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© Copyright 2000 Rogers Media. The following article first appeared in the June 2000 edition of
BENEFITS CANADA magazine.
3rd annual Communications Awards
Celebrating the best in Canadian benefits and pension plan communications. Presented by BENEFITS
CANADA and the Canadian Pension and Benefits Institute.
Effective communications are an essential component of employee benefits and pension plans, and the winners
of the Third Annual Communications Awards represent the country's best. These plan sponsors' dedicated
efforts to educate and enlighten plan members represent an impressive collection of diverse work.
Once again, we have partnered with the Canadian Pension and Benefits Institute (CPBI). Our winners will
showcase their work at CPBI's Annual National Conference in Regina, June 14 to 16. In addition to the
commemorative plaque presented to each of the plan sponsor firms, one representative will be awarded two
nights' accommodation during the conference and a free conference registration package.
In each category, entries were judged for creativity in graphic design, clarity of writing, program
effectiveness and overall success relative to the available budget and objective.
Our judges come from a variety of backgrounds. Representing industry associations and educational
resources, we have Louis-Joseph Régimbal, executive director, CPBI, Helene Van Houtte,
communications/marketing, CPBI and Ted Patterson, director, Centre for Employee Benefits, Humber College.
Our plan sponsor representative is Carol Paquette, human resources director, Avon Canada Inc., which was
last year's winner of the Excellence in Communications Prize. That prize goes to the entry with the highest
score in the entire competition. This year's winner will be announced on June 14 in Regina.
Plan member judges are Janet White, editor, Corporate Travel Management and Mary Lepage, associate
marketing manager, communications and events, at CTV Inc. Representing the marketing/publishing fields are
Rosalyn Wosnick, acting editor, Canadian Healthcare Manager and Margaret Nearing, associate editor,
Marketing Magazine .
WINNER: overall integrated strategy
Canadian National Railway
Canadian National (CN) Railway's award-winning communications strategy serves as a textbook example of how
to introduce a flexible benefits program. While the materials are simple and conservative, in keeping with
the company's culture, they demonstrate CN's commitment to educating workers as to why the company adopted
a flex benefits program, and the advantages of employees taking ownership of their healthcare.
CN switched to a flex program for non-unionized employees after the company privatized and set out on a
fast track to change its culture to one of pay-for-performance, explains Fran Cooper, CN's director of
rewards and employee development.
CN faced significant challenges in that employees were dealing with a considerable amount of change at the
time, and the company had to develop messages and materials that spoke to a culturally and geographically
diverse workforce, which varied greatly in terms of education levels. Cooper adds that employees, who had
just been introduced to a new stock purchase plan, were "suspicious about what the new program meant to
them."
The flex benefits communications initiative comprises a newsletter, video, en-rolment kit, intranet com-
ponent as well as posters, a travelling help desk and an e-mail campaign. One of the most impressive
aspects of the campaign is the fact CN was upfront about its intentions, namely the need to contain
healthcare costs. At the same time, the company was proud of the fact its program covered Viagra and
smoking cessation efforts, and it wanted to promote the positive aspects of flex benefits.
Cooper says CN also wanted the communications materials to let employees know that help was available and
that they were "not walking the line and making decisions alone."
Marie-Claude Perrault, a consultant with Towers Perrin in Montreal, the firm which helped design CN's
communications strategy, says the company conducted focus groups to test market the program and key
messages of flexibility, choice and responsibility prior to launching the initiative. "What makes this
communications program special is that it really listens to employees," says Perrault.
In addition to Towers Perrin, William M. Mercer Limited was responsible for client liaison, once the
program was up and running, and Great-West Life Assurance Co. processes all claims.
CN's print materials feature cheerful photographs of employees that celebrate the diversity of its
workforce. While the design may ap-pear conservative, Cooper stresses that it is actually a bold departure
for the company, which previously relied on black and white documents for its communications. CN used the
video to take a lighter approach to the same subject matter. "We walked a fine line on how much money to
spend on glossy literature and videos while not putting it into the plan," says Cooper.
The effort was a success on all fronts. The company saved $200,000 in projected healthcare expenses, and
employees have responded favourably to the plan: 65% surveyed say they understand why CN moved to a
flexible benefits program and agree it is a good solution for both parties; 87% say they have the right
tools and support to make their own decisions on benefits selection.
-- Kathryn Dorrell
Fine Points
Impetus: Implementation of a flexible benefits plan for non-unionized employees to increase employee
sense of responsibility while containing healthcare costs.
Challenge: Newly-privatized CN was undergoing a dramatic shift in workplace culture. The company had
to deliver its message to workers in diverse positions in all corners of the country.
Outcome: 65% of respondents to company surveys state they understand why CN moved to a flexible
benefits program and agree it is a good solution for both parties; 87% say they have the right tools and
support to make their own decisions on benefits selection.
Cost: $140,000.
Judge Says: "Super program. Brochures are easy to read, very understandable (with the) message
reinforced in multiple media format."
WINNER: binder/booklet
Lucent Technologies Canada Corp.
As a dominant player in the high tech field, Toronto-based Lucent Technologies Canada Corp. is accustomed
to constant change and a fast-paced environment.
The company put these skills to good use when it decided to go back to the drawing board and redesign its
flexible benefits plan in order to boost participation during a re-enrolment program. The award-winning
communications st-rategy was written, produced and rolled out to employees in less than eight weeks.
"The flex plan we had previously was not as well used as we would have liked," explains Warren Eberlin,
director of human resources at Lucent. "We had recently trivested from AT&T and now had the opportunity
to know our employees better and give them more choice. Our employees are all professionals--knowledge
workers. It's a competitive field and we try to let our people make as many choices for themselves as
possible. We wanted the benefits plan to reflect our corporate values."
The company designed a plan that increases the number of options open to employees and encourages them to
pick which ones suit their needs. It includes a new taxable spending ac-count for unused flex credits for
those employees who don't want to contribute to the registered retirement savings plan or use the health
spending account option.
Eberlin says a pension and benefits committee came up with the Benefits à la carte theme at a
brainstorming session.
"We thought of the plan as a high-class restaurant with employees picking items off a menu. The visual
effects followed."
David Krieger, president of Krieger & Associates, the Toronto-based consulting firm that wrote and
de-signed the communications materials points out that Lucent is "working diligently to attract and keep
the best people and they wanted to develop their own identity around the plan."
The simple yet highly effective communications package comprises a small ringed binder, Benefits à
la carte, and an accompanying booklet, Benefits at a glance, which is essentially a
snapshot of the benefits plan. The pocket-book size of both pieces makes them portable and a box with tabs
helps employees keep track of all human resources
materials.
Playing on the concept of a menu, the bilingual materials use lively food illustrations and clear and
simple writing free of complicated terminology to present options available to employees. In addition, many
common questions such as 'Am I covered if I am temporarily away from work?' are thoroughly answered in the
materials.
Overall, the clean design of the material and use of red through the pieces reflects Lucent's circle icon
and the professional image of the company. As Eberlin points out: "It's a waste of money to have a program
or materials that employees yawn at."
This initiative certainly wasn't a sleeper. Lucent says it received a lot of positive feedback from
employees, and the percentage of workers taking advantage of the flex plan as opposed to relying on the
default option skyrocketed to 85% from 23%--a true measure of success.
-- Kathryn Dorrell
Fine Points
Impetus: To revamp the existing flex benefits plan, offer more choice to employees and decrease the
number of users selecting the default plan.
Challenge: Tight time lines. Material was written, designed, produced and delivered to employees in
less than eight weeks.
Outcome: Launched on time. The rate of employees who chose a benefit option rather than the default
coverage rose from 23% to 85%. Lucent also received a lot of positive feedback on the plan.
Cost: $70,000.
Judge Says: "This entry anticipated questions plan members would have and it answered them right off
the bat. Overall, WOW!"
WINNER: newsletter
NCR Canada
When NCR Canada was selecting a communications vehicle to deliver personal financial information to its
employees it was determined not to produce another "boring newsletter," declares Alpha Montemayor, the
company's compensation specialist.
With its dynamic colours and illustrations and numerous editorial features containing valuable nuggets of
information, future=focus, the Toronto-based technology firm's newsletter, is anything but
run-of-the-mill.
"We wanted something that was hip, fresh and punchy," says Montemayor. "At the very least we wanted to
stimulate people who knew nothing about the subject matter."
Karen Black, communications team leader at Krieger & Associates, the Toronto firm that created the
newsletter, adds it was important that this project stand out from everything else NCR had previously done
because the purpose of the piece was distinct.
NCR wanted its employees to take responsibility for their finances, particularly retirement, and it uses
the four-page, bilingual newsletter to provide them with a wide range of information and tools that help
accomplish this goal.
Indeed, future=focus is billed on the cover as an employee's road map to financial independence.
The other challenges that NCR faced were conveying complex information in an accessible format and speaking
to two different audiences, notably the sales and marketing staff that comprise the Toronto head office and
the manufacturing employees at the company's Waterloo, Ont. site.
NCR achieved its goals by creating a series of newsletters that build on the theme of personal finance.
The first issue addresses the initial steps in a financial assessment and contains a separate personal
financial statement for tracking individual liabilities and assets. This was followed up with a focus on
planning and measuring financial performance.
A subsequent issue ad-dressed how to select a financial adviser and the pros and cons of paying down the
mortgage as opposed to investing more in registered retirement savings plans (RRSPs).
Overall, the newsletter does an excellent job of providing employees with valuable business information in
a lively format.
In addition to main articles, the newsletter contains regular features such as Web Watch, Tax Tips and
Trends. There is also an online version of the newsletter with hyperlinks and an e-mail feature.
NCR's desire to educate and empower its employees and encourage them to take ownership of their financial
health is evident in the fact the newsletter is not used to promote the company's two pension plans.
In fact, the only promotion of company services is in the form of a sidebar, Just a Call Away, which
profiles NCR human resources employees, stating what they like best about their work.
"The project is about giving employees a helping hand," emphasizes Montemayor.
The newsletter is mailed to employees' homes and its non-corporate focus, in terms of both content and
design, encourages all family members to use the information and get involved in financial education and
planning.
The communications initiative did not result in an increased volume in contributions to the company's
plans.
Montemayor points out that NCR already has an 86% participation rate. Once again, he stresses the goal of
future=focus is not to promote benefits but champion financial responsibility.
NCR says it will gauge the success of the newsletter based on how successful its employees are in their own
financial planning.
-- Kathryn Dorrell
Fine Points
Impetus: To encourage employees to take responsibility for their financial well-being by providing
them with personal savings and investment information.
Challenge: Getting the message right. Communicating complex information in a simple and compelling
format.
Outcome: 70% of respondents to a company survey say they would keep the newsletter, future =
focus, for reference and 68% say they have taken action to learn more about personal finance as a
result of the initiative.
Cost: $6,000 for initial development and $15,000 for quarterly production.
Judge Says: "Clearly, (NCR) is very enthusiastic about (its) benefits communications strategy. The
network of tools included (teasers, surveys, etc.) is very impressive."
WINNER: online
Bell Canada
The decision to implement an online registration strategy for a new flex benefits plan being introduced by
Bell Canada this July was a natural one, says Isabelle Emond, the company's benefits communication project
leader. After all, she adds, "we're becoming an Internet company."
But with more than 30,000 employees with a wide range of Internet skill levels, the task of getting
employees online and registered is certainly daunting. Because of the differences in technical ability, the
main challenge for Bell was "making the site easy to use and navigate for every employee," says Emond of
the Web site which won in this year's online category.
To ensure the site was relatively simple to navigate, Bell formed focus groups comprised of a cross-section
of union and non-union employees as well as expert and novice Internet users.
The research helped Bell to come up with the current site, which the judges call "easy to use" and "easy to
understand." One judge also notes that the service is "very Bell."
Ease of navigation is accomplished through the use of two separate tool bars, which makes all of the
features on the site immediately visible and readily available.
The Web designers have also avoided endless sc-rolling by compiling the text in multiple pages. There is a
table of contents at the top of all content-heavy screens, which helps the user jump to various
sub-sections. As well, bu-ilding in a First Time Users' page and a Site Navigation 101 section make it easy
for first-time surfers to find their way around the site.
As for actually enrolling online, an enrolment ch-ecklist function takes each employee by the hand and
guides him through the process. Every step of the process is clearly indicated and linked to an online
tutorial function as well as a confirmation function which ensures the proper completion of each step.
Employees also have access to a call centre for further help.
The architecture of the site was designed and implemented by Toronto-based consultants Morneau Sobeco.
William M. Mercer Limited was responsible for developing the overall communications strategy and the
printed material. The site features some graphics and text that were pulled from the printed material to
ensure consistency between all communication vehicles.
Jeffrey Schmidt, a partner at Morneau Sobeco, says the Bell site is one of about 20 in Canada that now
offers direct online registration. An example of the step-beyond- static sites, into dynamic interfacing,
Schmidt sees the Bell site as the future of communications in the benefits industry.
"For most people the Internet is a solution looking for a problem. It's cool to put an employee booklet
online, but is that any more useful to me than just pulling it out of my desk?" asks Schmidt. "If the site
[allows me to] read about healthcare information and decide that maybe I need to make a different choice
and I can immediately link to it and do it--that's just a whole other level of service."
Schmidt also says that it's important that the site is accessible from the World Wide Web. "There is a
difference between putting it on the Internet and an intranet," he says. "At any point in time, and from
anywhere, as long as the employee has access to a browser, they can log on and view live information."
How is this high tech solution working out? The proof of its success is in the numbers.
The voluntary online survey built into the site asks employees to rate the site out of five, and to date,
employees have been consistently giving the service a four or better.
-- Jeff Sanford
Fine Points
Impetus: To register 30,000 employees in a new flex benefits plan.
Challenge: Designing a site that would address varying levels of Internet skills among the large
employee population.
Outcome: Bell employees can now register with the new flex program from any computer with access to
the World Wide Web. Updates can be made online, eliminating the need for paper forms.
Cost: $200,000 to $400,000.
Judge Says: " Very good presentation, easy to use. Very Bell."
WINNER: video
Federal Express Canada Ltd.
When Federal Express Canada Ltd. decided to revamp its defined contribution (DC) plan and start offering
more investment options, the courier company knew it would need to do some serious communicating with
employees.
The company produced its award-winning video to help convey the message that it's never too early to start
planning for retirement.
Since many of FedEx's 4,500 employees are literally on the road all day long, scheduling meetings to
discuss changes to the pension plan was not a viable option. The communications campaign--branded
Destination Retirement--comprised several pieces, of which the video was one.
Prior to the changes, plan members had no investment choice in their DC plan. In part because of employee
demand, FedEx decided to offer more investment op-tions.
"Employees have been pleased with the changes made to their pension plan because it was something they had
always been asking for," says Imma Monardo, manager, pension and benefits at FedEx in Mississauga, Ont.
"The fact that we, as a company, recognized those needs and took action on it, came across as a very
positive initiative in the eyes of employees."
At the same time the company decided it wanted to increase the number of investment options, it also
introduced a new fund manager, which presented further communication challenges.
"It was important to us that [employees] had a good understanding of the chan-ges we were making to the
plan and that the information they had was comprehensive so they could make good decisions," says Monardo.
The 13-minute video uses a game board approach where the final destination is retirement.
The video features a young FedEx courier (actually an actor), who voices many concerns people have with
retirement, such as 'I'm too young,' 'I need money to enjoy life now,' and 'Won't my pension plan take care
of itself?' The courier's concerns are expressed in a humourous manner, interspersed with hard facts about
FedEx's pension plan.
The average age of FedEx's workforce is 34 to 45 years-old, and the company wanted a creative package to
grab employees' attention.
"We wanted to have the courier in there because that's our line of work," adds Monardo. "It was something
the employees could relate to."
The goal of the video was two-fold: increase overall awareness of the pension plan and create an awareness
of the enhancements. In addition, the company wanted employees to recognize the plan as a good deal.
Measuring the success of communications was also important. FedEx surveyed employees throughout the
campaign and the video scored well.
"Measurement is critical," says Jodi Macpherson, a consultant with William M. Mercer Limited in Toronto,
the firm that worked with FedEx on the project. "It gives you fact-based information so you can go out and
start refining your communications."
The video exceeded the company's expectations be-cause it was so positively received by plan members. With
something as critical as the pension plan, says Monardo, it's worth the effort, time and money to ensure
the information helps employees make the right decisions.
-- Andrea Davis
Fine Points
Impetus: To communicate changes to the company's defined contribution pension plan.
Challenge: Getting the message across to a group of employees who don't work in a conventional
office setting.
Outcome: The video exceeded the company's expectations. "Our employees felt proud of the fact that
we had gone to such lengths to create a package for them, one they could relate to," says Imma Monardo,
FedEx's manager of pension and benefits.
Cost: $60,000.
Judge Says: "The video used humour to help make the information more meaningful and put it in a more
personal context."
WINNER: software
Cargill Limited
What better illustration of the communication challenges plan sponsors face every day than the conversion
of a pension plan from defined benefit (DB) to defined contribution (DC). Winnipeg-based Cargill Limited
came up against this challenge when it decided last year to make the switch for its 1,500 salaried
employees. Part of its communication strategy included this award-winning computer software.
Cargill's decision to switch from DB to DC was largely one of demographics. The original plan, created in
1975, simply wasn't meeting plan members' needs. "When we looked at the demographics of our workforce,
turnover rates and people who actually retire with the company, we found that with today's more mobile
workforce, many employees don't stay or expect to stay with the company their entire career," says Dave
Binda, manager, benefits and payroll, with Cargill.
When debating the pros and cons of switching, Cargill held focus group meetings with plan members.
Employees were clear on their needs--they wanted a modelling tool. "At one point we were debating whether
it was worth the money or not and we received very strong feedback from employees that a modelling tool
would be critical to making decisions," says Cheryl Janzen, finance manager with Cargill.
Employees were given the choice of staying in the DB plan or switching to the new DC plan. In addition,
plan members are permitted to change their choice once during the course of their career.
Communications were complicated because, historically, members had not been given much information about
their traditional DB plan. "We wanted to provide employees with a tool that would enable them to make
informed decisions," says Janzen. "Because there are variables, such as interest rates and salary
increases, we wanted them to be able to play with the variables."
The Pathways calculator allows plan members to do some 'what if' exploration of their own--a function that
used to be filled by Cargill's benefits department.
"Employees would call us and ask for a quote if they wanted to retire at age 60, for instance," says Binda.
"Then we'd go through the expense and time of running all those calculations and providing the data and
when the employee saw that, it was never the exact number they were hoping for. Now the employees have the
ability to change those assumptions."
The software was introduced at road shows conducted for employees across Canada between Septem-ber and
November 1999. The meetings were well received--over 90% of employees attended. "We worked very hard to
have a look and feel to the calculator that was consistent with our presentation and other communication
materials," says Janzen. "We had to work with the consultants to get it into language that wasn't actuary
language."
Cargill's vice-president of finance, Julian Hatherell, took a direct interest in the project early on when
he sent consulting firm Watson Wyatt Canada a mock up of what he thought the software program should do.
"It was a very collaborative approach with them," says Dan Morrison, an actuary with Watson Wyatt in
Toronto.
Morrison recalls the tale of one employee who'd been a strong advocate for the switch to DC. "He used the
software and decided he was probably better off staying in the DB plan. That was a good story to hear."
The software has exceeded Cargill's expectations. At the outset, the company's goal was to have at least
500 employees move to the DC plan. So far, more than 700 employees have made the switch.
-- Andrea Davis
Fine Points
Impetus: The move from a DB pension plan to a DC plan.
Challenge: Developing a tool plan members would actually use in easy-to-understand language.
Outcome: 726 employees made the switch to the new plan.
Judge Says: "The tool gives the employee the opportunity to see immediately the impact of his or her
choice. . . . accessible, easy to use for all categories of employees."
WINNER: other
Toronto Stock Exchange
If size is an indication of effort, the Toronto Stock Exchange (TSE) was a natural for this category. The
company's submission to the Third Annual Communications Awards arrived in a large box, and it didn't
disappoint.
What makes the entry truly impressive, however, isn't its size or sheer weight, but the fact this thorough
initiative is only an interim solution to the TSE's orientation package for new employees.
The long-term intent of the nation's senior equities exchange is to eventually move its human resources
(HR) communications on-line. But that goal is still two years down the road.
At the same time the company was preparing for this initiative it was grappling with the fact its employee
orientation program was not effective. Enrolment information made its way to employees via manila
envelopes, with little overall organization or control.
To plug the gap until the online strategy is implemented, the TSE brought in Toronto-based Krieger &
Associates to establish a low-tech solution. The re-sult is a well-designed, glossy communications pack-age
that links seamlessly to the rest of the TSE's benefits strategy.
The TSE's business plan states that the purpose of the benefits plan is to be simple, and to explain and
promote employee understanding of benefits in a manner that encourages personal responsibility. Ac-cording
to Karen Black, communications team lead-er at Krieger & Associates, the TSE also wanted to make a good
first impression on new employees.
The new orientation program accomplishes this goal and more.
The first day on the job, new employees arrive at their workstations to find Day One in a Box, a
collection of welcoming gifts and vital information about the company.
The package includes a checklist of things employees are asked to do by the end of the first day, week and
month.
The package also contains maps, organization charts, a benefits and pension booklet, a TSE T-shirt, coffee
mug and mouse pad. There's even a bag of popcorn to go with the TSE People video.
The second day on the job, an HR representative leads new employees thr-ough the benefits enrolment
process. To facilitate this important step, Krieger & Associates designed a binder that turns into a
flip chart which guides employees step-by-step through the process.
A quiz, developed from the decision-making tree behind the benefits plan in the printed materials, helps
lead new employees to the most appropriate benefits module for their needs. There is also a folder
employees can take away to address questions they may have after the session with HR.
"We took the envelope that all the [benefits] pieces had been dumped into and organized it by what they had
to do," says Black. "We also tried to streamline the process. A lot of these pieces were in different
places. A lot of the messages people were getting about their benefits varied quite a bit because there was
never anything in one place."
It was also important to the TSE that its communications program be port-able. "If there is some change and
you have new people in HR sitting down and doing orientation, anyone can do it [with this program]. It's
not reliant on a specific person," explains David Krieger, president of Krieger & Associates.
-- Jeff Sanford
Fine Points
Impetus: To implement an interim employee orientation program until the communications program can
be put online.
Challenge: Collecting and collating various benefits communication materials into an easy-to-use and
portable product.
Outcome: Their first day on the job, employees now have an informative and entertaining package that
teaches them what they need to do to enrol in the benefits program.
Cost: Less than $25,000.
Judge Says: "Excellent example of a thoughtful approach to employee information needs. Any employee
would be impressed with this package."
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