Talent Acquisition and Retention: Making Data- Driven ...€¦ · Talent Acquisition and Retention: Making Data-Driven Decisions John Rutledge, SVP, Assurance . 3 Today’s Program

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Talent Acquisition and Retention: Making Data-Driven DecisionsJohn Rutledge, SVP, Assurance

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Today’s Program Current Challenges

What Employees Really Want

Staffing Industry Data

Benefits Plan Strategies

Importance of Communication & Technology

4Minimizing risk. Maximizing health.®

Introduction

Use of datafor decisions

Expanding the candidate

pool

Disconnect on employee

wants

Impact of the ACA

New industry perspective

Applies toboth internal &

temp


List of Research and Data Sources

Surveys and Research

SHRM Adecco U.S. Willis Towers Watson –Emerging Trends

Jellyvision Colonial Life

AMN/Staffcare Gallup Research Clutch Small Business HR Survey

Pew Research Brandon Hall Group

Robert Half U.S. Aberdeen MetLife – Employee Benefit Trends Survey

Monster.com Thomsons Online Benefits

Glassdoor – Employee Confidence Survey

Mercer Consulting Palmer Forecast Benefit Focus 2017 ALEX Benefits Communication Survey

Bullhorn WorldatWork MRINetwork Telehealth Index: Employer Benchmark Survey

LinkedIn

Fractl – Survey of U.S. Workers

Businessolver LIMRA Price Waterhouse Cooper Centre for Generational Kinetics

Harris Poll One Medical Group Eastbridge Mediums.com Communication Partners, Inc.

ADP Paychex American Institute of CPAs Rainmakerthinking.com

PlanSource DeLoitte Millennial Survey HealthCare Cost Institute Devnir Research


Publications and News Sources

Staffing Industry Analysts LA Times ASA Staffing TODAY

Employee Benefits Adviser Moody’s Analytics Wall Street Journal

HealthLeaders Media HR Executive Employee Benefit News

The New York Times Kaiser Health News CNBC.com

Reuters MarketWatch American Staffing Association – “Turnover and Tenure”


Government and Nonprofit Data Sources

U.S. Department of Labor HealthCare Cost Institute

Royal Swedish Academy of Sciences U.S. Bureau of Labor Statistics

Employee Benefit Research Institute California Office of Labor Standards Enforcement

Kaiser Family Foundation

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Industry Challenges


Today’s Business Environment

3.5%unemployment

rate++ 59%

receive multiple job offers

3main decision

factors


» Pressure to pay higher wages and offer more benefits

» The vast majority of employers offer employee benefits» 90% of firms with an HR department offer benefits

» 64% of those with some HR resources do offer benefits

» Small businesses are impacted the most (WSJ)» This is one recruiting field for staffing

Today’s Business Environment


» Turnover is an important stat for staffing » Lower turnover/longer tenure means improved margins and vice versa

» ASA Research shows turnover decreased 2000 – 2013 and has been increasing since – 420% in 2018; up from 386% in 2017

» 27% of private-sector employees switched jobs in 2018

» 25% of employees are looking for a new job at any given time

Turnover


Competition From Other Sectors

Improved Health Benefits More Benefit Choices Flexible Schedules More Paid Time Off

Financial Planning College Loan Repayment Benefits Communication

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What Employees Want


» Four prominent and different generations: » Boomers

» Gen X

» Millennials

» Gen Z

» Each generation has its priorities and wants

» Important to understand your workforce’s demographics

Today’s Diverse & Changing Workforce


» Concerned about insufficient retirement funds & working longer

» Most use technology but also like telephonic support

» Cost of healthcare and long-term care is high on their list

Baby Boomers: Our Data Says…

27%

Workforce Total

Baby Boomers Gen X Millennials Gen Z

Baby Boomers


» Personal finance is #1

» Less money towards savings

» Prefer communicating through email and telephone

» Choice of medical, dental and supplemental benefits are key

Generation X: Our Data Says…

21%

Workforce Total


Gen X


» Benefits are extremely important

» Prefer online, texting, in-person or telephone enrollment

» Want inexpensive medical plans

Millennials: Our Data Says…

44%

Workforce Total


Millennials


» Concerned about student loan debt

» Remote work settings & non-traditional work arrangements

» Social media, online portals, texting and infographics are preferred when onboarding & communicating

» Wellness & prevention plans key

Generation Z: Our Data Says…

8%

Workforce Total


Gen Z


» Only 18% of employers think a top challenge is creating an inclusive environment (and benefits) for all generations

» 40% of U.S. households don’t have $400 for a deductible» Average out-of-pocket expense is now $4,700

» #2 household expense in the U.S. is healthcare

» >70% of temp candidates asked about benefits at job fairs

Non-Generational Issues


» Benefits are preferred over higher salary w/no benefits » 89% of candidates consider health insurance a deal breaker

» 80% of candidates choose additional benefits over a pay raise (Glassdoor Confidence Survey)

YET

» 77% of executives think pay is candidates’ top concern (Adecco USA

Non-Generational Issues (cont.)


» What do workers weigh most in deciding to stay or take a new job?Employees willing to pay 100% of the cost of many benefits if available (Mercer survey)

Non-Generational Issues (cont.)

40%

48%

48%

50%

51%

53%

54%

61%

Profit Sharing

Paid Leave

Non-Medical Benefits (Dental,…

Retirement

Flextime

Paid Vacation

More Pay

Health Insurance

0% 10% 20% 30% 40% 50% 60% 70%


The Appeal of Certain Benefits

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Staffing Industry Data


» ASA Staffing Today – ASA Workforce Monitor» Pay not number #1

» Not as important as schedule

» U.S. Government Accountability Report» 30%-40% of the workforce classify themselves as contingent

» Only 11% of workers are willing to even consider a position without health insurance

What Does the Data Say About Staffing?


» Demographics of temporary workers (U.S. Bureau of Labor Statistics)

» Temporary workers are generally younger than other contingent workers and those in traditional employment.

» Temporary workers are less likely than traditional workers to have attended college – although about half have at least 1 year of college compared to 2/3 for other types of workers.

» 46% of temporary workers would prefer a traditional job

What Does the Data Say About Staffing? (cont.)

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Benefit Plan Strategies


» Implementing Executive Medical Reimbursement plan

» Conducting a demographic analysis

» Thinking “benefits” instead of ACA

» Looking at the new generation of low-cost, no-deductible health plans or improving current MEC plan and renaming it

» Providing the right options

Things to Consider


» Include benefits info in all job postings and social media» Studies prove workers place benefits above pay

» Communicate and enroll during onboarding» 56% of workers say a company’s culture is valued more than salary

» Onboarding is a critical time in the employment relationship to communicate culture and key messages

» Studies show onboarding impacts engagement and tenure

Things to Consider


Expand Your Candidate Pool

Use auto-texting to verify coverage

& more

Communicate & enroll during

onboarding

Reduce papercommunications; use technology

Give benefits prominence & educate staff


» Convert current MEC plans into new low-cost, no-deductible plans and drop terms like “MEC” and turn into a MEC “Plus”

» More valued than deductible or indemnity plans» Lets employees know their cost of every covered service» Add coverage for doctor office visits with copays» Add Rx with copays and perhaps embedded life insurance» Add Telehealth benefits (offered by over 1/3 of all employers)

» Understand the difference between health insurance and indemnity insurance

» Use indemnity plans to supplement health insurance, not as the primary product

» Provide options – think packages

Improving MEC Plans at Little or No Cost


ACA-Compliant Plan Your Health Insurance Plan

Coverage MEC Plan Basic Health Plan

Preventive Services 100% 100%

Doctor Office Visits $25 copay

Generic Rx $15 copay

Deductible No deductible

Your Weekly Deduction $17.50 $19.50

Messaging: Which Looks Better?


» Don’t pay more» Cost of enhanced MEC benefits within normal cost charged for most MECs

» Studies show employees will pay for benefits that meet their needs

» Consider where you invest compensation money» In downtimes, pay becomes more important

» In good times, benefits rise in importance

» $1 invested in benefits generates more profit compared to $1 in payroll• Benefits do not carry payroll burden – average 14% more

• Some benefits can be done on a pre-tax basis which saves you over 7.5%

» Make a small contribution toward a low-cost medical option

Managing Profitability

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Communication & Technology


3 Main Types of Learners


» Start at the recruiting process

» Incorporate into onboarding

» Use multiple communication media: print, internet, video, social media, mobile apps, infographics, telephonic/in-person

» Consider outsourcing benefits administration

» Consider “Total Reward Statements”

Communicate, Communicate, Communicate


» Enrollment communication » Get rid of paper and use technology

» Keep messages simple

» Make whatever enrollment method you use mandatory

» Turn to internet-based options and self-service

» Use free or inexpensive forms of communication


<20 avg. time choosing

benefits


» Better communication = better employee experiences = higher engagement

» Outbound communications more effective for a decentralized workforce

» Recommendations from Thaler’s research include:• Mandate choices – opt out is better than opt in• Make it simple – packaged options work• Ensure frequency – ongoing auto-texting• Provide decision support• Offer easy access to benefits information via technology


Richard Thaler, Nobel Prize Winner in Economics, 2017


» Allowed by IRS in 2002 Revenue Ruling

» Widely used for 401(k) and disability» Over 30% of employees refuse a free 401(k) if opting in

» High persistency rate & improves satisfaction

» Captures 100% offer of coverage for the ACA

» Streamlines administration

*Even though the DOL states ERISA preempts state withholding laws, still get employee consent during onboarding

Switch to Default Enrollment With Opt-Out

45% employees

prefer

55% Millennials

prefer


» Why?» 76% of candidates expect to be able to apply, receive feedback and

get communications electronically

» Make use of texting» Texting had a 99% open rate compared to email’s 8%

» Texting had a 37% response rate compared to emails 2% (Staffing Tec)

» Should not be subject to TCPA/CTIA opt-in requirements

» Look for options that include call center support

Leveraging Technology“BenAdmin” (Benefits Administration)


Leveraging BenAdmin Technology *

What can be automated?

Applications, skills inventories, etc.

Eligibility and eligibility changes *

Offers of coverage*

Enrollment/waivers*

Payroll integration to automate deductions*

Transmitting enrollment to insurance carriers*

Employee benefits self-service*

Benefits communications*

ACA reporting data*

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Next Steps


» Look for ways to beef up medical benefits without adding cost

» Drop MEC and other ACA terms

» Have your broker benchmark your plans

» Make sure you have options that will appeal to your workforce» Have your broker do a demographic analysis

» Enlist help from your broker in creating effective communications

» Highlight benefits in job postings, website and social media

» Review your onboarding process to maximize its impact

» Use BenAdmin technology to communicate, enroll and manage benefits

What’s Next?


Let’s Chat. Contact Us.



Surveys and Research

SHRM Adecco U.S. Willis Towers Watson –Emerging Trends

Jellyvision Colonial Life

AMN/Staffcare Gallup Research Clutch Small Business HR Survey

Pew Research Brandon Hall Group

Robert Half U.S. Aberdeen MetLife – Employee Benefit Trends Survey

Monster.com Thomsons Online Benefits

Glassdoor – Employee Confidence Survey

Mercer Consulting Palmer Forecast Benefit Focus 2017 ALEX Benefits Communication Survey

Bullhorn WorldatWork MRINetwork Telehealth Index: Employer Benchmark Survey

LinkedIn

Fractl – Survey of U.S. Workers

Businessolver LIMRA Price Waterhouse Cooper Centre for Generational Kinetics

Harris Poll One Medical Group Eastbridge Mediums.com Communication Partners, Inc.

ADP Paychex American Institute of CPAs Rainmakerthinking.com

PlanSource DeLoitte Millennial Survey HealthCare Cost Institute Devnir Research


Publications and News Sources

Staffing Industry Analysts LA Times ASA Staffing TODAY

Employee Benefits Adviser Moody’s Analytics Wall Street Journal

HealthLeaders Media HR Executive Employee Benefit News

The New York Times Kaiser Health News CNBC.com

Reuters MarketWatch American Staffing Association – “Turnover and Tenure”


Government and Non-Profit Data Sources

U.S. Department of Labor HealthCare Cost Institute

Royal Swedish Academy of Sciences U.S. Bureau of Labor Statistics

Employee Benefit Research Institute California Office of Labor Standards Enforcement

Kaiser Family Foundation


Coming Next:

ADA Compliance and Staffing WebsitesWednesday, October 30 at 2 PM ET

Staffing World 2019 RecapThursday, November 14 at 2 PM ET

Reserve your seat: www.lunchwithhaley.com

Documents

Talent Acquisition and Retention: Making Data- Driven ...€¦ · Talent Acquisition and Retention: Making Data-Driven Decisions John Rutledge, SVP, Assurance . 3 Today’s Program