Employers Rethink Benefit Offerings

Nearly every component of employee well-being has suffered over the past two years including mental, physical, financial, social, and career. So employers are rethinking their jobs and benefits priorities. Deb Smolensky of NFP says, “While employees want fulfilling work experiences, they want their lives – not their work – to come first. The goal is no longer work-life balance; its life-work integration.”

“It is more important than ever for employers to get benefits right. Those who respond with policies and offerings that promote mental health, access to quality healthcare, and life-work integration will be the talent leaders of tomorrow,” says Kim Bell of NFP.
Top strategies to improve workplace satisfaction are more benefit choices and customization (37%) and better communication/education (33%), according to a recent survey by NFP.

More than half offer online mental health resources. Thirty-five percent provide health coaching; 29% provide in-office mental health resources; and 22% invest in peer support groups.

Cost-Containment Strategies 
Two-thirds of employers want innovative cost containment solutions. Fifty-three percent say they would need the cost savings percentage to be 11% to 15% to implement a cost containment solution.

When considering cost containment, roughly three-quarters of employers say that these are important factors: increased access to quality providers (83%), cost transparency (79%), lower out-of-pocket pharmaceutical costs (79%), ROI (74%), and member disruption (74%).

Prescription Drug Costs
Ninety-three percent of employers are at least somewhat concerned about rising prescription costs and 68% are very concerned. They have seen the most significant spending increases in commonly used brand drugs (33%) and specialty drugs (30%). To date, benefit design has had the most positive impact on reducing prescription drug spending (22%).