构建适应未来的福利战略+Building+a+Benefits+Strategy+Fit+for+the+Future

2023NORTHAMERICANREPORT

Buildingabenefitsstrategy

fitforthefuture

AboutAlight

Alightisaleadingcloud-basedhumancapitaltechnologyandservicesproviderthat

powersconfidenthealth,wealthandwellbeingdecisionsfor36millionpeopleand

theirdependents.OurAlightWorklife®platformcombinesdataandanalyticswith

asimple,seamlessuserexperience.Supportedbyourglobaldeliverycapabilities,

AlightWorklifeistransformingtheemployeeexperienceforpeoplearoundtheworld.

Withpersonalized,data-drivenhealth,wealth,payandwellbeinginsights,Alight

bringspeoplethesecurityofbetteroutcomesandpeaceofmindthroughoutlife’s

bigmomentsandmostimportantdecisions.LearnhowAlightunlocksgrowthfor

organizationsofallsizesat

.

©2023AlightSolutions

EXECUTIVESUMMARY

Fromthefearofmasslayoffstothethreatof

recessions,thetusslefortalenttodisruptive

technology,externalfactorsmeanthatthe

workplaceisconstantlyevolving.Tosurviveandthrive,businessesmustalsoadaptthewaytheyapproachbenefitstobettermeettheneedsandwantsoftheiremployees.

AlightconductedresearchacrossmultiplecountriesbetweenJuneandSeptember2022,surveying1,400employeesand420employerstounderstandtheirperceptionsofbenefitprograms.Wefoundthatonly37%ofemployeessaytheiremployerdeliverson

theirspecificbenefitneeds.

Thestudyalsouncoveredconsiderablevariationsbasedonanemployee’slifestage,theirgender

andtheirgeography.Simplyput,everyemployeeis

Likeemployeesthemselves,astrategicapproach

tobenefitsismultifaceted.Regularcommunication

withemployees—bothlisteningtowhatthey

havetosayandsharingrelevantinsights—is

fundamentaltodeliveringbetteroutcomes.

Beyondthis,technologyplaysamajorrolein

deliveringaneffectiveandtransparentbenefits

program.

Technology,suchasabenefitsadministration

platform,isacrucialingredienttohelpemployers

reducethelaborassociatedwithcomplextasks.

Thismightincludethepersonalizationofbenefits

orthedeliveryofanomnichannelcommunication

strategy.Itcouldalsorevealactionableinsights

basedonworkforcedatatoenablebetter

alignmentbetweenemployeeandemployer.

different.Leveragingthesamebenefitsprogram,

andapproachtocommunicatingit,willsimplynot

sufficeacrossanincreasinglydiverseworkforce.

Assuch,employersmustseizetheopportunityto

transformtheirbenefitstrategiesinkind.

Buildingabenefitsstrategyfitforthefuture3

1

Differentemployees,differentneeds

Everyemployeeisdifferent—frompersonalitiestoworkingpreferences,lifestylestolifestages.

Post-pandemic,employeesexpectmorefreedomtochoosehow,whenandwheretheywork.

Addressingdiverseneedsandaffordinggreater

flexibilitymustbeconsideredaspartofamodernbenefitsprogram.Ablanketapproachtobenefitsmightseemlogical,howeveritfailstorecognize

employees’individualities.Employeesaremore

inclinedtoleaverolesforbetterterms,increasedflexibilityandwork-lifebalance,andsocompaniesthatlackatailoredapproachwillstruggletoretainandattracttoptalent.

Benefitneedsevolvebasedonlifestage

Ourlatestresearchshowscleargenerational

differencesinthebenefitpreferencesoftoday’s

workforce.Generallyspeaking,youngeremployeesplacemoreimportanceonbenefitsthantheir

elderpeers.39%of18-to24-year-oldsand35%

of25-to34-year-oldsnamebenefitsastheirmaindriverforworkingatacompany,comparedtojust17%ofemployeesaged55-64.Therearealsoclearage-relateddifferencesinhowemployeeshave

experiencedworkoverthelastfewyears.

Fromupgradedsafetypoliciestoremote-onlyjobroles,theworldofworkhassignificantly

changedinthe2020s.Benefitsarenodifferent,withanevolutioninneedsmostlyfeltby

youngeremployees.

Figure1

3862

62%of18-to

24-year-oldssay

theirbenefitneeds

haveevolvedover

recentyears

Almosttwo-thirds(62%)of18-to24-year-olds

andoverhalf(54%)of25-to34-year-oldssaytheir

benefitneedshaveevolvedoverrecentyears.In

contrast,lessthanathird(31%)of55-to64-year-

oldsreportedachangetotheirpreferencesoverthesametimeframe.

Ourresearchhasalsohighlightedthedifferences

inthekindsofbenefitsthatspecificagegroups

favor.42%ofemployeesaged18-24citedmental

healthsupportasoneoftheirmostdesiredbenefits,comparedto29%ofthoseaged55-64.Meanwhile,childcaresupportismostcovetedbyemployees

aged25-44.

Buildingabenefitsstrategyfitforthefuture4

32%

offemaleemployeesagree

43%

Benefitpreferencesbygender

Itisalsoevidentthatgenderimpactsemployees’opinionsandprioritieswhenitcomestobenefits.Broadlyspeaking,menaremorelikelytohold

favorableopinionsoftheirbenefitsthantheir

femalecounterparts.Morethantwo-fifths(43%)ofmaleemployeesthinktheirbenefitspackage

isverycomprehensive,comparedtolessthana

third(32%)offemales.Menarealsomorelikelytosaytheirbenefitsgosubstantiallybeyondthose

requiredbylocallaw.

Thesefindingssuggestthatbusinessesmaybeunknowinglycontributingtoworkplacegenderinequality.It’simportantforbusinessleaderstoconsiderthesepossibilities,andhowtheycansupportalltheiremployeeseffectively.

Theresearchalsorevealsthat,onaverage,womenaremorelikelytowantflexibility.29%offemale

employeesnamereducedworkinghoursasone

oftheirtopdesiredbenefits,comparedto18%ofmaleemployees.Similarly,morethanafifth(22%)ofwomennamechildcareasadesirablebenefit,whileonly12%ofmenagree.

Figure2

“Whenitcomestobenefits,mycompanymeetsmyneedsanddesiresverywell.”

ofmaleemployeesagree

Buildingabenefitsstrategyfitforthefuture5

2

Human-centricbenefitsstrategy

Withnumerousdifferencesbetweenemployees,it’sclearthatthecommon"one-size-fits-all"

approachasitrelatestobenefitprogramsis

provinginadequatefortoday’sworkforce.If

employerswanttomeetemployeeexpectations,andoutshinecompetitorsintoday’sultra-

competitivejobmarket,theymustevolvetheirbenefitsstrategytoreflectchangingworkforceneeds.

Differingemployeeprioritiesandneedsmean

employersneedtoestablishavalue-ledapproachthatspansarangeofbenefitareas.So,let’s

exploresomeareasinwhichemployersshould

focustheirenergiesandstartevolvingtheirprograms.

Physicalhealth

Employees’physicalhealthisfundamentalto

everythingtheydo—includingtheirwork.Regular

exercise,balancednutrition,sleepandhigh-

qualityhealthcareallboostpeople’senergyand

productivitywhilediminishingstressandillness.

Ourlatestresearchshowsthatphysicalhealthis

themostimportantbenefitneedforemployees.

Almosthalf(47%)nameaprivatehealthcareplan

asoneoftheirmostdesiredbenefits.Meanwhile,

youngeremployeesaremostlikelytowantahealthcluborsportsmembership.Aroundathird(32%)

ofthoseaged18-24rankitasoneoftheirmost

desiredbenefits,perhapsdowntoarisebothinthe

awarenessofexercise’simportanceandthesocial

media-influenced"gymtrend."

Figure3

Desiredbenefitsofemployees

47%

Privatehealthcareplan

5347

32%(aged18-24)Healthclub,fitnessorsportsvouchersormemberships

Buildingabenefitsstrategyfitforthefuture6

Mentalwellbeing

Employees’mentalwellbeingisanotherimportantfacetinwhichemployersmustoffertheirsupport.

Overathird(37%)ofemployeessaytheirmental

healthbenefitneedshavechangedoverthepast

coupleofyears.Employersnowrankmentalhealthasthemostimportantareatoaddress,whichis

agoodstepintherightdirectionsince33%of

employeesnameitasoneoftheirtopfivedesired

benefits.Burnoutisnowmoreprevalentthanever,oftenimpactingemployees’personallivesaswellastheiroutputatwork.Fortunately,strongwellbeingpoliciesmeanitcanbemitigatedagainst.

Mentalhealthcounselingandgriefassistance,alongsidementalwellbeingtoolssuchas

meditationapps,areincreasinglycommonplaceaspartofcorporatebenefitprograms.Some

companiesevenoffer"mentalhealthdays,"whichenableemployeestotakeadayoffofworktorelaxandrechargewhenevertheyfeeltheneed.

Helpingtokeepworkershealthyandhappyisnotonlysimplytherightthingtodo—italsoreduceslong-termsickleaveandemployeeturnover,

ensuringstaffcancometoworkandputtheirbestfootforwardeveryday.

Figure4

37%ofemployees

saytheirmental

healthbenefitneeds

havechangedover

thepastfewyears

33%ofemployees

namementalhealth

asoneoftheirtop

benefitneeds

Buildingabenefitsstrategyfitforthefuture7

Work-lifebalance

Therecentriseinflexibleworkinghasgiven

employeesatasteofagreaterwork-lifebalance

andthechancetoreflectonwhattheywantand

expectfromtheirworkinglives.Morethana

quarter(26%)agreethatoverthepasttwoyears,theirperspectiveonwork-lifebalanceandwhat

mattersmosthasimpactedtheirpreferenceswhenitcomestobenefits.

Self-reflectionhasbeenakeyingredientinthe

"GreatResignation."Millionsofemployeesworld-widehavelefttheirjobsnotsimplyforbetter

wagesorworkingconditions,butgreaterflexibility,too.Asaresult,work-lifebalanceisbecominganareainwhichemployersmustofferclearerpoliciesandmoremeaningfulbenefits.

Work-lifebalanceisthe

secondmostpopular

benefitneedbyemployees

Now,morethantwo-fifths(42%)ofemployers

offeraremoteworkingoption.Reducedworking

hours,suchasafour-dayweek,arealsopopular

withemployees,with24%rankingitamongsttheirtopfivemostdesiredbenefits.However,thismodelismoreapplicabletosomeindustriesversusothers,anditssuccessultimatelydependsonproductivitylevelsremainingconstant.Meanwhile,sabbatical

leaveisasimilarlyattractiveoptionandmaybebestsuitedtolong-servingemployeeswhowouldlikeamuch-deservedbreak.

Financialsecurity

Anessentialpolicyformanyemployeesisaprivatepensionandretirementplan.30%rankthisamongsttheirtopdesiredbenefits.Foremployeesover55

whoareapproachingthefinalyearsoftheirworkinglives,theproportionrisestoalmosthalf(47%).

Shareoptionsareanotherwayofhelpingtosecureemployees’futureandarecurrentlyofferedbyjust14%ofcompanies.

Ashighenergypricespersist,employersmayalsoconsideremployeeutilityallowancestohelpthemwithheating,electricityandinternetbills.Butasitstands,just10%ofcompaniesofferthis.

Financialeducationseminarsandreduced-cost

financialadvisorsaretwoadditionalwaysof

supportingemployees’financialwellbeing.They

arenottopprioritiesforemployees,namedasa

mostdesiredbenefitbyjust4%and3%respectively,butmaybeextremelyvaluableforthosewhodo

wantthem.

2

以

$

Buildingabenefitsstrategyfitforthefuture8

3

Engagingeachemployee

Beyondfulfillinglegalobligations,benefitsservetoattract,satisfyandretaintalent.Assuch,it’simportanttoregularlyreflectontheirefficacy.Doemployeesknowaboutthebenefitsofferedtothem?Aretheyeasilyaccessible?Arethey

updatedtomatchnewneeds?Andhowistheirvalueassessed?Engagingeveryemployeewithabenefitsprogramisnotjustabouttheperks

offered,butalsoitsimplementation

andcommunication.

Ifemployersaretosupport,motivateandrewardtheirworkforceeffectively,theyneedtoleverage

proactivecommunicationmethodsandtechnologythatcanconnectwithemployeesacrossmultiplechannelstocreateapersonalizedandempathetic

environment.Thisisespeciallyimportant

consideringthat48%ofemployeeswouldvalueongoingcommunicationsabouttheirbenefits.

Evolvewithyourworkforce

Tobegin,employersmustasktheiremployees

aboutbothwhatbenefitstheywantandhow

theywouldlikethemtobecommunicated.The

answerstheyreceiveshouldguidetheirsubsequentapproach.Butit’snotenoughtoaskonce.If

companiesaretoengagetoday’semployees,theymustcontinuouslyengagewithandadapttotheirevolvingneeds.

Onewayofsourcingthisvaluableinsightis

throughanonymoussurveys.Thisway,employeescansharetheirhonestwantsandneedswithoutfearofjudgmentorreproach.Additionally,

employerscanrunbenefitworkshops.

Figure5

5248

48%ofemployees

wouldvalueongoing

communications

aboutbenefitsand

relatedupdates

Here,potentialbenefitscanbediscussed,and

employeescangainsupportonexistingbenefits,

suchashowtoaccessorgetthemostfromthem.

Thesekindsofhuman-centricapproacheshelpto

buildengagementandtrust.

Alongsideinformationaboutwhatemployees

want,employersmustregularlyevaluateHR

datatodeterminetheefficacyofexistingbenefit

programs.Byanalyzingworkforceinformation,

HRteamscanidentifywhichbenefitsaremost

orleastpopular,theimpactofactionssuchas

emailcampaignsonbenefituptake,andwhich

employeesaren’tmakingthemostoftheir

benefits.Plus,anHRadministrationplatformcan

simplifyboththecollectionandanalysisofdata

inasecure,compliantmanner.Theseinsightsand

actionaldatapointshavethepowertodrivebetter

organizationaloutcomes.

Buildingabenefitsstrategyfitforthefuture9

Apersonalapproach

Employeeschampionflexibilitywhenitcomestochoosingbenefitsthatbestfittheircircumstances.Infact,45%ofemployeesstatethattheflexibilitytochooseorchangebenefitsbasedonindividualpreferencesisoneofthetopimprovements

companiescouldmake.Ourlatestresearchalso

highlightsemployees’desiretochoosewhatworksforthem.So,it’sclearthatapersonalizedbenefitsexperiencecouldlargelyenhancebothemployeesatisfactionandretention.

Only36%ofemployeessaytheircompanyallowsthemtopickandchoosethebenefitsthatbestsuittheirneeds.Bypivotingtooffergreaterbenefit

flexibility,businessescanachieveacompetitive

advantageandbetterservetheirworkforce.

Personalizedbenefitsarealsokeytoincreasing

returnoninvestment(ROI),asspendingistargetedtotheareasthatwillhavethegreatestimpact.

Whilesomecost-effectivebenefitsmightseem

likelowhangingfruit,anyapproachtakenshouldalwaysbeinformedbywhatemployeeswant.

Somecompaniesaresettoimplementbenefitsthattheydon’tactuallythinktheiremployeesvalue.

Forinstance,almosttwo-fifths(18%)ofemployers

plantointroducenutritionadvice,despiteonly

4%thinkingthattheiremployeeswouldvaluethis

benefit.Whileitmaybeusefulforsome,thisis

unlikelytobeahighimpactbenefit.

Figure6

Topfivewaystoboostbenefitsatisfaction

Flexibilitytochoose/changebenefitsbasedonindividualpreferences/needsovertime

45%

Widerselectionofbenefits

39%

Higherqualitybenefits

29%

Clearercommunicationaroundbenefits

19%

Moreguidance/supportinselection/useofbenefits14%

Percentageofemployeeswhoagreemeasureswouldimprovetheirbenefitssatisfaction.

Buildingabenefitsstrategyfitforthefuture10

Transparencythroughtechnology

Currently,lessthanhalfofemployees(45%)say

thattheirbenefitsarecommunicatedclearly.

Companiesmuststrivetosharethisinformation

withtheirteamsmoreeffectively.Omnichannel

communicationsolutionsareonewaytoaddress

this:employerscanreachindividualsanddrive

engagementviathechannelstheypersonallyfavor—whetherthatisemail,appsorinstantmessaging.

Meanwhile,thesamepercentageofemployers(45%)believethatmoretransparencyintheirpolicieswouldleadtoclearer,moreeffectivebenefitscommunication.Technological

solutionscansupportcompaniesincreatingmoretransparency,andthereforeclearer

communication.Forinstance,abenefitsportal

outliningthebenefitsavailableisbelievedto

beatopfixforcommunicationissuesby38%ofemployers,with29%ofemployeesagreeing.

Itisbynomeansacure-all,butamobile-first

platformofthiskindwillofferemployeesanintuitiveresourcetohelpclarifythebenefitsavailableand

empowergreaterusage.

Technology—suchasthe

AlightWorklife

®platform—canserveasaone-stopshopforalltheHRand

benefitneedsofemployers.Additionally,automatedtoolslikechatbotscanalsoprovideinstantinsightsbasedonspecificneeds.

Adoptingadigitalapproachtocommunicating

benefitsbasedonuserconsentcanalsoextendto

offeringpersonalizedinsightsandtoolsfromthird

partiestofurtherenhancetheemployeeexperience.

Thestrategicimplementationoftechnologyhasconsiderablepotentialfordeliveringmoretransparent,personalizedservices.

Buildingabenefitsstrategyfitforthefuture11

Buildingabenefitsstrategyfitforthefuture12

Atrulyeffectivebenefitsstrategy

goesbeyondtable-stakesperks.

Itneedstoensurethateach

employeeisnotonlyhappy

withtheirbenefits,butactively

engagingwiththespecific

optionsmostsuitedtotheir

circumstancesandusingthemto

theirfullestpotential.Thiscan

beachievedthroughtransparent,

omnichannelcommunications

andtheeffectiveimplementation

oftechnologytoadminister

thebenefits.

JanPieterJanssen

VPBusinessDevelopment,Alight

Buildingabenefitsstrategyfitforthefuture12

4

Conclusion

Constructinganeffectivebenefitsprogrammayseemlikeadauntingtask.Whetherit’sphysicalwellbeing,mentalhealth,work-lifebalanceor

financialsecurity,employees’benefitpreferencesdifferbytheirlifestage,gender,regionandmore.

Aglobalstrategywithauniversalrosterofbenefitsandsingularcommunicationsapproachcannot

engageadiverseworkforce.Inaneraofrisingexpectations,employersmusttreatemployeeslikeindividuals,orfacealackofproductivity,engagementandretention.

Organizationsmustadapttheirbenefitstomatchevolvingemployeeneeds.Theyneedtopersonalizethemandallowflexibilitywherepossible.And

theymustusetechnologytoclearlycommunicateinformationonemployees’preferreddevices.

Activeengagementisthetruestsignofbenefits

programsuccess.Employersshouldalsomonitor

andanalyzeusagetomakedata-drivendecisions

thatensuretheirbenefitsbringastrongreturnon

investment.Abenefitsstrategythatbalanceshappy,hard-workingemployeeswithoptimizedspending

willunlocknewlevelsofbusinessoutputandprofit.

DidyouknowyoucanoutsourceyourbenefitsadministrationtoAlight?Letustakeonth