What's Happening?
HR Executive discusses the potential of open enrollment as a strategic opportunity to advance workplace equity. The article highlights that while 85% of employees value wellness benefits, there is a significant disparity in utilization rates, with higher-income employees more likely to use preventive care benefits. The article suggests that the traditional open enrollment process, which involves dense benefits guides and complex online portals, creates barriers for lower-income employees and those without college degrees. The piece advocates for making high-value, low-barrier benefits the default choice to ensure equitable access.
Why It's Important?
The article underscores the importance of equitable access to wellness benefits as a means to build a strong workforce. It points out that companies that prioritize employee wellbeing are more attractive to job seekers, with 89% of them considering such companies. Moreover, equitable benefits utilization can lead to reduced healthcare costs and increased job satisfaction, which in turn can lower turnover rates. The piece argues that addressing these disparities is not only a moral imperative but also a business necessity.
What's Next?
The article suggests three immediate actions for transforming open enrollment: tracking utilization data across different employee populations, simplifying the benefits selection process, and partnering with frontline employees to understand their challenges. These steps aim to close participation gaps and ensure that all employees can benefit from wellness programs.
