What Does Each Generation Value for Employee Benefits?

In this blog post our experts at Benefit Strategies Inc. will take a look at employee benefits by generation, where we can see there are some marked differences.

We live in a unique time where the North American workforce is comprised of four generations of workers that represent a diverse age group. It’s no wonder that the needs and wants of each age group will also define the employee benefits by generation.

What are the Generations?

The generation born between 1927 and 1945 is known as the Mature/Silent generation. Many have since passed on and most of those that still remain have retired and no longer contribute to the workforce.

The four generations that currently make up our North American workforce include:

  1. Baby Boomers – born 1946 to 1964 (76 million US births)
  2. Generation Xers – born 1965 to 1980 (82 million US births)
  3. Millennials or Generation Y – born 1981 to 2000 (73 million US births)
  4. Generation Z – born 2001 to present (74 million US births)

Even though most baby boomers are approaching retirement age, many are still in the workforce primarily due to today’s high cost of living. However, you can define employee benefits by generation based on the different challenges and different needs and wants for each age group.

Types of Employee Benefits by Generation

Because we still have such a diverse range of ages in the workforce, employers must look at their different needs and offer the types of benefits for employees that meet all age groups. Today’s employers are recognizing the need for employee benefits by generation, so most benefit packages tend to be customized.

Many of today’s older generations, like Baby Boomers and Generation Xers, are caring for their elders as well as their children. They tend to lean towards security and health and wellness benefits, which may include, among others:

  • Health Insurance Benefits
  • Life Insurance Benefits
  • Retirement Benefits/Accounts
  • Estate Planning Advice
  • Long Term Care
  • Vison Coverage
  • Critical Illness Insurance
  • Group Life Insurance

Millennial (Generation Y) employees tend to request specific employee benefits such as:

  • Dental Coverage
  • Financial Wellness Packages
  • Wellness Programs
  • Healthcare Spending Accounts
  • Reimbursement Accounts
  • Long (and Short) Term Disability Benefits
  • Travel/Commuting Assistance
  • Relocation Assistance

The younger Generation Z (and some Generation Y) employees tend to request more lifestyle employee benefits. Many want to work remotely and may request benefits such as:

  • Flexible Work Hours
  • Tuition Reimbursement
  • Paid Vacation Time
  • Gym Memberships/Discounts
  • Telecommuting Options
  • Sick Days, Vacation Days, and other Paid Time Off

Summary

Every company wants their employees to be more productive and more successful. The priorities for employees, on the other hand, are quite different. Regardless of age, employees are mostly concerned about personal and financial self-improvement.

By understanding your employees’ priorities and addressing employee benefits by generation and their specific needs, you can ensure your company’s continued success.

About Benefits Strategies Inc.

Benefit Strategies Inc. specializes in building custom employee benefits packages as well as executive benefits programs. We are located in Edmonton Alberta and serve clients throughout the Western Provinces as well as the Yukon and the Northwest Territories.

If your business has a staff of 10 or more employees, we can help you design and implement an affordable and competitive employee benefits package. Please call our us at 1-780-437-5070 or send us an email.

Visit this article to learn more about Boomers, Gen X, Gen Y, and Gen Z.

Young woman with laptop at a table smiling.

Tips for Designing an Employee Benefits Package

In this Benefit Strategies blog post we’ll offer some guidelines on how to design an employee benefits program that attracts great employees and won’t break the bank.

As a business owner, you often have to put so much on the line when it comes to attracting, hiring, and retaining talented employees. And, when it comes to compensation and perks, today’s employees expect a lot. That said, your employee benefits package doesn’t necessarily have to be your biggest business expense.

In this article, we will show you how to take a more strategic approach to designing an employee benefits package including:

  • Having clearly defined goals that are specific, relevant, attainable, and measurable
  • Remaining competitive as well as financially viable
  • Differentiating between required and optional benefits
  • Communicating additional perks and advantages to employees (and potential employees)

Have Clearly Defined Goals

You must know what your goals are and what will fit within your budget when designing an employee benefits package. Do you have a clear “why” in wanting to offer employee benefits? Are you trying to attract highly qualified talent? Do you know what benefits your competitors are offering and why potential employees may choose them over your company? The more focused and realistic you can be the better.

Be Competitive but Also Financially Viable

Do you know how much you can spend? Are you clear on how to design an employee benefits program that is both affordable and competitive? You can only pay what you can afford so to remain competitive you may have to find other perks that you can offer that your competitors can’t. For more on how to budget appropriately, check out this Canadian Business article entitled, “How Much Should Your Company Spend on Employee Benefits

Understand Required Vs Optional Employee Benefits

Some employee benefits (worker’s compensation for instance) may be required by federal and/or provincial law. It’s best if you also include the cost of these “required” benefits in your overall budget. Optional employee benefits like health insurance, life insurance, and disability insurance may be chosen based on cost and the needs of the talent you are trying to attract and retain. Your employee benefits broker can help you understand and choose which optional benefits are best for your circumstances.

Communicate Additional Perks

Health, life, and disability insurance are the common types of optional employee benefits. However, many smaller businesses may be able to offer additional perks that their larger competitors may have overlooked or simply don’t offer. These might be the kinds of benefits the employees need that makes them feel your company may be a better place to work at.

Maybe you can offer a flexible work schedule or allow your employees to telecommute. Perhaps you can contribute to a health spending account on the employee’s behalf or offer paid time off for things like volunteer work. Make sure these potential perks are communicated clearly to existing employees and especially to potential employees during the interview process.

Use Annual Statements to Summarize the Value of Your Benefits

As humans, we tend to believe what we see in writing. It’s a good policy to provide your employees with an annual statement that outlines not only their wages, but also the dollar value of all the benefits they are receiving. Let your employees see in writing that the value of their compensation is a lot higher than just their wages.

Learn More on How to Design an Employee Benefits Program

If you already have an employee benefits program but feel you need to explore other options, or if you need help designing a plan that better fits your budget and employee’s needs, give us a call.

Benefit Strategies Inc. is located in Edmonton Alberta and has be serving businesses throughout the Western Provinces, the Yukon, and the Northwest Territories for more than four decades.

If your business employs 10 or more employees and you want to learn more about how to design an employee benefits program that is affordable and competitive, please call our us at 1-780-437-5070 or send us an email.

Graphic showing wall of words in blue with "Benefits" as the largest word

2019 Federal Budget- Employee Benefits Impacted

How will the new 2019 Federal Budget impact benefit plan sponsors, employees, and employers?

National Pharmacare Program

With the March 2019 Federal budget, progress is being made towards instituting a National Pharmacare Program. The move away from Provincial Pharmacare Programs involves projects to develop a National Drug Formulary and the creation of a Canada Drug Agency (CDA) plus a National Strategy for High-Cost Drugs and Rare Diseases.

Our publicly funded health care system is based on need and is the envy of many countries around the world. However, a National Pharmacare Program would cover the costs for expensive drugs necessary to help Canadians with certain rare diseases.

Protect Employees & Pensions from Employer Insolvency

The new Federal budget is also looking into how to improve creditor protection for plan members should an employer declare bankruptcy. The goal is to improve the fairness and transparency of the insolvency proceedings and make them more accessible for plan members.

Canadian Training Benefit

As of 2020, if you are an employee between the ages of 25 and 64 and with an income of less than $150,000, you may be eligible for the Canadian Training Benefit. This EI Training Support Benefit provides an automatic credit of $250 per year (with a $5000 lifetime limit). The benefit can be used for up to 4 weeks of leave or towards training fees for college, university, or any other eligible institution. You must have 600 insurable hours to qualify.

Summary

For more information about the 2019 Federal Budget in Canada, visit the Government of Canada page entitled, Investing in the Middle Class.

Need Help with Employee Benefits Plans?

If you are an employer and you want to learn more about what you can do for your employees, our employee benefits brokers can help.

If your business employs 10 or more employees and you don’t currently have an employee benefits plan, let us show you how a well-designed plan can benefit your employees and your business.

Benefit Strategies Inc. is located in Edmonton Alberta and we service businesses throughout all the Western Provinces plus the Yukon and the Northwest Territories.

If you still have questions about how the Canadian 2019 Federal budget will affect employee benefits, please call our benefits brokers at 1-780-437-5070 or send us an email.

Employees in a board meeting.

Benefit Strategies Inc. Wins Consumer Choice Award

For two years running (2018 and 2019), Benefit Strategies Inc. in Edmonton Alberta has been awarded the Consumer Choice Award for Business Excellence.

The majority of our clients are from the Edmonton and the Northern Alberta area, but our group and employee benefits brokers also service small and medium sized businesses throughout Western Canada, the Yukon, and the Northwest Territories.

Voted Best Group Benefits Broker

Voted Best Group Benefits Broker

The Consumer Choice Award program has been recognizing business excellence throughout Canada for more than 30 years. This recognition is awarded by consumers to help other consumers make better and more informed buying decisions.

Benefit Strategies Inc. was the only winner in the “Group Benefits Broker” category for the Edmonton and Northern Alberta area.

We offer creative solutions for group and employee benefits plus complimentary benefit analysis and exceptional on-going benefits plan management.

About the Consumer Choice Award

Established in 1987, the sole purpose of the Consumer Choice Award (CCA) is to recognize small and medium sized local businesses for their business excellence. The CCA award uses a 4-step ranking process that is statistically supported by independent market research. CCA Award winners are selected by the consumer based partly on customer satisfaction and brand reputation. This recognition helps to inform and assure other consumers they will be receiving best in class for products and service in this market.

Contact Us

Benefit Strategies Inc. is located at #204 – 6908 Roper Road in Edmonton AB.

To learn more about our group and employee benefits plans or about our company, please call us at 1-780-437-5070 or send us an email.

 

Click here to see the full list of winners for 2018 on the news release by Globe News Wire.

Bottle on a desk with Legalized Marijuana.

Marijuana Legalization in Canada & What It Means for Employers

Canada recently legalized recreational cannabis…so what does that mean for employers?

Medicinal & Recreational Use

In 2017, Health Canada conducted a survey of medicinal cannabis users and here’s what they discovered:

  • 97% per cent of sufferers indicated experiencing some level of relief
  • 72% reported they were able to decrease their use of opioids and other medications

Health Canada also discovered that the evidence is conclusive – recreational and therapeutic cannabis use does provide relief from other health issues including nausea and chronic pain.

Workplace Impairment Policy

It is the responsibility of the employer to ensure the safety of employees while at the workplace. The employer is also obligated to accommodate the use of prescription drugs necessary for the health of their employees. The employer retains the right to modify the employee benefits plan, if necessary, in order to accommodate medical cannabis coverage.

Mitigating Risk

As with any other workplace drug use, the employer may implement a workplace impairment policy in order to mitigate the risks associated with medicinal cannabis use.

Medicinal Marijuana Coverage

There are a number of ways available to employee benefits plan sponsors that will allow them to include medicinal marijuana coverage. These will allow employee benefits plan sponsors to pre-set predictable annual budgets and limits.

Employees must first be assessed by a third party. Eligibility for medicinal marijuana coverage will be based on a list of pre-approved health conditions. Coverage options may include:

  • Unlimited medicinal marijuana coverage
  • A percentage of the marijuana coverage claim
  • An annual budget administered to pre-approved employees in one of two ways…
1. A General HSA (healthcare spending account)
2. A medical cannabis account (also administered through an HSA)

Need Help with Your Employee Benefits Plan?

If you are an employer and you need assistance on how to include medicinal cannabis as part of your employee benefits plan, our employee benefits brokers can help.

We can look at your current plan, if you have one, and help you understand your options. If you don’t currently have an employee benefits plan and would like help setting one up, we can assist you with this a well.

We are Benefit Strategies Inc. We are located in Edmonton Alberta. Our employee benefits brokers service all the Western Provinces plus the Yukon and the Northwest Territories. To learn more about us or to inquire about adding medicinal marijuana coverage to your employee benefits plan, please call our benefits brokers at 1-780-437-5070 or send us an email.

You can learn more about marijuana legalization in Canada and how it affects employers by visiting the government of Canada’s page entitled, Controlled Drugs and Substances Act.