The Greek philosopher Heraclitus is generally credited with first saying, "The only constant is change." In the world of benefits, one of the emergent changes has been to personalize the employee experience. Part of how that effort is succeeding is by framing programs in more human-centric terms.

As we've written before, it's the same human being that plays the distinct, yet intertwined roles of employee, patient, consumer, and plan member. Plans that are designed, first, around our shared humanity and lived experiences stand a better chance of achieving the specific goals of whatever they're addressing.

Empathy and vision - creating "the attractive organization"
While there are still plenty of employers and consultants who are content to "check the boxes" that dispassionate benchmarking may indicate, culture-forward companies are actively seeking how to become more attractive and retentive.

While not ignoring the necessity for strong compensation and popular perks, they are emphasizing a work environment that values emotional intelligence, fosters genuine connections, and provides clear pathways for personal and professional development.

The view here is to help drive innovation and productivity by nurturing employees' personal aspirations and vocational goals. It's in that context that Total Rewards approaches are expanding their range.

On-demand pay and financial flexibility
On-demand pay is transforming financial flexibility, allowing employees to access their earned wages whenever needed. This approach is not just about dollars and cents; it’s about dignity, security, and empowerment. When financial worries dissipate, creativity and productivity can flourish. Progressive companies are championing this future. Companies like St. Bernard's Healthcare, with about 1,500 employees, are offering purchasing platforms to help employees buy high-ticket items, and pay over time, with no interest. This is significant boon for employees who might otherwise take out 401(k) loans, payday loans at usurious interest rates, or even use high-interest credit cards.

Lifestyle spending accounts
Lifestyle Spending Accounts (LSAs) continue to expand their benefit footprint. By facilitating personalized well-being beyond traditional health plans, like for yoga classes, healthy meal plans, or a hobby that sparks joy. According to compt.io, about 13% of employers were offering such plans in 2023-2024, with 45% expected to offer them by 2025! Mercer and WTW data suggests that could go as high as 70%.

Digital nomad policies
The rise of remote work has given birth to a new breed of professionals—the digital nomads. By embracing digital nomad policies, companies are not just adapting; they are pioneering. International health coverage, co-working space allowances, and visa assistance go beyond benefits; they represent a commitment to freedom and flexibility. BizNews.com says that about 11% of the U.S. workforce can be classified as digital nomads, representing over 17 million workers - up from 7.3 million in 2019. Companies adopting these policies are essentially telling their employees: go, explore, live your life to the fullest, and they will provide support.

Fertility benefits
It seems simple: family planning should never be a casualty of career ambition. Unsurprisingly, fertility benefits have burgeoned in the past 5 years, including coverage for egg and sperm freezing, IVF, and other approaches. According to Forbes and the CDC, about one in five women has difficulty conceiving a child after a year. Companies that embrace the juxtaposition of work and building a family are clearly more attractive to many women than those that don't.

Pet insurance and pet care benefits
Pets are confidants, comforters, and family. Offering pet insurance and pet care benefits reflects an understanding of this bond. Coverage for vet expenses, pet sitting, and even bereavement leave for the loss of a pet highlights the unconditional love and joy pets bring into lives. While different consulting firms' surveys show varying percentages of employers offering such coverage, Mercer, Aon, Gallagher and WTW data shows it's between 15% and 25% of companies.

Climate and sustainability benefits
As stewards of this planet, responsibility extends beyond the office. Climate and sustainability benefits, such as subsidies for electric vehicles and incentives for conservation activities, are bold steps toward a sustainable future. Deloitte says that 69% of employees want their companies to invest in sustainability efforts, Time says that about 70% of employees say a sustainability package makes an employer more attractive, and Statista says that 55% of C-Level executives highlighted brand recognition and reputation as key benefits from their companies' sustainability efforts.

Climate and sustainability benefits can illuminate how shared goals can unite employees. Working together on environmental initiatives can help bridge divides and foster a sense of common purpose, transcending political and social differences by focusing on a collective effort to protect our planet.

Fostering inclusivity through benefits
In today’s world, societal and political polarization is a stark reality, permeating workplaces and influencing employee morale, fears, and concerns. Employers have an extraordinary opportunity to weave their benefit programs into a tapestry of unity and understanding. Benefits can be a powerful tool to create a culture that accommodates differing viewpoints without exacerbating tensions.

Inclusivity is more than a policy; it’s a practice. By offering benefits that cater to a wide range of needs and preferences, companies can create a sense of belonging for all employees. LSAs, for instance, can support various wellness activities that resonate with different cultures and lifestyles, fostering a culture of mutual respect and appreciation.

Promoting open dialogue and understanding
Benefit programs can also promote open dialogue and understanding. Mental health support, including counseling services, helps employees navigate the emotional landscape of a polarized society. Providing spaces for employees to express their thoughts and feelings in a safe, non-judgmental environment can reduce underlying anger and build empathy. Viktor Frankl said, “When we are no longer able to change a situation, we are challenged to change ourselves,” highlighting the importance of self-awareness and empathy in transforming workplace dynamics.

The last word
As we head towards 2024-2025 Open Enrollment, companies have the opportunity to be champions of change by expanding their range of felt passion and shared purpose. Just the effort to honor the diversity of cultural and lived experiences that are at the heart of the workforce is important and compelling. This moment calls for leadership and inspiration to create workplaces that truly nurture every individual. At the end of the day, shared humanity binds, drives, and propels us forward. Embracing change and expanding the range—together—is key.

~ Mark Head
© 2024. All Rights Reserved.

Aspirations
“Our human compassion binds us the one to the other – not in pity or patronizingly, but as human beings who have learnt how to turn our common suffering into hope for the future.”

~ Nelson Mandela

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