Today's workforce is made up of
For benefit advisers, this diversity presents both a challenge and opportunity when it comes to helping employer clients design benefit packages. A
So, how can they tailor benefit plans to meet the varying needs of a multigenerational workforce? Before that question can be answered, it's essential to gain an in-depth understanding of your client's
Baby boomers typically value comprehensive healthcare coverage and robust retirement options, while Gen Xers tend to gravitate toward financial planning benefits and options that support work-life balance. On the other end of the generational divide, professional-development opportunities, flexible work arrangements and mental health support resonate more with millennials and Gen Zers.
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While acknowledging generational differences is critically important, so too is identifying the shared needs and desires that align the various members of the workforce, which can help set the foundation for the development of a successful benefits program. One such example is that a study conducted by Forbes Advisor found that mental health benefits ranked extremely high in importance for workers across all generations. In fact, 62% of surveyed employees noted that access to mental health resources is integral to their overall job satisfaction.
Professional-development opportunities were also found to be of high value to workers across generations. Most employees ranked access to learning management systems as their top resource of choice for career growth, regardless of generation.
Conducting surveys and focus groups can help your clients evaluate their employees' preferences across generations, which can serve as a roadmap for building a more meaningful benefits strategy.
Gaining a better understanding of what offerings a generationally diverse workforce wants to see reflected in their benefits program will optimize an employer's approach. Creating ample opportunities for customization is key. This can be done through flexible benefit programs, which provide certain core benefits that appeal to all employees, as well as a variety of supplemental coverage options. The aim is allowing employees to tailor their benefits package to their individual circumstances and priorities.
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Core benefits offerings should cover essential needs and will be of value to employees of all generations. These may include comprehensive healthcare coverage, including medical, dental and vision, as well as retirement savings plans such as a 401(k) with employer matching contributions. Others may involve paid time off, including vacation and sick leave, as well as disability and life insurance plans.
When paired with core offerings, various supplemental coverage options can help employees create their own curated benefits plan. The possibilities are almost limitless. Added healthcare options such as HSAs, FSAs and telemedicine services can add an important layer alongside wellness programs that include gym memberships, mindfulness apps and nutrition counseling.
Mindful of the need for family support, employers can make available childcare subsidies, eldercare assistance and paid parental leave, as well as flexible work arrangements such as hybrid or remote work or flexible hours to help employees strike a better work-life balance.
Career development support such as tuition reimbursement, mentorship programs and professional certifications will likely appeal to younger generations. They're also increasingly appreciating financial wellness benefits that include student loan repayment assistance or financial planning services.
Various miscellaneous offerings that include lifestyle perks such as commuter benefits, pet insurance, legal assistance and identity theft protection may have a cross-generational appeal that burnishes overall recruitment and retention.
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Presenting employees with a menu of high-value benefits options and allowing them to select the offerings that meet their unique needs can foster a sense of personalization, boosting participation in — and satisfaction with — their benefits.
It's not enough to simply offer customizable benefits and expect employees to be able to navigate them effectively. Employers also must provide ample education and communication to empower employees to make informed benefits selections. Otherwise, their personalized offerings may go unnoticed.
From interactive benefits websites and digital benefits guides to webinars and in-person sessions, a multi-channel approach is key to effectively conveying crucial messages to a multigenerational workforce. By leveraging a mix of innovative and traditional methods of communication, employers can foster a culture of health literacy for all.
When it comes to employees' expectations, change is inevitable. Employers must continually review and adjust their benefits programs to ensure alignment with their workforce's current needs. Keeping up with and adapting to healthcare trends, economic shifts and technological advancements is necessary to sustain a benefits plan that appeals to a generationally diverse workforce.
