Employers Look to Improve Health and Benefits Offerings Ahead of 2023 Open Enrollment
To attract and retain top talent, employers are increasingly offering improved health and benefits packages. A recent survey by Mercer found that more than two-thirds of employers plan to make changes to their health care and benefits offerings ahead of open enrollment for 2023.
Despite the more challenging economic environment, employee turnover rates have not improved significantly. According to the US Bureau of Labor Statistics, 4.2 million people quit their jobs in June 2022, showing little change.
One of the biggest challenges for employers is balancing the measures needed to attract and retain talent with the cost-saving strategies that a declining economy may require. Experts recommend that employers carefully adapt their health and benefits strategies to get the best possible return on their investment. Understanding what employees want, need, and value is key.
Many workers are highly concerned about their ability to afford healthcare, especially if they have a chronic medical issue or are low wage earners. High-deductible health plans have gained popularity in recent years to help control costs, but they can be a deterrent for workers who feel they need more comprehensive coverage.
And many companies have realized this. According to Mercer, for 2023, 41% of employers plan to offer a low-deductible or no-deductible medical plan option, while 11% will provide an option for free coverage for employees for at least one medical plan.
Smaller employers have traditionally offered free coverage for their employees. However, larger companies are increasingly starting to offer this benefit as well.
As part of the health benefits package, more and more companies are including options focused on supporting their employees’ financial and emotional well-being. As a result, 52% of large employers will offer virtual health care. Additionally, most companies will provide employees with access to more virtual solutions than just telemedicine.
Starting a Family
Apart from affordable healthcare, family planning is another essential consideration for many workers. The cost of fertility treatments and adoption can be a significant financial burden for couples trying to start a family.
To help with this, almost 33% of large employers plan on offering access to coverage for fertility treatments and benefits to help with adoptions and surrogacy. Additionally, 37% of employers of all sizes plan on introducing at least one benefit or resource dedicated to reproductive health. This could mean anything from providing support for high-risk pregnancies to helping women going through menopause.
How to Better Understand Your Employees
Offering these types of benefits can be a significant investment for companies. Therefore, they must take the time to understand what their employees want and need.
Experts recommend employers talk to benefit providers to see how employees use their services. This will help identify which benefits are used most and if they meet employees’ needs.
Additionally, they advise companies to survey employees regularly to get feedback on what types of benefits they value most. Finally, employers should talk to midlevel managers. These are the people who have daily contact with employees and are in an excellent position to understand their needs.
Let Employees Know What You Offer
Open enrollment is the perfect time for employers to inform employees about all the benefits and resources available. This is especially important for companies introducing new benefits or changing their existing ones. It’s also important to show employees the value of the benefits being offered.
As a result, companies should ensure employees get all the information they need in plenty of time and in ways that work for them. This means sending out clear and concise communications that are easy to understand. It also means allowing employees to ask questions and get clarifications.
This approach will help employees feel more informed and empowered to make the best decisions for themselves and their families. It will also help ensure that they are taking advantage of all the benefits and resources available to them. Finally, it will also help employers gain their employees’ trust and loyalty.
For more Employee Benefits information, contact INSURICA today.
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