Dispelling the stigma around mental health disorders in the workplace

Forty million adults in the U.S. are affected by anxiety disorders each year, according to the Anxiety and Depression Association of America. Continue reading to learn more about the stigma associated with mental health disorders in the workplace.


It’s no secret that poor mental health impacts employee performance. Anxiety disorders, for example, affect 40 million adults in the U.S. each year, and nearly six in 10 American workers report that anxiety impacts their workplace performance, according to the Anxiety and Depression Association of America.

But because of the stigma often associated with mental health disorders, employees might not be using the benefits and programs clients have in place to help address the problem. That’s why just having programs in place isn’t enough, experts say. Instead, employers need to help remove the stigma of mental health conditions by creating a culture of inclusiveness in the workplace and forming employee resource groups.

Employers including Johnson & Johnson, Trulia and Verizon Media are doing just that, company executives said during a webinar last week hosted by the National Alliance of Healthcare Purchaser Coalitions.

When Margaux Joffe, associate director of accessibility and inclusion at Verizon Media, started working on a proposal to form a mental health-focused employee resource group (ERG), dispelling stigma and empowering workers was one of her first priorities.

“We wanted to create a paradigm shift,” she said, speaking as part of the webinar. “Growing up, you’re taught to think you’re ‘normal or not normal;’ you’re mentally ill or you’re not. We started with the idea there is no such thing as a ‘normal brain’ as we’re increasingly understanding neurodiversity in the human race.”

A lot of people with mental health issues don’t necessarily identify with the word disability, added Meredith Arthur, content marketing manager at Trulia.

“We struggled around removing the word disability because there was a desire to face the stigma and take it on,” she said of Trulia’s ERG. “Ultimately, we wanted to reach as many people as we could. We wanted to be sharper in our focus on mental health.”

Trulia expanded its ERG statement of purpose from just focusing on mental health education and awareness to advocating for the needs of different abilities.

Joffe said putting in place an ERG for mental health at Verizon was done with the support of senior leadership. “We’ve been lucky to get a lot of support from the company for ERG,” she said. “A common challenge that exists across the board is lack of organization readiness.”

Readiness is a huge component of success in mental health programs, added Kelly Greenwood, founder and CEO of Mind Share, a nonprofit organization addressing the culture of workplace mental health.

“It is so important to achieve true culture change,” she said. “Oftentimes we work with leadership first and do workshops for executive teams before rolling them out to the company to really get that buy-in and understanding from the top down to build a transparent culture.”

At Johnson & Johnson, it took the company about nine months to get its ERG program up and running. “There was a lot of conversation internally if it should be its own ERG for mental health or integrated into another employee resource group,” said Geralyn Giorgio, talent acquisition change management communications and training lead at the pharmaceutical and consumer packaged goods manufacturing company.

At that time, she said, the company had an ERG called the alliance for disability leadership. The decision was made to put mental health under that ERG umbrella. “Since than happened, there were a lot of [employees] not seeing themselves in this ERG. We felt strongly we had to rebrand the ERG, and we went live last year, using the name alliance for diverse abilities to make it more inclusive,” she said.

This year, Giorgio said, the company will work to empower managers to handle mental health conversations.

“If you have a manager open to the conversation, [employees] have a different experience than someone whose manager is ill-informed,” she said. “That’s something we need to focus on this year — helping our managers feel more comfortable with having the conversation.”

SOURCE: Otto, N. (12 March 2019) "Dispelling the stigma around mental health disorders in the workplace" (Web Blog Post). Retrieved from https://www.employeebenefitadviser.com/news/dispelling-workplace-mental-health-stigma?brief=00000152-146e-d1cc-a5fa-7cff8fee0000


Nine Ways To Motivate Employees That Don't Always Involve Cash

Employers are reporting that recruiting and retaining talent is the single greatest challenge they've experienced since the U.S. unemployment rate hit historic lows. Continue reading this blog post from Forbes for nine ways employers can motivate their employees.


With unemployment at near historic lows in the United States, employers report that their single greatest challenge is recruiting and retaining talent. The answer for many companies is to throw money at the problem: Bonuses, incentive pay, and out-of-cycle salary increases are often seen as motivators that will entice greater effort and loyalty out of workers.

Turns out, using cash as a carrot isn’t always the best answer, according to new research by Harvard Business School Assistant Professor Ashley V. Whillans. More than 80 percent of American employees say they do not feel recognized or rewarded, despite the fact that US companies are spending more than a fifth of their budgets on wages.

What employees crave even more is to feel that their managers appreciate them and aren’t afraid to show it, not only in paycheck terms, but in other ways such as flexible work-at-home schedules, gift cards for pulling off impressive projects, or even just by saying “thank you” for a job well done.

“Cash matters in people’s lives, but it’s not all that matters,” says Whillans, who researches what makes people happy. “What really matters in the workplace is helping employees feel appreciated.”

Whillans co-wrote a recent article in Compensation & Benefits Review, “Winning the War for Talent: Modern Motivational Methods for Attracting and Retaining Employees,” with Anais Thibault-Landry of the Université du Québec à Montréal and Allan Schweyer of the Incentive Research Foundation.

Rewards that signal to employees that they did a good job and that their manager cares about them will encourage employees to want to work even harder, the research shows. Whillans provides nine tips for business leaders on how best to reward their workers in ways that will bring them greater job satisfaction and motivate them to work harder.

When recruiting, emphasize benefits. Talking up a job’s perks, such as flexible work schedules and skill training, can give companies a recruiting edge. A 2018 study that Whillans and her team conducted of more than 92,000 job ads found that the more benefits an employer described, the higher the application rates.

Cash can motivate workers—in some types of work. Cash rewards are best suited as a motivator for work that is measured quantitatively, Whillans says. But money is less meaningful as a motivator in the complex creative jobs that make up most work in our modern knowledge-based society.

If you give cash, include a meaningful note. It’s best to avoid merely adding a cash bonus to a worker’s paycheck; a separate bonus check stands out more as a recognition of their work. And managers should also include a sincere handwritten note explaining why the employee deserved the bonus.

Reconsider performance incentives. Decades of research confirms that financial incentives can boost effort and performance. But when an employee’s pay is contingent on performance, they can become obsessed with earning more. What often works better is to turn around the timing of the reward, handing it out immediately after an employee excels at a particular task, rather than dangling it beforehand.

Consider thoughtful gifts instead of cash. A 2017 study of 600 salespeople found that when a mixed cash and prize reward program was replaced with an equivalent value all-cash package, employee effort dropped dramatically, leading to a 4.36 percent decrease in sales that cost the company millions in lost revenue, Whillans’s article says. The firm may have inadvertently demotivated salespeople who preferred prizes or discouraged workers who liked having a choice.

Give the gift of time—and other intangible perks. A Glassdoor survey Whillans and her team conducted with 115,000 employees found that providing intangible non-cash benefits, like flexible work options or the ability to choose assignments, led to much stronger job satisfaction than straightforward cash rewards.

Encourage employees to reward one another. Companies can build recognition into their business practices by creating peer-to-peer recognition programs in which employees are provided monthly reward points that they can give away to colleagues for work-related wins. Employees who earn a certain number of points can redeem them for various perks, such as a restaurant gift card or an extra personal day.

Make the recognition public. If employees are receiving a $500 bonus, hold a workplace event to hand out checks, and invite the employees’ peers. Perhaps add a certificate of appreciation along with the check.

Sometimes a simple thank you is enough. Among the happiest employees, 95 percent say that their managers are good at providing positive feedback, Whillans says. A simple, heartfelt “thank you” from a manager is often enough for employees to feel like their contributions are valued and will motivate them to try harder.

Why rewarding employees works

Whillans says these types of rewards work because they tap into three strong psychological needs: Employees long for autonomy, with the freedom to choose how to do their work; they want to appear competent, armed with the skills needed to perform; and they want to feel a sense of belonging by socially connecting with colleagues in a meaningful way.

When these needs are satisfied, employees feel more motivated, engaged, and committed to their workplace—and they report fewer intentions of leaving their jobs, Whillans says.

SOURCE: 


The benefit you may not be offering to employees — but should be

The costs, gaps in care and stress associated with serious, long-term illness can negatively impact the health and productivity of your workforce. Surveys show that about 17 percent of full-time workers act as caregivers. Read on to learn more.


When it comes to getting better value for their healthcare dollars, employers and other healthcare purchasers may be overlooking a significant cost driver that negatively impacts the health and productivity of their workforce.

It’s the costs, gaps in care and stress associated with serious, long-term illness. In addition to the roughly 11.4 million adults and children living with serious illness, about 17% of full-time workers are also caregivers. And while a caregiving role is rewarding, it’s also been shown to reduce work productivity by more than 18%, costing U.S. businesses up to $33 billion annually. Given this, it’s surprising that palliative programs are not nearly as widespread as they should be.

Employers should give serious consideration to offering palliative care as a benefit to employees. Here are two misconceptions that can get in the way of implementing palliative care programs — and two reasons why serious illness care may be right for your organization.

First, the misconceptions:

It’s not the same as hospice care. While hospice care is a part of palliative care, they’re not synonymous. Palliative care is specialized medical care for people living with a serious illness that is appropriate at any age and any stage of their disease and can be provided along with curative treatment. It focuses on providing patients with relief from the symptoms, pain and stress of their medical condition(s) — whatever the diagnosis.

The goal is to improve quality of life for both the patient and their family. Those who would greatly benefit from access to palliative care face conditions such as diabetes with complications, metastatic cancer or chronic obstructive pulmonary disease.

It doesn’t affect my population. While people with a serious illness typically represent only a small proportion of the commercial population — roughly 2% to 3% — and up to 10% of retiree populations, they consume a disproportionate amount of healthcare resources. By addressing the needs of those living with serious illness, helping them avoid unnecessary, unwanted, and even potentially harmful care, employers can make a big impact on employees’ lives and the bottom line. Moreover, palliative care also greatly benefits caregivers, who can experience stress, negative impacts on their own health, and lessened productivity and presenteeism at work, even when they find their role fulfilling.

Now, why should employers offer palliative care benefits?

Quality can generate cost-savings. Palliative care’s focus on improving the quality of life of patients and their families means it leads with quality. The logic of “quality first” applies to many high-value healthcare strategies including accountable care organizations, centers of excellence (COEs) and second opinion programs. And like those other strategies, leading with quality can lead to lower costs. For instance, by providing access to high-quality care for certain services or conditions at a COE, employers hope that costly complications from low quality or inappropriate care can be avoided, just as introducing a palliative care team to a treatment plan can help patients better manage their symptoms, such as severe pain, proactively and lead to fewer trips to the emergency room.

Employers can make a big difference for patients and caregivers. Employers and other healthcare purchasers can play a powerful role in improving care for people living with serious illness by demanding certain capabilities and services from contracted health plans, other vendors and healthcare providers.

These include:

· Proactive identification of the population of patients living with a serious illness
· Training all healthcare providers in basic communication and symptom management skills
· Access to certified specialty palliative care teams across care settings
· Access to appropriately trained case managers
· Specific benefits that include home-based services and support for caregivers

To change the healthcare system, it’s important for purchasers to be on the same page with each other to ensure that providers and plans are on board with providing this type of care. After all, at the end of the day, it’s about the patient and their family. In focusing on palliative care, along with other key areas, purchasers have the power and influence to make a difference in the quality and affordability of care their employees receive.

SOURCE: Delbanco, S. (6 March 2019) "The benefit you may not be offering to employees — but should be" (Web Blog Post). Retrieved from https://www.benefitnews.com/opinion/the-benefit-employers-may-not-be-offering-to-employees?brief=00000152-14a5-d1cc-a5fa-7cff48fe0001


4 questions to ask before adding biometric screenings

According to the Kaiser Family Foundation (KFF), fifty-two percent of large firms that provide employee health benefits offer workers the opportunity to complete a biometric screening. Continue reading this blog post to learn more.


A growing number of employers are adopting workplace wellness programs to improve employee health and subsequently lower their health insurance spend. As they do, benefit managers are tasked with vetting options that will deliver meaningful health and financial results for their companies.

This vetting process typically involves answering questions that range from which types of participation incentives their organization should offer to what type of wellness programs will yield the greatest health-improvement outcomes.

But there’s a problem: Very few benefits managers ask for details about wellness biometric testing, even though most programs are, at least in theory, designed around the information that screening provides. Biometric screening typically involves one or more laboratory tests as well as physical readings, such as blood pressure and body weight, to identify markers of health risks if not an actual disease.

According to the Kaiser Family Foundation, 52% of large firms that provide employee health benefits offer workers the opportunity to complete a biometric screening.

Just as workplace wellness programs are not all the same, biometric screening can vary. Failure to question the specific details of a proposed biometric screening program can lead to suboptimal results.

Before moving forward with biometric screenings as part of a workplace wellness program, benefit managers should pause to ask themselves certain questions. Doing so will enhance the likelihood of favorable outcomes — both for employee wellness and the financial bottom line.

1. Why should we screen?

It sounds simple, but setting clear goals for biometric screening is a step too many benefits managers overlook. This may be because they do not know how to anticipate the kind of actions that will be available to them and their employees given the results.

Based on my experience, the most compelling reason to provide biometric screening as part of a wellness program is to help individuals identify risks for several chronic conditions that, if caught early, may be prevented. With insights from a biometric screening, an individual may be better able to take steps to reduce health risks. Common goals may be to reduce body weight, exercise more or visit a physician for treatment.

Biometric screening often can reveal disease risks an individual may not otherwise know. A study published in the peer-reviewed journal PLoS ONE, for instance, found that one in three first-time participants in a company-sponsored, lab-based wellness program by Quest Diagnostics were not aware they were at risk for a serious medical condition, such as diabetes or heart disease, according to biometric screening results. Many of these individuals were in a health plan, suggesting that healthcare access alone does not guarantee preventive care to identify risk for common chronic health conditions.

Biometric screening also can help an employer identify programs to target at-risk employee segments based on the type of risk with appropriate interventions. Reliable insight into disease risks for a workforce population may also aid the prediction of future healthcare costs.

2. What should we screen for?

Ideally, biometric screening should provide enough information into disease risks for both individuals and the employer in order to take meaningful actions. Here, many employers miss the mark by implementing bare bones biometric screening options. The result is potentially misleading results — and missed opportunities to identify individuals at risk.

Take diabetes screening, for instance. A non-fasting fingerstick glucose screening really doesn’t tell us anything considering the variety of food individuals might have eaten, and how that may have affected their measurement.

A fasting fingerstick glucose test may help identify diabetes risk in some individuals and be less costly to perform than a hemoglobin A1c test, which involves a venipuncture blood draw. However, a study from Quest Diagnostics found that some individuals in a workforce population with normal fasting glucose results were still at higher risk for diabetes, and a glycated hemoglobin (HbA1c) test identified them.

In a similar manner, many employers overlook screening for chronic kidney disease, one of the major causes of kidney transplantation. Eighty-nine percent of participants identified as at risk for chronic kidney disease did not know it, according to the aforementioned PLoS ONE study. The estimated glomerular filtration rate (eGFR) lab test can help identify this condition very cost-effectively, but it’s often absent in biometric screening programs. Other conditions that laboratory tests can help identify include metabolic disorders, thyroid disease, and colorectal cancer, among others.

3. How often should we screen?

Annual biometric screening reinforces the importance of management places on employee wellness. It can also help identify health risks in individuals who are new to the organization. An annual program also provides a regular cadence of engagement that is not too onerous on employees while minimizing the confusion that can occur when screening happens less frequently.

Annual screening has an added benefit of allowing the employee to track her progress over time. Quest provides graphic charts that show changes in an individual’s numbers year over year. This is a powerful motivator for those who have adopted healthful behaviors to stay the course. And longitudinal changes also can reveal patterns, like modest annual weight gain, that the individual may otherwise dismiss until they see the cumulative effect.

4. How can we connect employees to care and intervention?

Screening is just one facet of a successful wellness program. Some individuals who identify health risks may proactively modify their behavior or consult a physician. But not all will. Employers can improve the odds of at-risk employees accessing the care they need following biometric screening.

Most employees in biometric programs receive a personalized report of their screening results. Additionally, many participants can consult over the phone with a third-party administered physician.

At Quest, for instance, we offer programs that help at-risk employees access behavioral change programs. If an individual’s screening results suggest evidence of prediabetes, that employee may participate free of charge in a 16-week, CDC-based diabetes prevention program that includes coaching and lifestyle modification. An individual with a problematic cholesterol result may be able to access a similar program for heart disease prevention.

Biometric screenings can be a powerful facet of an employee wellness program. Understanding the reasons to screen, which methods to use and how often to use them, and the paths to connect employees to care are key. Benefit managers who do this well will be rewarded with a wellness program that results in healthier employees and lower healthcare costs over time.

SOURCE: Goldberg, S. (21 February 2019) "4 questions to ask before adding biometric screenings" (Web Blog Post). Retrieved from https://www.benefitnews.com/opinion/4-questions-to-ask-before-adding-biometric-screenings


6 key features your employee training program needs – and how LMS can help

One way employers can keep the right employees around and happy is by providing opportunities for professional development and training. Continue reading this blog post to learn more.


Hiring the right employees is important, but keeping them around and happy is just as essential. One way to do that is to provide opportunities for professional development and training as a way to encourage workers to improve their skills and engage further with their jobs.

While you likely have a solid training program for new employees to get them accustomed to your organization, the training options for ongoing employees are often more limited.

It’s always a good idea to encourage all employees to continue learning new skills, perfecting old ones and developing as professionals. Having well-rounded workers with a range of skills boosts your business and opens up opportunities for their advancement.

Beyond making workers happier and more productive, there are revenue benefits associated with comprehensive training, too. Companies that offer workers training programs have 24% higher profit margins than those that don’t, according to the American Society for Training and Development.

And if you don’t yet have a learning management system (LMS) solution, consider investing in one. It can help streamline the training process and strengthen your entire program while offering a range of other benefits.

Whether you already have a training program you’re looking to improve, or you’re aiming to implement one, there are certain elements every successful training and development program has.

Short, specific sessions

You know better than anyone that employees’ attention spans aren’t long. No one wants to sit through hours of training, no matter how valuable the information is.

Focus instead on short, specific bursts of information that will interest workers and guarantee they retain the information.

This strategy, called microlearning, emphasizes brief (usually three to five minutes) sessions designed to meet specific outcomes. You can use it for both formal training and informal, but it’s generally more successful when applied to informal skills training instead of intense or complex processed-based training.

There are four essential characteristics of microlearning to hone in on. Make sure your training is:

  • Lean: It shouldn’t need a mob of people to implement
  • Adaptable: There should be ways to apply the training to many employees across a range of departments and locations. Although specificity is a key component of microlearning, it can’t be so specific that only one employee will benefit, otherwise, it’s not worth the time and resources.
  • Simple: Avoid over-complicating things and confusing workers.
  • Seamless: Use the technology at your disposal. Your solution shouldn’t require in-person sit-downs, but instead should be transferable to employees’ mobile devices and laptops when possible.

Many LMS solutions are accessible on mobile devices and desktops and allow you to create your own courses to provide the exact content you want to employees.

Remember: Microlearning doesn’t have to be the centerpiece of your training program. After all, there are some topics that simply can’t be condensed into bite-sized pieces. But integrating this method can help spice up your program and supply a new way of doing things.

Assessments

An effective training program is only as good as what employees retain, so you’ll want a way to measure where they started and how the training has impacted them.

A pre-training assessment can also shine a light on what workers are looking for and what they still need to learn. This allows you to target specific skills training and development to the employees who need it, while not wasting the time of workers who’re all caught up.

Post-training assessments, meanwhile, help you see who’s mastered the training and who still needs help. They can also show you where your training program could be improved.

To ensure assessments are as helpful as possible:

  • Avoid yes or no questions, instead of allowing workers to provide a variety of feedback.
  • Look over how the training objectives line up with workers’ perceptions of their professional development.
  • Offer both task- and skill-based evaluations that look at performance and adaptation of the skill, rather than memorization ability.

Note: These evaluations don’t need to take the form of traditional tests. Very few people enjoy taking tests, so taking the time to turn assessments into a game or more fun activity encourages workers to participate and provide their honest opinions without worrying about being “graded.”

With some LMS solutions, assessments can be taken online with the information stored right where you can access it easily. Often, you can also compile the results into reports that give you at-a-glance clarity on who benefited most from the training and who still needs improvement.

Collaboration

Providing chances for your workers to interact and form connections has multiple benefits for your training program and organization at large.

When employees have bonds with their co-workers, they’re more engaged in their tasks and more productive. Getting them to collaborate during training can help convince them to take the course seriously while encouraging teamwork beyond the training.

Collaboration tools, such as built-in messaging systems and discussion boards, are prevalent among LMS solutions and give workers the chance to learn together and develop along the same paths.

Multimedia options

You’ll also want to expand your horizons beyond basic text-based training. We’re living in an age with constantly evolving technology, and your training program should take advantage of the options at your disposal.

Workers will be more engaged with the content you offer if it’s more than words on a page. And with LMS solutions, creating and importing multimedia content into your training is easier than ever.

This doesn’t mean you can’t implement text into your training, of course, but rather that you should also have:

  • video
  • interactive content
  • images, and
  • audio.

Video and images are already extremely popular in training, and if you have a current program it’s likely there are already videos and photos in it. Don’t forget about graphs and other diagrams that could help clarify certain concepts.

Interactive content can take a range of forms, from quizzes given to workers after each module to games employees play to help them retain the information they’ve learned.

These games can also increase collaboration during training, which helps participants stay engaged in what they’re learning and form connections with co-workers. Bonding with co-workers is one of the benefits offered by in-house training programs and these bonds often strengthen employee engagement with your company.

Another option is audio content, like podcasts. Offering audio content allows workers to train while performing other tasks, since they don’t have to be in a specific room or looking at something to follow along.

If you’re worried about carving enough time out in employees’ workdays to add training or professional development, podcasts and other audio content are a good bridge to get them learning new skills while still able to complete their jobs.

Easy access

A training program won’t work if its inaccessible. If workers have to show up on a specific day and time to a certain conference room, it’s significantly less likely they’ll take you up on the offer.

And if the training is mandatory, employees won’t be excited to learn and may resist absorbing the info.

This is where an LMS solution comes in handy the most. It provides a central location for training and courses to be stored and accessed. Workers can check out training from all of their devices and tackle the topics individually or in groups, depending on what works best for them.

Having an LMS solution also helps if you employ remote workers or have multiple locations, since you don’t have to coordinate a time for them to come in or run multiple training sessions at once.

Professional development

Workers, especially younger ones, want a way forward in their careers. They don’t want to just learn skills applicable to their current jobs. They want options and the chance to develop further and pick up skills that will serve them well as they advance.

Clearly define how your training program will factor in professional development, so employees can see what the payoff will be down the line. This also motivates them to stay with your company in the long run, since you’re enabling them to develop and practice new abilities and investing in their futures.

Most LMS solutions have the ability to create customized learning paths depending on where employees are in their careers and what they’re aiming to learn and accomplish.

Laying out the ways forward can also help with recruiting and hiring, since prospective employees can see the opportunities for advancement and growth available to them.

Bottom line

Training matters for every employee, not just new hires or recent transfers. A strong comprehensive training program is essential to building up your workforce and keeping workers engaged in their jobs.

When given the chance to boost their skills and develop professionally, employees are also happier and more productive, making the potential expense of implementing training programs worth it.

Plus, LMS solutions can help improve your training and offer a variety of features to employees and trainers alike in a cost-effective way.

Your training doesn’t have to reinvent the wheel to be helpful for your workers and provide benefits for your business. It just has to work for your company and employees.

SOURCE: Ketchum, K. (18 February 2019) "6 key features your employee training program needs - and how LMS can help" (Web Blog Post). Retrieved from http://www.hrmorning.com/employee-training-program-lms/


7 principles for helping employees deal with financial stress

More than 60 percent of survey participants are seeking support from their employer for all aspects of health with financial health as their priority, according to a survey by Welltok.  Read this blog post to learn more.


Employees are dealing with financial strain -- and they may want some help from their employer to address it.

The results of a recent survey on employer wellness programs from software company Welltok, reveals two important takeaways:

  • More than 60% of survey participants are seeking support from their employer for all aspects of health with financial health as their first priority.
  • If employers offered more personalized programming, 80% of respondents say they would more actively participate in their wellness offerings.

These findings attest to what we already know. First, there is no physical wellness without mental and emotional wellbeing and there is no mental and emotional wellbeing without financial wellness. Second, engagement demands personal relevance.

Today, Americans carry $2 trillion in consumer debt, student loan debt has overtaken credit card debt and 50% of consumers live paycheck-to-paycheck. Nearly half of Americans do not have $400 to cover an emergency. Over the past decade, consumers continually report that financial stress is the greatest challenge to their health and wellness.

Struggling with finances is a deeply stressful situation for employees, families, employers and communities nationwide. To date, programs to help employees address their financial concerns have been built on the assumption that if we just teach our employees financial literacy, their financial situations will improve. This ignores the fact that money is deeply emotional—a fact that any effort to change how we deal with our money must address.

When it comes to complex, emotionally-driven issues such as money, there is often a disconnect between knowing what to do, understanding how to do it and actually doing it. In this sense, financial wellness is similar to physical wellness. I may know I need to lose 20 lbs., I may even understand, in theory, how to lose weight. But I still have trouble acting on what I know.

With this in mind, there are seven core principles critical to helping employees make a real difference in their finances and their lives.

  1. Education alone is not enough. Education and financial literacy alone simply do not inspire or empower behavioral change.
  2. Personalization is key. People will engage with a solution when it feels like it’s about them and their particular situation. Support resources need to bring general financial principles home by addressing employees’ individual circumstances.
  3. Privacy matters. Money is a sensitive and emotional subject that is difficult to discuss — especially in a group setting. Support resources need to respect the need for privacy and empower participants to explore financial questions without fear of judgment.
  4. Take a comprehensive approach. Support resources must include participants’ full financial picture to ensure that each individual’s most important issues are identified and addressed.
  5. Behavior change is essential. Established principles of behavior change science work just as well for changing financial habits and decision making. Reinforcing social interaction, peer support, positive attitudes and outlooks, providing small steps and supporting regular accountability are key.
  6. Technology lowers barriers to action and change. Mobile access is key for reaching individuals, meeting them where they are and offering them self-paced, actionable advice in the moment they need it. Learning to deal with money can — and should — be gamified. It takes considerable effort to present complex financial principles in fun, friendly, accessible scenarios or modules that are easy for employees to digest. But the result is worth it: Finances are transformed from difficult and stressful to easy and even fun. Employees develop a sense of competence; their finances become something they feel confident about and want to tackle.
  7. Remember the human connection. Technology transforms the financial services landscape by expanding our ability to provide meaningful personalized advice, consistently and according to best practices. Still, nothing changes the importance of a human adviser who can create a relationship, connection, and the trust to empower behavioral change.

The time has come to give everyone the financial advice and tools they deserve, and that will engage and empower them to improve their situation. Fortunately, much of the necessary technology already exists — and it’s improving daily. At this point, then, it’s key to get these solutions into employees’ hands so they can start their journey.

Change won’t happen overnight, although the smallest insights — setting up your first budget, getting answers from a financial coach — can do wonders to relieve financial stressors. Step by step, change is possible, confidence grows and wellbeing improves.

SOURCE: Dearing, C. (20 February 2019) "7 principles for helping employees deal with financial stress" (Web Blog Post). Retrieved from https://www.benefitnews.com/opinion/how-employers-can-help-employees-deal-with-financial-stress


How to build a multigenerational benefits strategy

Employers and HR teams are now managing workforces that stretch across three to five different generations. Continue reading this blog post to learn more about why having a multigenerational benefits strategy is important.


Employers and HR teams are managing employees for a workforce that stretches across three to five generations. This workforce is complex, and its workers have varying needs from generation to generation. That’s why a multigenerational benefits strategy is in order.

Baby boomers preparing for retirement may have an ongoing relationship with doctors and a number of medical appointments in a given year. On the other hand, millennials and members of Generation Z— the latest generation to enter the workforce — may shy away from primary care doctors and focus more on options to pay off student loans and start saving for retirement.

Given these dynamics, it’s important that two separate departments, finance and HR, need to develop a benefits strategy that keeps costs as low as possible while being useful to employees. Finance leaders understand they need to retain employees — turnover is expensive — but they’re still interested in cost containment strategies.

Employers should approach their multigenerational benefits strategy on finding a balance between cost containment and employee engagement.

Cost containment

For the first time in six years, the number of employers offering only high-deductible health plans is set to drop 9%. But the idea of employee consumerism is here to stay as employers see modest rises in health insurance premiums.

To effectively contain costs, employers should first weigh the pros and cons of their funding model. While most companies start out with fully-insured models, employers should seriously evaluate a move toward self-funding. Sure, self-funding requires a larger appetite for risk, but it provides insight into claims and utilization data that you can leverage to make informed decisions about cost containment.

One way to move toward a self-funded model is with level-funding, which allows employers the benefit of claims data while paying a consistent premium each month. In a level-funded plan, employers work with a third-party administrator to determine their expected claims for the year. This number, plus administrative fees and stop-loss coverage, divided by 12, becomes the monthly premium.

A tiered contribution model might also help to contain costs without negatively affecting employees. In a typical benefit plan, employers cover a specific percentage and employees contribute the rest — say 90% and 10%, respectively. In a tiered contribution plan, employees with salaries under a certain dollar amount pay less than those high earners. That means your employee making $48,000 pays $50, while your employee making $112,000 pays more. It’s a way to distribute the contribution across the workforce that enables everyone to more easily shoulder the burden of rising healthcare costs.

Employee engagement

To create a roadmap that not only helps you gain control of your multigenerational benefits strategy but keeps employees of all ages happy, it’s necessary to consider employee engagement. While new options like student loan repayment could be useful to part of your workforce, it’s best to start much simpler with something that affects everyone: time away from work.

A more aggressive paid time off policy, telecommuting policies and paid family leave are becoming increasingly popular. Many companies are offering PTO just for employees to pursue charitable work — a benefit that resonates with younger workers and can improve company culture. And a generous telecommuting policy recognizes that employees have different needs and shows that employers understand their modern, diverse workforce. Beyond basic time away from work, an extended leave policy outside what the law guarantees is another tool that can keep employees engaged.

Making it easier for employees to get care is another trending benefit, which can keep employees happy and contribute to cost containment. Concierge telemedicine has been called the modern version of a doctor’s house call. This relatively inexpensive benefit provides your employees access to care 24/7 by phone or video chat, which is convenient regardless of the user’s generation.

Employees and other covered individuals can connect to a doctor to discuss symptoms and get advice, whether they are prescribed a medication or they need to seek further care. This is another benefit that’s useful for young workers who may not have a primary care doctor or older workers with families.

Finally, your tech-savvy workforce expects to access their plan information wherever they need it. Ensure your carrier offers a mobile app to house insurance cards, coverage and provider information.

When it comes to a multigenerational benefits strategy, creating harmony between finance and HR might seem like a daunting task. But considering some relatively small benefit changes could be what allows you to offer a benefits package that pleases both departments — and all of your employees.

SOURCE: Blemlek, G. (26 February 2019) "How to build a multigenerational benefits strategy" (Web Blog Post). Retrieved from https://www.employeebenefitadviser.com/opinion/how-to-build-a-multigenerational-benefits-strategy?brief=00000152-146e-d1cc-a5fa-7cff8fee0000


Younger generations driving lifestyle benefits

Millennials will make up seventy-five percent of the U.S. workforce by 2025, according to a study by Forbes. The self-confidence of younger generations is pushing companies to adopt more non-traditional benefits. Continue reading to learn more.


Younger generations are often characterized as entitled and demanding — but that self-confidence in their work is pushing companies to adopt benefits outside the traditional healthcare and retirement packages.

By 2025, millennials will make up 75% of the U.S. workforce, according to a study by Forbes. The first wave of Generation Z — millennials’ younger siblings — graduated college and entered the workforce last year. With these younger generations flooding the workplace, benefit advisers need to steer clients toward innovative benefits to attract and retain talent, according to panelists during a lifestyle benefits discussion at Workplace Benefits Renaissance, a broker convention hosted by Employee Benefit Adviser.

“Millennials came into the workforce with a level of entitlement — which is actually a good thing,” said Lindsay Ryan Bailey, founder and CEO of Fitpros, during the panel discussion. “They’re bringing their outside life into the workplace because they value being a well-rounded person.”

Catering benefits to younger generations doesn’t necessarily exclude the older ones, the panelists said, in a discussion led by Employee Benefit Adviser Associate Editor Caroline Hroncich. Older generations are accustomed to receiving traditional benefits, but that doesn’t mean they won’t appreciate new ones introduced by younger generations.

“Baby boomers put their heads down and get stuff done without asking for more — that’s just how they’ve always done things,” Bailey said. “But they see what millennials are getting and are demanding the same.”

In a job market where there are more vacant positions than available talent to fill them, the panelists said it’s important now, more than ever, to advise clients to pursue lifestyle benefits. While a comprehensive medical and retirement package is attractive, benefits that help employees live a more balanced life will attract and retain the best employees, the panelists said.

“Once you’ve taken care of their basic needs, have clients look at [lifestyle benefits],” said Dave Freedman, general manager of group plans at LegalZoom. “These benefits demonstrate to workers that the employer has their back.”

The most attractive lifestyle benefits are wellness centered, the panelists said. Wellness benefits include everything from gym memberships, maternity and paternity leave, flexible hours and experiences like acupuncture and facials. But no matter which program employers decide to offer, if it’s not easily accessible, employees won’t use it, the panel said.

“Traditional gym memberships can be a nightmare with all the paperwork,” said Paul O’Reilly-Hyland, CEO and founder of Zeamo, a digital company connecting users with gym memberships. “[Younger employees] want easy access and choices — they don’t want to be locked into contracts.

Freedman said brokers should suggest clients offer benefits catered to people based on life stages. He says there are four distinct stages: Starting out, planting roots, career growth and retirement. Providing benefits that help entry-level employees pay down student debt, buy their first car or rent their first apartment will give companies access to the best new talent.

To retain older employees, Freedman suggests offering programs to help employees buy their first house, in addition to offering time off to bond with their child when they start having families. The career growth phase is when most divorces happen and kids start going to college, Freedman said. Offering legal and financial planning services can help reduce employee burdens in these situations. And, of course, offering a comprehensive retirement plan is a great incentive for employees to stay with a company, Freedman said.

Clients may balk at the additional costs of implementing lifestyle benefits, but they help safeguard against low employee morale and job turnover. Replacing existing employees can cost companies significant amounts of money, the panelists said.

“Offering these benefits is a soft dollar investment,” Freedman said. “Studies show it helps companies save money, but employers have to be in the mindset that this is the right thing to do.”

SOURCE: Webster, K. (25 February 2019) "Younger generations driving lifestyle benefits" (Web Blog Post). Retrieved from https://www.employeebenefitadviser.com/news/younger-generations-driving-lifestyle-benefits?brief=00000152-1443-d1cc-a5fa-7cfba3c60000


Photography by American Advisors Group Via Flickr: Retirement Calendar Retirement Date When using this image please provide photo credit (link) to: www.aag.com per these terms: www.aag.com/retirement-reverse-mortgage-pictures

What Happened to Employee Retirement Plan Education?

As an employer, you are the universal platform for your employees’ benefits and retirement knowledge. Every day, you must communicate and educate your employees on the benefits you offer. Whether that is through verbal communication, an office chatroom, or a simple email, you should act as a bridge between the gap that is, “What do I get for working here? How am I protected? How can I contribute to my savings?”

There is no doubt how much pressure this puts on your shoulders. When it comes to educating your employees about their 401(k) Plan, it is inevitable that you may feel lost. You don’t have anyone to advise you on the topic (except Google, of course); you have no proper guide for navigating the benefits and retirement landscape. How can you provide the best resources and tools to your employees, if you don’t have access to them to begin with?

In this month’s installment of CenterStage, we spoke with Todd Yawit, Director of Employer-Sponsored Retirement Plans at Saxon Financial Services, hoping to scope helpful advice for employers struggling with benefits and retirement education. The conversation led to a prime focus on the power of 401(k) Plans, and employees’ extreme lack of knowledge about them, and ended with this simple fact:

Providing access to A to Z retirement services for your employees is not something you should skip on; and could lead to lower health insurance premiums in the long-run.

“Too many Americans are getting to their retirement age with no funds or no ability to provide the extra income they’re going to need over and above Social Security,” Todd said. “There needs to be a mechanism or tool available for people to save money, preferably tax-favored treatment of that money.”

That tool is a 401(k) Plan. Providing 401(k) Plan education in the workplace is an easy way for employers to show they care about their employees’ futures. It gives employees opportunities to save for their retirement, ultimately bettering themselves and their loved ones in the long run.

Getting Familiar With 401(k)s

People by nature tend to stick to the rule, “Out of sight, out of mind,” and 401(k) Plans are the epitome of that rule. However, this is the wrong path to take. 401(k) Plans can be a great tool for employers to leverage.

“At Saxon, we highly suggest employers look at advanced plan designs, instead of just a basic 401(k) Plan,” said Todd. These plan designs can lead to better retirement-readiness of plan participants, which will better prepare them for retirement, and can potentially lower health insurance premiums for the business in the long-run. Todd continued, “Advanced plan designs may also increase business tax deductions; provide better benefits for business owners and key employees; and eliminate most discrimination tests.

Automatic Enrollment

Once an employee becomes eligible for a 401(k) Plan, they are automatically enrolled in one. This tool helps increase enrollment in the Plan, because studies have shown few employees “opt-out” once they are automatically enrolled.

There has been a push for employers to add Automatic Enrollment to their 401(k) Plans. Participation has been at an all-time low, meaning more and more employees are getting to retirement with nothing to rely on except their Social Security. Automatic enrollment, and employee education can be great tools to help employees reach their retirement-readiness.

Automatic Increases in 401(k) Contributions

When employees do get involved with their 401(k) Plans, it’s usually with the initial set up, then it’s often forgotten about. Knowing how crucial those savings are for employees’ future livelihoods, there has been a push for automatic increases in annual 401(k) contributions.

“Ongoing education will help employees understand how small increases in their retirement savings, especially when they get a raise, will have a big impact on their ability to retire at a reasonable age”, Todd explained.

Saxon Financial Advisors

Saxon Financial Services offers A to Z retirement plan services for Simple IRAs, Safe Harbor 401(k) Plans, 401(k) Plans, 403(b) Plans, and Cash Balance Pension Plans. Saxon can act as a 3(38) Investment Manager, which can reduce the employer’s fiduciary liability with respect to investment selection, monitoring, and replacement. We can create and manage custom asset allocation models for participants in this role as well. “This allows employees to focus on what really matters, saving for retirement and not worrying about picking and managing their investments”, Todd concluded.

If you currently struggle with the education and support of your 401(k) Plan, then call 513.573.0129 or email Todd at tyawit@gosaxon.com.


Millennials and money — How employers can be a financial literacy resource

Recent reports show student loan debts reached a $1.5 trillion crisis in 2018, leading many to believe Americans need a little help with money. Read on to learn how employers can help with financial literacy.


It’s clear that Americans need a little help with their money — in 2018 student loan debts reached a staggering $1.5 trillion crisis, employees continue to retire at a later age every year, and studies have shown that 65% of Americans save little to nothing of their annual income.

One subset of the American population that has even greater troubles with their finances is millennials, or those aged 23 to 38 as of 2019. This age group has lofty goals — 76% believe that they’re headed for a better financial future than their parents and 81% plan to own a home — but many millennials aren’t saving money in a way that actually leads them towards that future. In the last year, 43% of young adults had to borrow money from their parents to pay for necessities and 30% had to skip a meal due to lack of funds. Where’s the disconnect between millennials’ financial optimism and the reality of their financial circumstances?

Part of the problem lies in a lack of financial literacy. A study conducted by the National Endowment for Financial Education found that only 24% of millennials answered three out of five questions correctly on a survey looking at financial topics, indicating only a basic level of literacy. This same survey found that only 8% of millennials who took the test were able to answer all five questions correctly.

That’s not to say that understanding the intricacies of financial planning is easy. Everything from taxes to investing often requires professional advice. It’s no wonder that millennials are struggling with their finances: only 22% of those in this age group have ever received financial education from an educational institution or workplace. Millennials are struggling to pay for basic necessities and financial advice is simply not a priority. Many avoid seeking the help they need because they perceive it to be too costly.

This is an opportunity for employers that want to provide valuable resources to their employees, as financial wellness programs are likely to be the next employee benefit that millennials ask for.

Right now, millennials are the largest segment in the workforce, and by 2030 the U.S. Bureau of Labor Statistics estimates that this age group will make up a staggering 75%. In a tight labor market, current job seekers can be more selective when deciding where they want to work. For employers, studies have shown that 60% of people report benefits and perks as a major deciding factor when considering a job offer.

To stand out from competitors and provide true value to young employees, companies should consider including financial wellness plans in their overall benefits package. The most comprehensive financial wellness plans generally include access to advice from a certified financial planner in addition to legal, tax, insurance and identity theft support. For millennials trying to get in control of their finances, these types of programs can be invaluable. For example, young employees can get assistance setting up a 401(k) account, dealing with taxes for the first time or learning to save and invest.

In 2019 and beyond, millennials are going to be looking for employers that support them not only in the office but outside the office as well. By providing financial planning tools in the workplace, companies can be a valuable resource to younger employees who will appreciate early and frequent conversations around how to manage their money.

SOURCE: Freedman, D. (19 February 2019) "Millennials and money — How employers can be a financial literacy resource" (Web Blog Post). Retrieved from https://www.benefitnews.com/opinion/how-employers-can-be-a-financial-literacy-resource?brief=00000152-14a7-d1cc-a5fa-7cffccf00000