HELPING CLIENTS GET THE MOST OUT OF THEIR BENEFITS PACKAGE

Employers invest significant time and money in building competitive benefits packages for their employees, offerings that both attract and retain talent. However, if employees are unaware of, or fail to utilize the comprehensive benefits their employer generously provided, both parties as well as their PEO partner lose out. The resulting gap can be costly. Benefits go underutilized. Employees miss out on leveraging valuable resources and employers fail to see a return on one of the most significant investments in their workforce. And from the PEO perspective, benefits underutilization can cause business leaders to question whether they chose the right HR partner.

THE COST OF POOR BENEFITS COMMUNICATION

Many of today’s employees are navigating expanded plan options, new digital tools and more information than ever before. With so much data to process, it’s easy to see why some benefits offerings fall through the cracks.

In reality, many employees may not be aware of all that might be featured in their plans including preventative care, PTO for community service, continuing education assistance, wellness opportunities, along with mental health and other well-being resources. Then there are the voluntary benefits that complement core coverage. Each portion of the total package represents real value that employees will hopefully appreciate and strongly consider when competing job opportunities arise.

A well-structured employee benefits communication strategy – designed in partnership with their HR services provider – ensures that workers see the true worth of their full employment package and recognize the tremendous value of a competitive salary combined with comprehensive benefits. This recognition from staff often leads to heightened morale, improved engagement, a stronger employer-employee relationship and long-term satisfaction. It can also result in increased PEO partner trust and ultimately help extend service agreements.

INITIATING A YEAR-ROUND BENEFITS DISCUSSION

One of the most common mistakes employers make is treating benefits communications as a once-a-year event, exclusively tied to open enrollment. If the only period in time when employees receive meaningful information about their benefits is during the busy and frequently stressful annual sign-up window, they are likely to miss critical details or forget all the many services they have access to when opportunities to use them arise.

Establishing an internal communications plan complete with scheduled benefits updates throughout the year is one of the most effective strategies an employer can implement. That engagement calendar should dictate which benefits will be highlighted on a monthly, bimonthly or quarterly basis, with special attention given to unique underutilized resources. A PEO partner with comprehensive client services can not only help design but also execute that calendar, taking the burden off internal HR staff members that may already be stretched thin.

USING DATA TO IDENTIFY USAGE GAPS

Forward thinking PEOs are becoming more advanced than ever before thanks to the availability of AI and other technology tools that let them easily access helpful information. Even if that is not the case, all HR partners can certainly measure the rates at which employees are utilizing their benefits. Routine PEO-led data analysis can reveal where employees may need more information or targeted outreach. If a wellness program has a 5% utilization rate, that is a sign that employees either do not know about it or do not understand how to access it. Over time, low utilization numbers can also be a signal that some adjustments in available benefits offerings may be needed.

Communicate About the Full Benefits Picture. Too often, benefits communications focus almost exclusively on health insurance while failing to highlight the broader ecosystem of offerings. Employees should regularly receive clear information about what benefits are available, how they work together, how to access continuing education, wellness and mental health resources, and how voluntary benefits can complement their core coverage. Framing the full package helps employees understand the total value of what their employer is offering.

Maximizing a Client’s Benefits Awareness. As a general agency that helps brokers match companies with the right PEO, we are obsessed with making sure businesses have access to the benefits they need with high utilization rates. This is made possible by a good PEO match and a well-informed workforce. That means making internal communication a priority, helping employers see that a great benefits package is only as valuable as the awareness employees have of it.

PEOs are in a powerful position to drive this awareness, with the infrastructure, knowledge and resources to manage staff outreach and the expertise to identify benefits utilization gaps, bolstered by strong client relationships and trust. A well-matched PEO partner can transform benefits season from a once-a-year enrollment period into a year-round educational journey.