Thinking traditionally about group benefits can lead plan sponsors to bypass entirely the needs of gen Y—a generation that’s poised to dominate the workplace in just a few short years. Shaw Communications Inc. aims to buck that trend with a new benefits package designed to give young adults the flexibility they seek.
When Shaw went to market for a new group benefits plan administrator, its workforce had grown to 14,500 employees in 2012 from 9,000 in 2008. The average employee age was 36, and 52% of employees were in the gen Y demographic.
Shaw’s traditional benefits plan was no longer cutting it. There was low awareness, a lack of engagement in the program, and lack of flexibility. The new plan had to meet a range of needs, from the 20-year-old part-timer to the baby boomer about to retire. After reviewing the employee feedback, the company determined that a best-in-class plan had to be a hybrid of choice and security, valued by all employees, and communicated and delivered in a simple, integrated way.
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“Our internal focus groups and surveys confirmed that all our employees, and in particular gen Y, were looking for more flexibility and lifestyle choices from our benefits plan,” says Laurie Maye, director of HR shared services with Shaw.
The plan—called Shaw CHOICES—enables employees to make separate decisions on their level of coverage for drugs, vision, paramedical services, basic dental and major dental/orthodontic coverage.
They can even choose which dependents should be covered under the plan, including separate elections for both the health and dental benefits. And employees can channel unused credits toward a number of wellness options: a healthcare spending account, a wellness account (for items as diverse as house cleaning or even vet bills), a group RRSP, vacation time or critical illness and life insurance premiums.
Shaw also introduced Sun Life Financial’s evidence-based drug plan, which provides comprehensive coverage more cost-effectively than other drug plans while encouraging employees to take more of an active role in the process through a tiered reimbursement approach.
The CHOICES plan integrates mobile claiming with instant adjudication to make the whole benefits experience simple and easy.
The end result is a plan that all employees are more connected to—with a benefits package that each employee has tailored to meet his or her health and wellness needs. “We now have a plan that provides us with exceptional cost management capabilities and presents employees with comprehensive benefits that they value far more than our previous one-size-fits-all strategy,” says Maye.
Stuart Monteith is senior vice-president, group benefits, with Sun Life Financial Canada. stuart.monteith@sunlife.com