Group benefits must evolve to survive, those attending a Medavie Blue Cross webinar entitled L’adaptabilité, un atout précieux (Adaptability, a valuable asset), were told. Webinar participants urged employers to adapt their plans to meet the needs of today's workplace. According to the discussion, flexibility and innovation to address the changing workplace will help ensure the long-term viability of plans.
“According to Yale University, adaptability is the ability of a person to adapt to change in their environment. Given the topic of our meeting, we might also add that it is the results achieved by trying new ways of doing things in the workplace,” said Charles St-Laurent, regional vice president, business development, Quebec, at Medavie Blue Cross, in his opening remarks. St-Laurent moderated the three-person panel.
Labour shortage
Labour shortages and demographic issues were at the heart of the discussion from the outset of the webinar. "How do we replace the nine million people who will retire by 2030?" said workplace leadership expert and former senior human resources manager Pierre Battah at the opening of the discussion.
Battha, who is also a national columnist affiliated with CBC/Radio Canada columnist, said that the shortage is affecting just about every sector at every level. “No one is exempt. The good news is that we have a much more aggressive immigration policy to try to address this. But we're not done seeing our favorite restaurant closed on both Tuesdays and Mondays, and then flights delayed and cancelled...”
Battah observes that the labour shortage is mostly in positions previously held by 55-65 year olds. “The pandemic has accelerated their decision to retire,” says Battah. Immigration won't solve everything, he adds. “In the 1980s, Canada was getting about 200,000 immigrants a year. Before the pandemic, it was 300,000 and now we're looking at 400,000. Of that number, maybe two-thirds are of working age and we have to replace 9 million people. This shortage will continue to be the most important issue,” he said.
Satisfying five generations
According to Ariane Pitavy, sales representative, large groups at Medavie Blue Cross, the pandemic has accelerated the upheaval that is shaking the working world, but it is not the primary factor. These changes were already underway long before, she said. “The changing demographics of our workforce and consumer behaviour patterns are being reflected in the workplace. We now have a five-generation workforce with needs that are as diverse as their life experiences, and that's a challenge for employers because one-size-fits-all solutions are no longer enough,” said Pitavy.
She illustrated her point with the example of a long-time client who wanted to revamp his entire plan. Her advice made him realize that it was better to ask his employees what was important to them instead. “He noted the number of generations within his company, and that some employees would be better served by a health spending account, for example,” said Pitavy. This type of account allocates an annual amount at the employee's discretion for health care expenses.
Claims analysis is an excellent tool for identifying these new needs, she said. “You won't be surprised to learn that massage therapy, physical therapy and vision care are the most used services by baby boomers. In comparison, Generation Z will use mental health services more,” Pitavy said.
During the annual conference of the Association de la retraite et des avantages sociaux du Québec in September 2022, she said she heard the message loud and clear: “Employees want more options, more control over how they use their plan dollars, and the means to improve their well-being.”
Medavie Blue Cross account manager, Julie-Anne Berthiaume, said that employees are expressing three main needs. “Employees will be looking for more choice, work-life balance and a company whose values match their own. This leads to important conversations around equity and inclusion, and requires employers to find solutions to promote diversity in the workplace,” said Berthiaume.
Employee experience
Returning to the issue of labour shortages, Pierre Battah said that employers are limited in what they can do about this reality. “Hence the importance of the employee experience, of how to create an environment that attracts them and encourages them to stay.” Battah said he believes that the best employers are those that will create flexibility for employees while meeting their productivity and outcome goals.
How do you create that environment? By making work rewarding, said Battha. He added that a rewarding job is one in which the worker uses his or her strengths. This is an important element for employers to consider when thinking about employee experience, he said.
He also warned employers not to back down on the issue of wellness once the pandemic is over. “Executives were appointed to be responsible for employee wellness because it was necessary at the time. I'm concerned now that we're going to back off.” Battah said he is seeing a trend in the U.S. where the same resources are not being offered as they were during the peak of the pandemic. “Hopefully, the reality of scarcity and mobility of workers will mean that employers will continue to focus even more on health and wellness, to give people an experience that is uniquely their own,”’ he added.
Raw material
Pierre Battah also emphasized the feeling of belonging to the company. He said it is developed by employees who feel secure, comfortable and able to offer their best.
Charles St-Laurent also underlined the importance of employee experience, describing it as an environment where the employee can succeed and feel supported by the company. “There is a realization that the employee experience is becoming almost as important as the core business of the company. A transformation of work has occurred in the last few years: many companies are in the service industry and employees are their raw material,” he said.
Perfect timing
As competition for new employees intensifies, it's the perfect time for employers to improve their group plan offerings, said Ariane Pitavy.
“Employees have the long end of the stick right now. They can change jobs as easily as they can change computers, without changing chairs. Having a plan in place that reflects the diverse needs of today's workforce demonstrates that an employer is offering more than a paycheque,” said Pitavy. She believes that a good insurance plan encourages and reinforces positive behaviours among members, such as adopting healthier lifestyles.
Pitavy adds that group insurance plans can make a difference in attracting and retaining employees. She cited a LIMRA statistic that 63% of employees are likely to stay in their current position because of their group insurance plan. She then cited an Ipsos survey that found 73% of young Canadian workers are significantly more likely to change employers to get better benefits. The survey revealed the features that respondents were most interested in: mental health support ranked first with 88% of respondents voting for it, health spending accounts with 80% and optional insurance benefits 79%.
“They want to be able to cover more needs and have additional coverage options that allow them to meet personal or financial goals,” she added.
Hybrid work
In light of what his guests had to say, Charles St-Laurent maintained that the way of doing things when welcoming an employee must be reviewed, “even when we all work remotely as we do now.”
Julie-Anne Berthiaume noted that trends are emerging. “Telehealth and teleworking have particularly affected our daily lives in the last two years,” she said. “If the pandemic had occurred 20 years ago, we probably would have all continued to go to work, which would have had an impact on the number of infections.”
With the accelerated pace of development and adoption of new technologies, all it takes now is a computer and a smartphone “for our members to be able to communicate with a family doctor, a health care professional or any other therapist from their living room,” she said.
As for employers, they will have to accommodate employees, whether they want to return, stay at home, or adopt an arrangement somewhere in between. They have no choice if they want to remain competitive and attract top talent, Berthiaume underlined.
