact us today for more info.