In America's professional landscape, there is a diverse workforce comprised of five different generations. While it is true that having a multigenerational workforce presents some challenges to employers, we encourage business leaders to view this as a benefit rather than a challenge. As the workplace evolves, talent acquisition and retention strategies will become increasingly more important and the evaluation of benefits will be a key factor in many employees’ decisions. In the post COVID world, many of the workplace dynamics we were commonly used to have changed forever. In 2023 and beyond, we are seeing several employee benefits trends that are currently playing out and will only become increasingly more important in the future.
1. Changes in healthcare economics:
- U.S. employers can expect health benefits cost per employee to increase more than 3.5%
- High-cost claimants, utilization increase, and employment trend will keep healthcare cost higher overall
- High-cost prescription drugs are a source of frustration, especially with cell and gene therapies that cost millions for a single script
2. Shifting workforce expectations: Talent retention and recruitment are becoming persistent concerns for businesses
- Employees are placing a higher premium on finding purpose and meaning at work
- Empathy is key to solving the challenges employers face with apathy and attrition among their employees
- Organizations struggle with moving their DEI programs beyond just awareness but creating real action and impacting company culture
3. Mental and behavioral health support: Prioritizing well-being in policies and benefits is critical to developing the workplace resilience employers are seeking
- Building flexibility into the workplace creates new opportunities for employers and employees
- Mental and behavioral health support will dominate in employers’ offerings in the years to come
- The workforce continues to expect more from their employee experience, as it related to well-being benefits
In conclusion, as the workplace evolves and employee expectations change, businesses must adapt and prioritize their employee benefits and well-being initiatives. By recognizing and embracing the benefits of a multigenerational workforce, addressing the challenges of healthcare economics, shifting workforce expectations, and prioritizing mental and behavioral health support, employers can create a more resilient and thriving workplace that attracts and retains top talent. Investing in these trends today will help businesses succeed tomorrow.