Health plans are the most impactful employee value proposition (EVP) for attracting talent, yet 58% of human resources (HR) leaders say that the benefits they offer are underutilised, according to the latest research from Cigna Healthcare, International Health.
The report, titled Harnessing Health – Measuring the Impact of Employee Health and Well-being Benefits, is based on a survey of 1000 managers and directors in HR and Benefits functions in Hong Kong, Singapore, the UAE, UK and US. Respondents confirmed that employee well-being is the top priority, with benefits producing tangible advantages for the entire organisation.
Jason Sadler, President, International Health, Cigna Healthcare, said:
Our survey results show that health and well-being benefits drive workplace performance, help attract and retain talent, and are critical in keeping employees healthy and engaged. To fully harness these positive impacts, employers should provide benefits plans that meet the needs of their workforce, while also fostering a workplace culture that encourages proactive health and well-being management.
Jason Sadler, President, International Health, Cigna Healthcare
Key findings include:
- Employee well-being is a leading priority for HR leaders: It ranks as the most important priority among respondents from international organisations. Those working in domestic companies rank it as the second priority, just behind employee retention.
- Health and well-being benefits improve business outcomes: two-thirds (66%) of the HR leaders surveyed believe health insurance reinforces a company culture that supports health, while 65% believe it plays a crucial role in attracting talent and 63% in maintaining employee loyalty. Almost half of respondents believe health and well-being benefits help shorten working hours (48%), reduce absenteeism (47%), and improve employee productivity (47%).
- Wellbeing and health plans are a top EVP: It is one of the most commonly offered EVPs, with 93% of respondents saying that it is provided by their organisation, just behind flexible time off and working arrangements. It is also the second most preferred EVP among employees, after flexible time off and working arrangements.
- There is a gap between employer intentions and employee perspectives: Despite the large proportion of organisations offering benefits (93%), only six in 10 employees (57%) feel their employer proactively supports their health and well-being. Underutilisation of such benefits may be one reason for this – 58% of HR respondents reported that the top health benefits offered are underutilised by workers.
With underutilisation of benefits being a common issue across all markets surveyed, better communication will be key to making health and well-being strategies more effective. The aim should be to improve awareness and understanding of the benefits offered and how to access them.
Wendy Sherry, CEO Global Health Benefits, Cigna Healthcaresaid:
A holistic and tailored benefits plan designed with each employer’s unique employee population in mind is a critically important retention and engagement tool. Investing in, and driving awareness of, programs that support employee health and vitality can positively impact an employer’s bottom line. Adopting a comprehensive approach toward workplace health benefits empowers employees to take charge of their healthcare and make the best use of benefits.
Wendy Sherry, CEO Global Health Benefits, Cigna Healthcare