Rising healthcare costs and concerns for employees’ financial wellness and retirement preparedness are nudging employers to re-evaluate their benefit offerings.
Wellness programs have jumped notably since 2011, when 60% of employers said they offered some type of wellness programs, according to the Society for Human Resource Management’s 2015 Employee Benefits Survey. In 2015, 70% of employers said they offer wellness programs, up from 62% last year.
“Wellness benefits provide employers with a preventative approach that can reduce health care expenses for organizations over the long haul,” says Evren Esen, director of SHRM’s survey programs. “Rising health care costs also remained a primary driver for how other benefit costs are allocated, as employers are still evaluating the impact of the Affordable Care Act.”
Wellness programs help employers increase engagement and retention, she noted Monday during SHRM’s annual conference in Las Vegas. “We see organizations tackling wellness on a variety of fronts,” she added.
She noted companies implementing wellness programs targeting chronic conditions would likely see the most bang for their buck in the long run. The SHRM research noted another notable spike over the five-year span, with smoking cessation programs jumping 8% and preventive programs specifically targeting employees with chronic conditions jumping 7%.
“When organizations are smart at strategizing benefits, they look at costs and what benefits employees want,” she says. And while savings won’t be immediate, she says including smart programs will prove effective.
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Contact Steven G. Cosby, MHSA, Group Health Insurance Broker and Agent with Cosby Insurance Group, with questions or to request more information and to schedule a healthcare plan evaluation, savings analysis or group plan solution for your company.
