What's Happening?
A recent survey conducted by the financial services organization Equitable has highlighted a shift in how younger generations are learning about workplace benefits. Released on October 9, the survey found that more than half of workers rely on HR materials
and informational sessions provided by their employers. However, younger employees, particularly Generation Z and millennials, are increasingly turning to platforms like TikTok, Instagram, Reddit, and YouTube, as well as artificial intelligence, to understand their benefits. Stephanie Shields, head of Equitable’s employee benefits business, emphasized the importance of understanding benefit options to protect health and financial well-being. The survey also revealed that over 40% of U.S. adults feel uncertain about voluntary benefits, although 80% of those who learn about them find them valuable.
Why It's Important?
The trend of younger workers using social media and AI for benefits education reflects a broader shift in how information is consumed and highlights the need for employers to adapt their communication strategies. As voluntary benefits become a competitive advantage for attracting and retaining talent, understanding these offerings is crucial for both employees and employers. The survey underscores the strategic value of voluntary benefits, which include supplemental health coverage and lifestyle offerings like pet insurance and legal services. With nearly one-third of U.S. businesses planning to expand these offerings by 2027, the ability to effectively communicate their value is essential for maintaining employee satisfaction and enhancing workplace culture.
What's Next?
Employers may need to reconsider their approach to benefits education, integrating digital platforms and AI tools to better reach younger employees. As the demand for voluntary benefits grows, businesses are likely to expand their offerings, focusing on quality-of-life products such as pet insurance and long-term care solutions. This shift could lead to increased employee satisfaction and retention, as well as a more competitive edge in the job market. Companies might also explore partnerships with tech platforms to enhance their benefits communication strategies, ensuring that employees are well-informed and confident in their choices.
Beyond the Headlines
The reliance on social media and AI for benefits education raises questions about the accuracy and reliability of information obtained from these sources. Employers must ensure that the content shared on these platforms is accurate and aligns with official HR materials. Additionally, the growing importance of voluntary benefits reflects changing employee priorities, with a focus on holistic well-being and lifestyle support. This trend may influence broader shifts in workplace culture, emphasizing the need for personalized and flexible benefits packages that cater to diverse employee needs.
