This year and beyond, we're likely to see more organizations build on early digital transformation wins through technologies such as machine learning and AI. (Photo: Shutterstock)
We're living through a massive transformation in the employee-employer relationship. From demands for flexible and hybrid work arrangements to the ever-growing number of workers seeking new opportunities and changing careers, people are making it clear that they want to do their jobs on their terms.
Among employers heeding those demands—and following the data—it appears that few organizations will return entirely to the conventional "butts in seats" office model. At Businessolver when 94% of our employees said they were satisfied or very satisfied with remote work (myself included), the obvious next step was to implement a permanent work-from-home option.
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Throughout this period, few organizational traits have been more valuable than agility—the ability to monitor and quickly understand trends and embrace new technology and processes that allow our team to thrive. One example was how we worked with customers to implement a vaccine-tracking tool for employees well in advance of any mandates. Another was a new focus on mental health and resources to help employees navigate those issues. In that spirt, here are three trends I'm paying attention to this year, and the role I believe tech will play in helping organizations address them.
Helping employees navigate rising health care costs
From the gas pump to the grocery store, the impact of inflation is rippling throughout the economy. In January, the Consumer Price Index spiked 7.5% from the year prior, the highest rate in four decades. Health care costs are next.
Amid the pandemic, many people held off on using medical services, such as elective surgeries, but also critical ones such as cancer screenings. This surge in demand will soon show up in medical bills, with implications for your benefit plans and your organization's bottom line. We expect to see more teams review and adjust their benefits programs, particularly when it comes to deploying cost-sharing, high-deductible health care plans, and health savings accounts.
Related, one of the biggest trends of the last two years was the number of mental and total-health programs that employers brought forward. While these tools are great, they can only make an impact if employees actually use them. As a benefits engagement platform, we have the data, tools, and means to help move the needle on an organization's overall medical spend. In 2022, we'll propel this innovation across our toolset through general awareness, decision support, AI, mobile, and more.
Boosting the efficiency of HR teams
Whatever your digital transformation roadmap looked like in 2020, COVID-19 upended it. Overnight, IT and HR teams were put on the defensive, implementing new technologies, systems, and processes to ensure business continuity for their newly remote organizations. While this shift was challenging for us all, for many HR teams, it served as a much-needed forcing function for their operations. The digital transformation of outdated and even paper-based HR systems has saved time, increased efficiency, and, through the collection of rich kinds of data, helped HR teams better understand the needs of their people.
This year and beyond, we're likely to see more organizations build on these early wins through technologies such as machine learning and AI. For example, by tapping AI-powered digital assistants to field routine questions from employees, HR teams can free themselves up to focus on higher-touch and more strategic tasks.
Improving engagement for a hybrid workforce
It's not a stretch to say that hybrid work has been a game-changer for employees. Increased flexibility has made many people happier, more productive, and more loyal to their organizations.
But this flexibility has also come with its tradeoffs. "the belonging tax" refers to the clear cost—in feelings of stress, burnout, and exclusion—that employees pay for the increased convenience and flexibility of remote work. Employers, too, pay a price: Organizations must redouble their efforts to ensure that remote teams are getting what they need, including timely, relevant information about health care and other benefits.
This is particularly true for HR teams. Keeping employees happy means engaging them year-round, in many different ways, not just once at the start of annual enrollment. Indeed, 64% of employees expect HR to respond and interact with them in real time and across multiple channels.
It also means accounting for generational differences—younger generations think about and procure benefits differently. Employers need to diversify benefits programs—one size no longer fits all.
All of this means that organizations must be hyper-focused on engagement, and implement technology that allows them to create personalized benefits navigation for their teams. This is another area where AI will play a greater role in the coming years.
Innovating at the speed of change
Here's the bottom line: Today, more than ever, employees are in the driver's seat. Responding to this shift requires that organizations adopt an approach to employee engagement and workplace experience that puts innovation and empathy at the forefront. Innovation alone is not enough. Not only must we create solutions that meet the needs of our customers, but we must also ensure these programs are accessible, thoughtful, and deliver a high level of service. The stakes feel like they've never been higher.
Jon Shanahan is the CEO and president at Businessolver, a leading provider of SaaS-based benefits technology and services.
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