Employee Benefits Modernization

In 2025, companies will shift from traditional perks like retirement plans and insurance to personalised well-being solutions such as meditation and coaching apps, gym memberships, or flexible working arrangements. This isn’t just about keeping up with changing demographics. It’s a strategic move to attract and retain talent in a competitive market. In fact, 76% of the respondents to a WTW study said that the benefits package is an important reason to continue with their current companies. And India Inc is taking note and offering new-age benefits, like health insurance for a sibling. Research by Randstad shows salary and employee benefits are top priorities for younger workers when choosing a job. They prioritise well-being and flexibility, while older workers value financial security and robust pensions. “Companies are increasingly recognising that traditional benefits packages of ‘one size fits all’ are no longer valid for the current workforce. Today’s employees are highly individualistic and have varied needs,” says Ankkush Agarwal, Head - Corporate Operations at Zeta. How would a shift toward personalised employee benefits impact workplace culture or productivity? Share your thoughts below or by posting a video with #BigIdeas2025. Check out the 15 Big Ideas that will shape India this year: https://lnkd.in/BI25india Thomas de Man & Abhiraj Ganguli

Most EVPs are built on what leaders think employees want, not what they actually want - and that's a problem In 2026, the companies that will win the war for talent are the ones using data to understand their people. Not hunches, not trends - real, actionable insights about what matters most. We've analysed over 2 billion data points from Flexa, and three trends caught my attention: 📈 Demand for benefits in London doubled in 12 months 🏠 Parents wanting remote-first roles up 43% 🌈 LGBTQIA+ demand for diversity up 50% in 6 months This isn't what people might want. It's what they're actively searching for right now. This year, my newsletter is shifting focus towards data. Because having a strong EVP in 2026 isn't just about good policies anymore. It's about using data to guide smarter, more intentional decisions. In this week's newsletter, I'm breaking down: 💡 Why data matters more than ever for your EVP 📈 How to use data to improve employee retention 🔧 4 practical ways to start making data-driven decisions 🎯 A sneak peek at our 2026 Insights Report (coming soon!) Because data turns your EVP from a guessing game into a strategic advantage. #EVP #EmployerBranding #TalentStrategy #FutureOfWork #HR

An insider confirms what I have long written about: 1) the rise in prior authorization requirements to access medical procedures or drugs; 2) the cost shifting onto consumers, in many instances, from their employers, that has resulted in high levels of medical debt and difficulty in accessing care; and 3) most importantly, that too often "health care" is less about health and more about money. As I have argued, for those covered by employer-sponsored health plans, about 150 million Americans, employers could fix these problems if they wanted to. But too often health benefits administration is an afterthought and, again, too much about the money and not enough about employee well-being. The data, and the stories, accumulate. But it will take vigorous legal action, in my opinion, including filing criminal charges against health insurance executives whose actions result in death--see the example in this articles--as well as class action suits against employers who regularly violate their fiduciary duty under ERISA to oversee health benefits for the benefit of their workers--to obtain the changes so desperately needed in a system that costs too much and does too little. #healthinsurance #healthbenefits #employeewellbeing #health #healthpolicy

Can't give an employee a raise due to budget constraints? Give them a work upgrade that costs $0: - Give them elevated title that will support their growth & career - Let them work remotely or have another day at home if you're hybrid - Be okay with them logging off at 3pm on Fridays - If you have unlimited PTO, encourage another week or 2 per year - Connect them with people in your network for mentorship - Allow them to grow their skills vertically or laterally in the company And then fight like hell in the next review cycle to advocate for them.

Your company will spend more on your health next year - but not out of kindness. A new global survey shows 67% of employers are increasing investment in preventive healthcare. Why? Because medical inflation is exploding, and companies are paying for it. The insurance premiums they pay for employees can jump by 10–20% per year. And the more employees claim insurance, the higher the cost goes. So now, companies are realising that prevention is cheaper than treatment. This means more wellness programmes (yoga, meditation), workplace environment changes (air purifiers, walking meetings), early screenings, and mental healthcare. A meta-analysis by Harvard researchers also found that : - Every $1 spent on preventive wellness saved $3.27 in medical costs - And also saved $2.73 in absenteeism and productivity loss So the message is clear: investing in prevention saves companies money, AND keeps employees fit for better work output. While companies may do this for economic reasons, I do think this is a win-win situation. - It helps you feel better, live better, be healthier - Mental health support is becoming a core part of plans - In India, cancer and heart disease are top priorities So overall, your risk of disease will decrease, and longevity will improve. It's a win-win situation. Is your company offering preventive healthcare yet? #healthandwellness #workplacehealth #lifestyle

18-20% annual increase - that's the rate at which healthcare costs are rising. It's a number that should make every business leader pause and think. This surge in healthcare expenses isn't making headlines, yet it's a critical issue that's slowly eroding the value of our employee health insurance plans. If we're not increasing our Group Health Insurance (GHI) coverage every three years, we're effectively reducing our employees' health protection. Here's why: ➤ Technological Leap: The medical field is transforming. We've moved from X-rays to MRIs in what feels like a blink, and each leap brings better care but at a premium. ➤ Facility Upgrades: Even smaller hospitals now feature cutting-edge equipment, driving up expenses. ➤ Pharmaceutical Costs: New, life-saving drugs enter the market at high prices due to extensive R&D investments. ➤ Operational Expenses: Rising real estate costs for medical facilities and competitive salaries for healthcare professionals contribute to overall cost increases. The math is simple. Over three years, we're looking at a 50-60% increase in healthcare costs. Our GHI plans need to keep pace, or we're shortchanging our teams. I've seen the consequences firsthand: Employees facing crippling medical debts. Delayed treatments due to coverage gaps. Stress that impacts not just health, but productivity and loyalty. The solution isn't complex, but it requires commitment: ➤ Audit your GHI plans annually. ➤ Increase coverage limits every three years, aiming for at least a 50% bump. ➤ Educate your team on their coverage – awareness is half the battle. ➤ Partner with insurers who understand this new landscape. As leaders, we don't just manage businesses – we safeguard our people. In this era of skyrocketing healthcare costs, that means taking a hard look at our GHI plans and making sure they're not just good on paper, but good in practice. It's about that woman in operations who beat cancer without bankrupting her family, or the guy in IT whose child got the specialty care they needed. The companies that act now will set the standard for employee care in the years to come. The question is: Will you be one of them? #PolicybazaarforBusiness #HealthcareCrisis #Employeebenefit #grouphealthinsurance

This is the 1 HR rule that needs to be broken in 2025. One-size-fits-all benefits. Your employees don’t want “trendy” perks. They want benefits that actually benefit them. Yet, companies still hand out one-size-fits-all benefits like it’s 1999. What millennials and Gen Z need from their workplaces is vastly different from what Gen X and Boomers need. But benefits packages haven’t caught up. A 2023 survey by Mercer India found that 67% of employees want more flexibility in choosing their benefits. But instead, they get rigid policies designed for another era. Look around your workplace. ✔ A 25-year-old software engineer in Bangalore would prefer student loan assistance over an outdated LTA scheme. ✔ A working mother in Delhi needs subsidised daycare, not a “wellness webinar” on work-life balance. ✔ A sales leader in Mumbai wants fuel reimbursement instead of a free “corporate cab service” that doesn’t even work in his area. The problem? Most companies assume what employees need instead of asking them. How HR can fix this in 2025: ✅ Give employees a say: Offer customisable benefits, whether it’s swapping health insurance for financial incentives, trading paid leave for higher bonuses, or opting for home office setups instead of gym memberships. ✅ Understand generational shifts: Younger employees prioritise financial independence, flexibility, and mental well-being. Their benefits should reflect that. ✅ Move beyond blanket policies: If one-size-fits-all doesn’t work for salaries, why does it work for benefits? Retention isn’t about fancy perks. It’s about giving employees what actually improves their lives. 2025 is the year we stop handing out tone-deaf benefits and start designing workplaces that truly support people. #HRleadership #futureofwork #employeeexperience Arvind Usretay, Rohit Ramani

My latest from Forbes: Empowering Employers to Enhance Health Care Quality Employers hold immense potential to drive quality improvements in health care, which is vital for the well-being of their employees. With nearly half of Americans depending on employer-sponsored coverage, the responsibility to provide accessible, high-quality health benefits has never been more important. Yes, employers face challenges in pushing for quality and scaling innovations that can help. Currently, only 21% of commercial insurance payments incentivize improvements in health outcomes, a stark contrast to 43% in Medicare Advantage. This gap not only affects costs but also directly impacts the care and support our workers receive. Most employers are focused on their core business, not driving innovation in their benefits. To support increased employer focus on quality, Morgan Health, in partnership with JPMorgan Chase benefits, has established a roadmap that empowers employers to effectively measure and enhance health care quality through five key steps. A link to the Forbes piece is in the comments! 1. Identify Today’s Improvement Opportunities: Understanding the current health status of your employee population helps identify gaps in care quality. For instance, high levels of A1c among certain groups may lead to targeted goals to reduce diabetes prevalence. 2. Select Measures Based on Your Quality Goals: Determine what matters most for your workforce’s health. This could include reducing hospitalizations, enhancing access to preventive care, or improving provider satisfaction scores to ensure that employees are engaged in their health. 3. Determine Measure Baselines and Set Targets: Utilize national benchmarks, like those from NCQA Quality Compass, to establish baselines for key health indicators. This can guide you in measuring improvements against evidence-based expectations. 4. Establish Performance Payments that Incentivize Improvement: Align payment structures with quality improvement goals. Discuss and agree on fees-at-risk for performance targets to ensure accountability from health plans, providers, and vendors. 5. Document the Timeline and Process for Measuring Quality: Clearly outline how baselines are set and how results will be calculated. This not only promotes transparency but also helps in aligning all parties involved in the contract, especially when mitigating risks. Together, we can ensure that employers are equipped to foster a healthier workforce. Improving health care quality is not just beneficial—it’s essential for the health and happiness of our workers. Let's make quality care a priority! #HealthCare #QualityImprovement #EmployeeWellbeing #MorganHealth

GLP-1s are a major driver of drug spending, but only 19% of large employers cover GLP-1s for weight loss. --- The hype around #GLP1s like Wegovy and Zepbound is massive, but when it comes to actual coverage decisions, most employers are still hesitant. According to KFF’s 2025 Employer Health Benefits Survey: -Just 19% of large employers that offer health benefits cover GLP-1s for #obesity. -Even among the biggest firms (5,000+ employees), only 43% have coverage (although, that's a noticeable increase from 2024). -Among firms that do cover them, many reported higher-than-expected utilization and significant increases in drug spend. -66% of the largest firms covering GLP-1s say it’s had a “significant” impact on their prescription drug costs (then add another 23% for "moderate" impact). --- #Employers are interested in coverage, but they’re watching the budget impact closely. That’s why over 1/3 of firms with coverage require enrollees to engage in a lifestyle program or meet with a dietitian before accessing coverage. On the opposite end, 67% of all firms not covering GLP-1s say they’re unlikely to add coverage next year. Plan sponsors and their PBMs face a complex balance of cost containment with pressure to offer high-demand therapies that promise long-term health gains. --- An open question I have about these survey results is how direct-to-consumer (DTC) will factor in. If employers could add restricted access to weight loss GLP-1s at the net prices through DTC (instead of the full list price because of reduced/no rebates), how might these coverage decisions change?

Working hours, working age, minimum wage, and many other workforce considerations shift and evolve to fit the times and social sentiments. Before the Industrial Revolution, children labored along with their families. And in a pooled effort, there was no question of protecting minimum wage. However, this trend continued during the Industrial Revolution. It became exploitative and soul-crushing versus uplifting in the cause of a family laboring together. Hence laws governing legal age, safety, minimum wage, etc came into being. With the rise of the gig economy, moonlighting, hybrid work models, and more — employee needs have shifted. How do we curate concrete benefits that genuinely resonate with today’s and tomorrow’s workforce? Bonuses, vouchers, overtime pay, free food, etc., are an old thing. Today’s employees expect workplaces to share their values and causes, champion their personal constraints, and offer better professional growth. Benefits must align with their evolving values, life stages, and priorities. Once considered an optional add-on, mental health resources are now a core expectation. For instance, recognizing the role of fathers in caregiving, many companies now offer extended paternity leave. And caregiving benefits include elder care and flexible pet care options. Did you know Spotify offers six months of parental leave and covers costs for fertility assistance, including egg freezing? Then, Salesforce’s Wellness Reimbursement Program offers employees up to $1,000 annually for fitness classes, mental health services, nutrition consultations and more.  PwC has implemented an interesting student loan repayment program: It contributes $1,200 annually toward employees’ student loans. This is a game-changer for younger employees burdened by debt. I am sure many more organizations are offering customised benefits and refreshing them every few years. According to a recent LinkedIn Workplace Report, over 60% of employees prioritize flexibility and work-life balance when deciding whether to join or stay with a company. Similarly, SHRM data reveals that organizations offering personalized benefits experience 41% higher retention rates than those sticking to conventional models. The future workplace will thrive on customization, inclusivity, and addressing needs across the employee's life stage. What benefits are game changers for you? #career #growth #leadership #work #future