Improving Benefit Communication for a Multi-Generational U.S. Workforce

Improving Benefit Communication for a Multi-Generational U.S. Workforce
December 31, 2024 6 mins

Improving Benefit Communication for a Multi-Generational U.S. Workforce

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With a multi-generational and diverse workforce, it is important for employers to develop benefit communications and engagement strategies to help employees understand their unique benefit options. Here are five useful tips to consider.

Key Takeaways
  1. Organizations need tailored communication strategies for employee benefits that address diverse workforce needs beyond basic categories like job title or age.
  2. Communicating benefits across various platforms during open enrollment and new-hire onboarding is crucial. This includes self-service platforms, print and digital media and benefit counselor conversations.
  3. Using emerging technologies like AI and advanced language models in employee benefit communications can improve effectiveness and efficiency, while also delivering timely and accurate information to employees.

The U.S. workforce is diverse, encompassing employees from various generations, demographics, cultural backgrounds, working models and learning styles. This diversity brings a wealth of perspectives and skills, but it also presents unique communication and engagement challenges. Different generations and cultural groups have distinct preferences and needs, which must be considered when developing and communicating employee benefits.

Understanding the workforce in detail — beyond simple differentiators like job title or age — is a good place to start. Benefit communications should be distinct and cater to individuals as much as possible. Ensuring clear, concise and relevant messaging will help employees make informed benefit decisions, which in turn leads to higher satisfaction and engagement — a win-win for all involved.

When considering benefit communications for a multi-generational workforce, it is essential to focus on improving employee experiences. Information is engaging to people only if they can relate to it and know what’s in it for them. Organizations are therefore increasingly centering their strategies to enhance these experiences for various employee segments. This involves building core principles into people strategies, including benefit communications, to ensure they are multi-channel, relevant, timely and simple to understand.

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By tailoring benefit communications to meet the needs of a diverse workforce, organizations can ensure that the right messages reach the right employees at the right time, driving desired outcomes.

Kathy Caccese
Communications and Engagement Solutions Leader, Health Solutions, North America

5 Tips to Improve Benefit Communication for a Diverse Workforce

Tip #1: Simplify Complex Benefit Information

Using plain language and summarizing key points can make complex benefit information more accessible. “It is important to target the content at a fifth grade reading level and avoid industry jargon and acronyms,” says Kathy Caccese, communications and engagement solutions leader in Aon’s Health Solutions. “This approach ensures that all employees, regardless of their background, can understand the benefits being communicated.”

In today's fast-paced world, people have short attention spans and diverse communication preferences. Companies like Amazon have mastered the use of technology to enhance self-service and provide a seamless consumer experience. For instance, the e-commerce giant uses machine learning to constantly personalize product recommendations and optimize pricing in real-time.

“This strategy can be applied to employee engagement by using various forms of technology to deliver clear and concise benefit information,” adds Caccese. “However, it’s important to balance digital communication with human interaction.”

Tip #2: Communicate Benefits on a Variety of Platforms

Employee populations have different learning preferences: Some people may engage more frequently on mobile applications, while others might prefer in-person conversations, webcasts or printed material. Regardless, it is crucial to meet employees where they are, especially during open enrollment and new-hire onboarding. Employers should start by educating their people on what benefits are available using a variety of methods, including self-service platforms, print and digital communications, as well as counselor-based conversations. “This approach ensures that employees can understand and appreciate their benefits, leading to better selection for themselves and their families,” says Chip Balser, senior vice president of Consumer Benefits in Aon’s Health Solutions practice in North America.

Tip #3: Identify Key Touchpoints for Communication in the Employee Life Cycle

Despite advancements in technology, human interaction remains valuable, especially during critical times. While digital tools are important, face-to-face conversations should not be overlooked. “Think about your employee experience journey and identify the moments that matter,” says Caccese. From the birth of a child or adoption to critical illnesses and retirement injuries, employee benefits touch countless key life milestones. “These experiences all elicit emotions, making it that much more critical that employee benefit communications are accessible, timely and relevant,” Caccese adds.

With a diverse population, employers can view all key touchpoints throughout the typical employee life cycle and identify important opportunities to embed equity and inclusion throughout the mapping process.

Tip #4: Pulse Employees Often to Understand Their Needs

Benefits are typically the second largest component of total reward spend. It’s undoubtedly a missed opportunity if employers do not engage with employees during annual enrollment. Even if an employer offers great benefits, they have little value if they are not effectively communicated and efficiently delivered. Providing employees with opportunities for benefit advisor discussions each year will improve understanding of what their benefits are and what benefits they should select based on their circumstances. It also helps boost overall appreciation of the benefits provided. The improvements to recruitment, retention and satisfaction that form a significant part of the return on benefit investment often rely on how much employees understand and care about the benefits they have access to.

30%

of total compensation costs for private industry workers in the U.S. are total benefits, the second highest next to wages and salaries.

Source: U.S. Department of Labor, Bureau of Labor Statistics, Employer Costs for Employee Compensation - June 2024

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Companies should be giving their employees 20 to 30 minutes a year to really be able to do right by their benefit decisions. I think the gain is better appreciation, which translates into better employee satisfaction, which can ultimately influence voluntary turnover.

Dani McCauley
Growth Leader, Health Solutions, North America
Tip #5: Leverage Emerging Technologies

Leveraging emerging technologies in employee benefit communications involves using artificial intelligence and advanced language models to enhance the effectiveness and efficiency of communication strategies. By combining human expertise with technological advancements, organizations can create a comprehensive repository of real interactions and common inquiries from call center scripts.

This approach streamlines the communication process and ensures employees receive accurate and relevant information in a timely manner. Although developing sophisticated language models requires time and may not be fully realized for several years, the potential benefits in improving employee engagement and satisfaction are significant.

“With the help of comprehensive data, we can develop strong key performance indicators to prove employees’ engagement with benefit tech tools,” explains Dani McCauley, a national growth leader in Aon’s Health Solutions. “We can also determine how employees are leveraging these digital platforms to hyper-personalize and continuously improve user journeys with technology.”

Maximizing Benefit Communications

As the cost of employer-sponsored benefits continues to rise, organizations must ensure their benefit investments provide value to employees, and in turn, positive return on investment. An effective benefit communication strategy during open enrollment and throughout the year will not only ensure employees are informed of the benefits available to them, but also help determine which ones are best suited for them based on current circumstances.

Learn how your organization can benefit from employee benefit enrollment and education.

Aon’s Thought Leaders
  • Chip Balser
    Senior Vice President, Health Solutions, North America
  • Kathy Caccese
    Communications and Engagement Solutions Leader, Health Solutions, North America
  • Dani McCauley
    Growth Leader, Health Solutions, North America

General Disclaimer

This document is not intended to address any specific situation or to provide legal, regulatory, financial, or other advice. While care has been taken in the production of this document, Aon does not warrant, represent or guarantee the accuracy, adequacy, completeness or fitness for any purpose of the document or any part of it and can accept no liability for any loss incurred in any way by any person who may rely on it. Any recipient shall be responsible for the use to which it puts this document. This document has been compiled using information available to us up to its date of publication and is subject to any qualifications made in the document.

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