Employee Benefits

Employee benefit plans are continually evolving as the needs, desires, and majority age of the working population shift. In addition to these factors, the fluctuating state of our economy and the healthcare reform are driving employers to find creative ways to continue to provide, or enhance, benefits while still cutting costs. According to a survey conducted by the SHRM Foundation, 72% of HR professionals reported that the benefits offerings at their organization have been affected in some way due to the Post-Recession Economy . At minimum, an annual review, as well as solid guiding principles of the benefit program can assist employers in staying in line with, or even ahead, of trends. While the impact of the economy and the new healthcare legislation has created considerable challenge, it is also creating opportunities for employers to think outside the box and begin to revolutionize traditional benefit programs.
There is a trend, while not novel, that offers a health savings account as one of the options in a cafeteria plan. This is a move away from, what has been considered ideal for so many years, the traditional co-pay, coinsurance, and annual deductible cafeteria selections with varying levels of coverage and employee premium deductions. The utilization of an employer, employee, or combination thereof, funded health reimbursement account (HRA) will help individuals begin to realize the true cost of medical care. My current organization is testing, for 2011; an employer funded HRA. One objective of this type of plan is to create a more informed consumer. Understanding the cost of health coverage can shift thinking and could result in more selective utilization. While it isn’t meant for illnesses to go untreated, we also offer a strong initiative toward wellness programs. Along with the healthcare reform legislation that preventive care is covered at 100%, this will also help ensure that employees are visiting physicians as part of an annual