According to MetLife’s 2014 Employee Benefit Trends Study, the percent of employers who identify voluntary benefits as a significant part of their company’s benefit strategy has decreased since 2013. Experts contend that this decrease is a result of changing health care policy and resulting challenges.
While it’s understandable that employers feel the need to cut back or at least not expand their benefit offerings at this time, employees show a continued interest in obtaining voluntary benefits.
The MetLife Employee Benefits Trends Study identifies three reasons why employers should remain focused on voluntary benefits despite concern about rising health care costs and the impact of the Affordable Care Act on their company.
First, the MetLife study indicated that employee loyalty and satisfaction related to his or her benefits has risen to 75 percent of employees reporting that they are very satisfied with their benefits. Furthermore, 50 percent of employees agreed that benefits were an important reason why they remained with their employer (https://benefittrends.metlife.com/benefits-breakthrough).
Secondly, the MetLife study revealed that 64 percent of employees are interested in having their employer provide a wider array of voluntary benefits, and that 60 percent are willing to bear more of the cost in order to have more choices (https://benefittrends.metlife.com/benefits-breakthrough).
Finally, employees who are still recovering from the recession are relying on voluntary benefits to help meet their financial goals and health care needs. In fact, 58 percent of employees strongly agree that they are looking to their employer for “more help in achieving financial security through employee benefits” (https://benefittrends.metlife.com/benefits-breakthrough).
While employers work to predict the impact of the Affordable Care Act and take proactive steps to ensure consistency of benefit offerings and their own financial stability, it’s wise for them to consider what employees want and need during this time of major changes to the health care system.
The quality and availability of voluntary benefits is one measure employees use to determine their loyalty and satisfaction. In order to retain a talented, experienced, and proven staff, employers are advised to continue to offer a range of voluntary benefits comparable to the last year or two.
FBMC Benefits Management can help employers provide voluntary benefits through a variety of “best in class” benefit products that include dental, vision, wellness, cancer and/or critical illness, life, legal, identity theft protection, and more. Contact us here to learn more.
This article is intended to provide accurate and authoritative information on the subject matter covered. It is distributed with the understanding that FBMC is not rendering professional or medical advice and assumes no liability in connection with its use.