Polls and history show that employee benefits are a key way in which business owners – be them small or large – retain workers in order to remain competitive. And according to a newly released survey, a larger percentage of employers are turning to voluntary benefits for similar purposes.
Approximately 70 percent of employers offer voluntary benefits as a strategy to boost workplace morale in an effort to imbue the office with some team spirit, research organization LIMRA revealed in a recent poll. Respondents also said that they did this to keep existing employees with the company and encourage those who are looking for work to apply.
Ron Neyer, assistant research director at LIMRA, noted that with the unemployment rate steadily declining, more people are finding jobs, thus making the pool of potential employees increasingly slim. As a result, employers are looking for different ways of attracting personnel and winning the loyalty of key workers.
"LIMRA found employers choosing to offer voluntary benefits to supplement their existing benefits package without adding to their bottom line," said Neyer.
Once these voluntary benefits are distributed, employers often have preferences for how they're monitored or maintained by the insurer that offers them. For example, among the participants in the study, the largest percentage preferred communications through call centers, second was personalized employee statements and information materials distributed at the office.
Employers say mobile technology is fundamental
Mobile technology has revolutionized the way in which workers keep track of their employee benefits, including those that are voluntary. Business owners said that this is not only convenient, but a key aspect of the enrollment process. Close to 25 percent of respondents indicated that mobile technology was "very important" to enrolling for voluntary benefits and close to 50 percent said that web-based support was valuable, such as workers being able to communicate with providers through an instant messaging service.
"As more Millennials enter the workforce, the demand for online and mobile access to their benefits will increase," said Neyer. "Companies that stay current on these communication strategies are likely to have a competitive edge in this growing market."
As for employee benefits, in light of the Affordable Care Act, many workplaces have looked to the federal and state-based insurance exchanges to provide coverage for their workers. The open enrollment season is just around the corner – starting on Nov. 15 – and it's at this time that employees can make decisions about how they want their benefit offerings to look like next year.
Craig Rosenberg, leader of health and welfare benefits at Aon Hewitt, noted that most employers are not making any major changes to their plan offerings.
"However, it's still important for employees to review all of their benefit options because these decisions impact not only their wallets, but their overall well-being," said Rosenberg. "Many employers are providing employees with new options that may better meet their needs and help them manage costs for the upcoming year."
Some of the changes that workers may see this year are changing health care costs, more options for consumer-driven health plans as well as new incentives that promote why workers should strive to live healthily.
