Five ways your employee benefits can work for every generation
For the first time in modern working history, as many as five generations may be sharing the same workplace.
Some employees may be at the very start of their careers while others may be approaching retirement. This diversity can bring considerable benefits for employers – from experience and fresh thinking to resilience and innovation – but, with expectations and priorities varying greatly, it can also result in a plethora of challenges.
A one-size-fits-all approach to employee benefits is unlikely to resonate with every member of the workforce.
Enter stage left benefits technology, which has enabled organisations of any size to design and deliver benefits that meet differing needs, without creating an administrative headache.
Here we bring you five practical ways that employers can use technology to ensure their benefits work for every generation.
1. Why choice matters
Different generations will invariably value different types of support, but these differences are rarely defined just by age demographics. Life stage, caring responsibilities, financial pressures and personal priorities can all influence what employees value at any given time.
Flexibility or lifestyle benefits may be more important to younger employees, while employees in the middle of their career may place a bigger priority on healthcare or support for caring responsibilities. Employees who are approaching retirement, meanwhile, may be more focused on pension planning or put greater value on health screening.
Benefits platforms now makes it possible to provide a core benefits offering, while also giving employees the freedom to tailor elements of their package to suit their individual circumstances, from adjusting levels of cover to choosing optional benefits.
Moreover, benefit platforms can allow this flexibility to be delivered without putting any additional demands on HR resources, which will often be limited.
2. Make benefits easier to understand
One of the most common reasons for benefits being underused or undervalued is employees failing to fully understand what’s being offered. Engagement levels will always dip if benefits seem confusing, difficult to access or even irrelevant.
When employers are dealing with a multi-generational workforce, communication around benefits will usually prove more challenging.
Employees may have different levels of digital expertise or confidence, different preferences for how information is presented to them and different expectations for when support is available and how to get help.
Technology can play an important role in boosting engagement by centralising benefits information in one place and presenting it in clear, accessible language. Employees can explore their benefits at their own pace and make changes without relying on HR or management.
Personalised communication can also help to make benefits feel more relevant, with messaging reflecting an employee’s circumstances or highlighting benefits at moments that matter to them.
3. Help employees see the full value of what they receive
Salary is an important part of employee remuneration, but it is only part of the picture.
Many employees, particularly younger ones, underestimate the total value of their reward package, while others may not appreciate how certain benefits can help safeguard their financial futures.
Under such circumstances, where employees cannot easily see or understand their benefits, they may underestimate their value. Support for wellbeing or future financial security, as a result, can go unnoticed.
Technology can help by giving employees a clear, single view of their pay and benefits, helping them understand the value of what is provided.
This is particularly important in a multi-generational workforce, where employees value different benefits.
4. Use insight to shape your benefits strategy
When designing benefits, it can be tempting to rely on generational stereotypes, but these will often fail to reflect what employees actually value.
Today’s benefits platforms will give employers anonymised, real-time data on how employees choose and use their benefits. This helps businesses to see which benefits are working well across different age groups and life stages, and which may need to be reviewed.
Employers can use the data to make more informed decisions and, where necessary, adapt their offering.
For SMEs, in particular, this data-led approach can help to ensure that benefits budgets are used effectively, and that they are able to focus on the areas that deliver most value.
5. Design benefits that can evolve as your workforce changes
Workforces and employee expectations never stand still. Benefits that work well today may not meet the needs of employees in the future, particularly as working patterns and employee priorities change.
A good benefits strategy should be flexible, allowing employers to use technology to update benefits as employee needs or regulations change.
This helps benefits to keep pace with changing ways of working, including hybrid working, while ensuring they remain compliant.
In addition, it reassures employees that their employer understands that needs change and is committed to supporting them throughout their career. For employers, it helps ensure benefits remain relevant as they grow.
Benefits that work for everyone
Creating employee benefits that work for every generation calls for an inclusive approach that recognises different needs and offers sufficient flexibility to respond to them.
Technology plays an important role in this by helping employers offer real choice and make more informed decisions.
When benefits are delivered through the right digital tools, they go beyond a simple list of options and become a meaningful investment in employee wellbeing and security.