Here’s how leading organizations are getting it right—and what you can do to meet employees’ expectations today.

The cost shift dilemma: A growing disconnect

A growing trend among employers is the continued shift of benefits costs onto employees through higher payroll contributions, rising deductibles, and increased out-of-pocket expenses. While this approach may offer short-term savings for the company, it’s becoming increasingly unsustainable for employees—especially as inflation drives up the cost of everyday living. According to MetLife’s 2025 US Employee Benefits Trend Study, rising medical costs are one of the top three stressors for employees (77%).

As a result, many workers are feeling the strain more than ever before, leading to a troubling pattern: employees and their families begin avoiding care altogether due to financial concerns. This avoidance often results in gaps in care, non-compliance with treatment plans, and ultimately, higher-cost claims. Ironically, this drives up renewal costs for both the employer and the employee, perpetuating a cycle of rising expenses and declining access. Employers who fail to address this disconnect risk not only higher long-term costs but also erode trust and engagement from their workforce.

Why one-size-fits-all no longer works

One-size-fits-all benefits are a thing of the past. Today’s workforce is more diverse than ever across generations, lifestyles, and priorities. A recent graduate buried in student debt needs entirely different support than a mid-career parent balancing childcare and aging parents. Meanwhile, late-career employees prioritize retirement planning, flexible work, and health care security.

Customization matters. Employees don’t just want a bigger menu of benefits—they want the ability to select the options that align with their unique life stage, goals and values. Health plans, mental health support, family care benefits, telehealth options—the more flexible and targeted the offering, the stronger the employee loyalty.

And the numbers prove it: 78% of employees said they’re more likely to stay with an employer because of their benefits program. Customization isn’t a luxury—it’s an expectation.

Flexibility fuels loyalty

Flexibility is no longer a perk—it’s a priority. In today’s benefits landscape, offering remote or hybrid work options—when the role allows and performance expectations are met—can be a powerful lever for both recruitment and retention. Employees value the autonomy and work-life balance that flexibility provides, and organizations that trust high-performing team members to manage their schedules see stronger engagement in return.

Behavioral health is another area where flexibility is key. With rising national awareness around mental wellbeing, employees are increasingly seeking out support, but only if it’s accessible and discreet. Virtual behavioral health options reduce barriers to care and offer the privacy and convenience that drive actual utilization.

Low-cost programs that make a big impact

As employers look to expand benefits while managing costs, exploring creative, cost-effective solutions is becoming a strategic advantage. One proven approach is Direct Primary Care (DPC). With DPC, employees get unlimited access to primary care services with no out-of-pocket expenses—eliminating financial barriers to care and significantly improving treatment adherence.

DPC can also be budget-friendly for employers. By pairing DPC with a higher-deductible health plan, organizations can offset costs while steering more routine and preventive care into the DPC model, reducing claims and improving long-term outcomes.

Related: Strong benefits packages boost employee retention for over 60% of workers

Additionally, there are a wide variety of low-cost discount programs that provide value to employees without the expense of fully insured or self-funded plans. Options like telemedicine, dental and vision discount cards, and prescription savings programs give employees access to care and services at reduced prices—without requiring the employer to shoulder significant premiums.

If you’re not listening, you’re losing

The most successful benefits strategies start with a simple but powerful step: listening to employees. Understanding what your workforce needs—both in and outside of work—helps you build programs that truly support them. While it’s impossible to meet every individual preference, tools like surveys, focus groups, or even anonymous feedback channels provide valuable insights into the collective experience and priorities of your team.

Once you’ve listened, communication becomes just as critical. Benefits education shouldn’t be a once-a-year event. Yet, for many organizations, open enrollment is the only time benefits are discussed—and even then, the information can be overwhelming and difficult to retain. The result? Employees underutilize or completely overlook valuable programs, like Employee Assistance Programs (EAPs), simply because they don’t know they exist or understand how to access them.

Ongoing communication—delivered in simple, accessible formats—keeps benefits top-of-mind and increases engagement. When employees understand what’s available to them, they’re more likely to use those resources, see the value in them, and feel supported by their employer. In fact, employees who use their benefits and have positive experiences with them are 2.4 times more likely to feel holistically healthy and approximately twice as likely to trust their employer and the employer’s leadership (MetLife 2025 US Employee Benefit Trends Study).

Build for the future, not just the budget

To measure the success of a benefits program, data matters. Whenever possible, gather utilization metrics from your vendors and partners—this is the most direct way to assess return on investment. If those numbers aren’t available, even a simple internal survey can provide valuable insight into what’s being used, what’s valued, and what’s missing.

Benefits shouldn’t be treated as just another budget line at renewal time. When they’re reduced to numbers, that’s how employees will see them—impersonal and transactional. But when viewed as a long-term strategy for improving outcomes, increasing engagement, and building loyalty, benefits become one of the most powerful tools a company has to offer.

Todd Martin is the Chief Sales Officer at Nova Healthcare Administrators, Inc., where he develops sales and marketing strategies and cultivates relationships to grow Nova’s presence across the country.