Why Health Insurance Isn’t Enough for the New Kids on the Block
As 80 million millennials emerge into the workforce, many of them with college degrees, a shift in the way the professional services industry views work will travel right along with them. Millennials, otherwise known as Generation Y, includes those born between 1977 and 1998. Those born after 1998 are considered Generation Z, and are the first generation born into a digital world. Needless to say, their needs and expectations in the workplace are different from those of their baby boomer parents.
Born from parents who valued comprehensive health coverage and a 401(k), professionals of Gen Y and Gen Z have different opinions from their elders when it comes to benefits. Forbes explains that these emerging generations are already pressuring employers to reexamine and redesign their traditional benefits. Unlike their parents, they’re young, health conscious employees who don’t value dollar-one coverage. Instead, they expect their employer to use those savings to support other benefits, such as telecommuting and a home office. Driven by personal growth, millennials would rather pass on an aggressive retirement plan and instead further their personal growth by taking advantage of tuition reimbursement and coaching programs.
Essentially, the definition of employee benefits is evolving.
According to a recent poll entitled “What Millennial Workers Want: How to Attract and Retain Gen Y Employees,” conducted by Robert Half International and Yahoo! Hot Jobs, millennial workers evaluated the job consideration components that are most important to them based on a ranking of 1 to 10, with 10 being the most important:
- Salary: 9.05
- Career growth and advancement opportunities: 8.74
- Employer’s leadership: 7.95
- Training programs in-house: 6.95
- Tuition reimbursement: 6.64
- Diversity within the organization: 6.07
- Employer’s charitable efforts within the community: 6.06
The on-the-job components that millennial workers find most important, ranked from 1 to 10, with 10 being the most important, include:
- Working with management they can learn from: 8.74
- Having a solid work/life balance: 8.63
- Working for an organization that is social conscious and responsible: 7.42
It isn’t uncommon to hear an employer convincing a candidate of why they should chose their company over the next. What used to be a one-way street now must include an array of answers to the question, ‘What’s in it for me to work for you?’
Ultimately, it’s all about professional services employers being more creative with their benefits package if they plan on recruiting and retaining professionals from Generations Y and Z.
At Assurance, we’re all about “Keeping Gen Y Engaged”. Contact an Assurance representative today for more information on how to make your benefits package more appealing for those new kids on the block.
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