Framework for a Successful 2022 Employee Benefits Plan
So, here we are — 2022. I know most people spend the beginning of the year focused on creating resolutions, putting goals into motion, and looking at how to better themselves or those around them. That same focus can be applied to your company’s employee benefits plan!
How? Simple — be proactive and control your destiny just as you will with your personal goals. For those of us who work with employee benefits, don’t wait for your manager or your company’s senior leadership to ask for you to cut costs. Provide the roadmap of how your Human Resources (HR) Strategic Plan will improve employee retention while reducing expenses in 2022 and beyond.
Start with an Employee Benefits Inventory
Begin by inventorying everything in the HR budget and identify where you have opportunities. In fact, HR may be able to contribute to your company’s bottom line by focusing on the following:
- Survey your key people; know what is important to them and maintain that investment.
- Ensure you have the right staff in the right positions by completing a Skills Analysis.
- Maintain your investment in training and quality control. Your employee work product quality and efficiency will have a direct impact on profitability.
Look Closely at Compensation and Benefits
It’s also wise to address specific tactics on how to handle compensation and benefits in today’s economy. Think about the following:
- Review your leave programs. Additional time off, maternity/paternity benefits, floating holidays, flexible work schedules are all in high demand.
- Recognition programs can reduce turnover and improve morale.
- Benchmark and monitor salary ranges frequently to maintain competitiveness.
- Ensure your mental and emotional health benefit programs are being used.
- Market your employee benefit plans to ensure you have the best price point and contract terms.
Identify What Has Already Been Accomplished
When presenting your HR strategic plan to your leadership, you will want to begin with proactively communicating the areas that you have already tapped to maintain cost-effective programs. Briefly highlight where these opportunities have been and be specific. Explain what you have done and be prepared to explain why you have not pursued certain trendy and high-profile strategies.
Include an Executive Summary
Present your HR Strategic Plan with an executive summary. Avoid diving into the details too quickly, as it can all be overwhelming. The plan should take on the elements that offer the clearest opportunity for savings and quantify these as specifically as possible.
For softer savings, identify the financial opportunity as a range. Provide the various items in your order of priority and ask for feedback.
Tie each main point of your HR Strategic Plan to company business goals. Use manageable and realistic targets that support the company’s overall success.
Once you have an agreement on what is most important to your employees and the company, communicate, communicate, communicate. This is essential to create engagement. Program use and perceived value will follow.
Always remember, being proactive will serve everyone best in the end. As Ben Franklin once said, “Never leave till tomorrow what you can do today.” So put those goals into motion!
If you have any questions on this or aren’t sure where to start, reach out and let us know. We have experts on hand to help!
Published on: 01.06.22