To attract and maintain the best talent, employers are having to adapt and offer broader scope benefit packages that encompass hybrid and remote workers.
The full impact of the pandemic is just starting to be realized by many companies. As businesses look to return to normal it is clear there is a new normal. Office employees want greater flexibility to work remotely and the new demand for a hybrid workplace is challenging traditional business structure. In some industries, there is a very tight labor market, particularly in lower-paid positions, and employers are having a difficult time filling open positions. Employees are demonstrating that if they do not receive the benefits, pay and flexibility that they desire from a job, they will find a better match.
Related: Open enrollment: It's time to get started
Doug Ramsthel is a Partner at Burnham Benefits, a Baldwin Risk Partners Company, one of the top 50 employee benefit consulting firms in the United States. He consults employers across the US on their benefit plan strategy, design, funding, and communication. Recommended For You
At the height of the pandemic, employees were worried about pay cuts, being furloughed, and getting laid off. Working longer hours from home and struggling for a better separation between home and work life is resulting in burnout for many employees. Now that the labor market is so tight, with employer struggling to fill jobs, employees have more leverage to command the employment terms they desire. And, to attract and maintain the best talent, employers are having to adapt and offer broader scope benefit packages that encompass hybrid and remote workers, among other changes.
One of the biggest changes in benefits is companies recognizing the need to support the employee's mental health and wellbeing. More businesses are adding mental health coverage to insurance packages and creating programs to remove stigmas and give employees more access to resources. While working remotely has now come to be viewed as a perk by many people, the isolation of the pandemic did take a toll. According to the CDC 11% of adults reported symptoms of anxiety and depression between January and June of 2019. In December of 2020 that number had grown to 42%. Some of the most popular mental health benefits companies are offering include:
- Access to free counseling sessions or reduced copays for in-network therapy
- Subscriptions to virtual counseling service apps
- Subscriptions to wellness apps for meditation, stress reduction, and improved sleep
Because workplaces will have more employees working remotely at least part of the time, companies need to develop effective and innovative solutions for virtual education and enrollment. Best practices will include virtual health fairs, virtual open enrollment meetings, and shorter, more frequent, and targeted communications.
Companies should also expect to see an increased demand from employees for benefits that extend to family members. Many working adults had to become caregivers during the pandemic for their elderly parents, and full-time educators and entertainers for their children. They will want to make sure that they have options for caregiver support as they return to the workplace. Another outcome of the pandemic will be more parents choosing to stay home, either to caregiver full-time or to run their own business, resulting in an increase in spousal enrollment.
As preparations begin for open enrollment, companies will want to review the virtual enrollment processes that were put in place last year to determine how they can be optimized and improved for this year. Since many employees will continue to work remotely, it will be critical for companies to succeed at effectively explaining benefits packages, creating programs to educate employees about their healthcare options, and how to improve their wellbeing. And, most importantly design a competitive benefits package that meets the needs of today's employee and the new hybrid workplace.
© 2025 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
