Employers need to take a strategic look at workers' well-being

As the labor market continues to tighten, employers have to invest more on booting the “full spectrum” of their workers’ well-being, according to Gallagher’s 2018 Human Capital Insights Report, which includes recommendations from 35 Gallagher consultants on ways to strengthen key aspects of workplace well-being: physical and emotional, career, financial and organizational.

“Most employers want to create a better workplace that attracts, engages and inspires high-performing team members, but many decision-makers aren’t focused on all the components of workplace well-being most important to their employees,” says William F. Ziebell, CEO of Gallagher Employee Benefits Consulting and Brokerage. “Looking beyond traditional compensation packages, health care and retirement plans, today’s employees choose an organization because it truly cares about the total well-being of its workforce and communities, and demonstrates a higher social purpose.”

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Smart employers have a holistic approach to boosting their workers’ well-being, says Ali Payne, Gallagher’s global practice leader, well-being and engagement.

Fully deploying the right programs and policies is key, Payne says. For example, smart employers help workers to more fully utilize their employee assistance programs by turning to new modes of communication that empower employees to use EAPs in very different ways — focusing on unique opportunities like adult daycare or financial planning.

As part of this holistic approach, employers should evaluate what types of financial well-being initiatives their workers need most – such as increased employer contributions to their health savings accounts or student loan repayment assistance, and then establish a three-year to five-year written strategy for expanding their initiatives, if necessary, write Dean Clune, national sales manager, retirement plan consulting and Terri Orem, area executive vice president, voluntary benefit consulting.

“The most effective plan will prioritize adapting to the evolution of the workforce, including employees’ changing expectations and experiences,” they write. “Financial challenges occur at every life stage. When employers offer programs and voluntary benefits that match employees’ needs across their career span, they vitalize productivity and loyalty — and their own longevity.” The report also delves into how employers can boost their own organizational well-being, including by choosing a values-based approach to ethics, social governance and employee engagement.

To be most successful, employers should adopt organizational values that they believe they could realistically commit to; earn a reputation for ethical business behavior; allow employee priorities to drive charitable contributions; and align investment decisions with organizational values, write Michael Johnson, area president, institutional investment and fiduciary services and Tom Tropp, corporate vice president, ethics and sustainability.

“In a reputation environment dominated by 24/7 globally networked news and media outlets, it’s important to avoid any missteps or misinformation,” they write. “Naturally, a person’s direct experiences with an organization are the most influential and trusted. So, ethics policies, programs and systems must be in place that strongly and consistently support specific workforce behaviors — and business decisions — aligned with clearly defined organizational values.”