As you know, employee benefits are key for talent recruitment and retention. As we get ready to ring in a new decade, it’s time to think about how employee benefits have evolved. Here’s a look at the employee benefit trends that will have an impact on 2020 recruitment, retention and enrollment.
The cost of offering employee health benefits has been rising, and this trend will continue. In 2020, the average cost of employee health benefits is expected to increase 5 percent, according to CNBC’s reporting of a survey from the National Business Group on Health. To address rising costs, some employers are embracing strategies that include new pharmaceutical discount arrangements and direct contracting with doctors.
More Plan Options
High-deductible health plans (HDHPs) combined with health savings accounts (HSAs) remain a popular offering. However, employers are starting to offer more options again. According to NPR, companies like Digital River previously replaced other plan types with HDHPs and HSAs but are now beginning to bring back other options.
Employee wellbeing remains a focal point. According to the Best Practices in Health Care Employer Survey Report from Willis Tower Watson, 83 percent of employers surveyed say it’s important to enhance employee wellbeing over the next three years, and half say they have made progress over the last three years.
Student Loan Assistance and Education Benefits
Student loan assistance benefits are in hot demand. According to a ZipRecruiter survey provided to Business Insider, 63 percent of job-seekers with student loan debt would give up paid time off in exchange for help paying off their loans.
Meanwhile, more workers are taking advantage of their education benefits. According to HR Dive, another survey found that participation in employee scholarships, student aid and student loan benefits has increased from 10 percent in 2018 to 26 percent in 2019.
Telehealth continues to gain popularity as a convenient and cost-effective method of care. Many employers now offer virtual care services. Employers are also embracing telehealth as a way to improve mental health offerings. According to SHRM, 82 percent of employers will offer virtual mental health benefits in 2020.
Individuals who do not have access to affordable employer-based health care may turn to the Marketplace for their insurance coverage. Enrollment for 2020 plans is happening between November 1 and December 15. During the first three weeks, 431,574 new consumers enrolled in plans using the federal Marketplace, along with 1,237,827 consumers who renewed coverage.
Of course, managing an innovative employee benefits program requires agile benefits software. Count on Travisoft to manage ACA compliance, COBRA administration, retiree billing and more. Request a demo today or contact us to learn more.