The variables and choices that are presented to human resources departments and company executives when attempting to manage employee benefits are numerous. Knowing that there is a lot of information to sift through is not enough – HR professionals need to know the ins and outs of benefits management or their efforts will be inefficient and subject to wasteful spending.
For example, the U.S. Bureau of Labor Statistics found that 77 percent of workers receive both paid holidays as well as paid vacation. Understanding the difference between these two types of compensated days can be difficult, especially when negotiating insurance carrier literature and comparing separate plans.
Additionally, such benefits as short-term and long-term disability insurance can be loosely defined and are best left to experts to interpret. Without the years of time spent sifting through benefits plans and interacting with dozens of carriers for each and every benefit, human resources departments aren't able to make efficient use of their time and resources. Executives should be committed to contracting an employee benefit specialist or firm so that their company can have the peace of mind that comes from knowing that coverage is substantive and cost-effective.
