August 2019

Health Care Benefits Play Top Role in Attracting, Retaining Employees

By Bruce Mamary, vice president of Consultant Relations and Client Strategy

With today’s job market humming along, America’s largest employers are paying special attention to retaining their employee base. And, as health care costs continue to rise, employers are keenly aware that quality health care benefits are extremely important to that base.

According to a recent Society for Human Resource Management survey  of more than 2,700 of its employer members, 86% say they believe health benefits are “very” or “extremely important” to their employees. But, as always, return on investment plays an important role in providing quality benefits that are cost effective and accessible.

Every quarter, we gauge what our national employer groups feel are most important to their businesses moving forward. We consider these surveys to be extremely important in developing benefits solutions that are tailored to each of our clients. Our Q1 and Q2 Employer Pulse surveys  showed some interesting industry trends. Let’s discuss a few survey highlights in this Q&A.

Reading between the lines of these Q1 and Q2 results, what stands out?
Our Employer Pulse surveys reach about 200 of our largest accounts, representing more than 5 million employees. That’s impressive, and we pay attention to what they say. Without a doubt, when it comes to health benefits, our groups are saying they have extremely tough decisions to make around quality, cost and access. It’s always a balance between cost and reward – between the benefit provided and the health improvement received. Employers want to see that what they’re offering to employees is achieving a healthy impact in their lives.

What benefit designs do employers believe hold promise in reducing costs going forward?
More than three quarters of survey respondents say they are considering network optimization to better meet the needs of their workforce while reducing costs. Some of their top interests are Accountable Care Organizations and high-performance networks. More than half are looking at Centers of Excellence to control costs related to transplants, joint replacement, and spine and back surgery. Although employers have previously shown a desire to diversify their benefit offerings, we’ve seen an increase in this survey. Employers want to vigorously pursue sustainable health care that improves efficiency without cutting benefits.

It appears the rising price of pharmacy is a major concern. What are your thoughts?
Our employers can’t over emphasize the importance of controlling pharmacy costs. They are more aware of the medications excluded from the formularies. In the past, employers simply took whatever their pharmacy benefit manager gave them. Not anymore. Employers believe pharmacy costs are getting out of hand and demand change. They are looking more closely at the drugs being prescribed, the benefit they are designed to achieve and if they achieve the prescribed outcomes. Our employers’ attention to this is significant. They want more transparency on everything, from pharmacy rebates to medical alternatives.

So, what’s your biggest takeaway from these survey results?
Our employers, overall, are striving for quality in what they offer to their workers. Employers spend a lot of money on health care benefits. They want to ensure their employees and their families appreciate the value those benefits provide. And that comes down to member experience. Health care can be extremely complicated for members to understand. To help their workers with those complexities, a quarter of employers use concierge services – and another 50% are considering it – to help employees better use their benefits. We are tailoring integrated benefit solutions focused on providing a quality provider offering that delivers an awesome member experience.

About Bruce Mamary
Bruce Mamary is responsible for creating, directing and defining the strategic approach to sales and retention of the largest employer group business for Blue Cross and Blue Shield Plans in Illinois, Montana, New Mexico, Oklahoma and Texas. Also, he serves as our lead executive for strategic relationships with major consulting firms.

Prior to joining the company in 2012, Bruce had more than 25 years of experience in various health care consulting and HR roles as a seasoned leader in talent development, account management and consultative selling. He earned his bachelor’s degree in business administration from Wichita State University in Wichita, Kansas. Bruce currently resides in Dallas.