The recent economic turmoil has forced Canadian employers to reconsider their group benefits programs. As a result, many companies have renewed their interest in the middle ground: sharing responsibility for benefits between employers and employees, in terms of cost as well as how the plans are best utilized.

To attract and motivate key talent, companies must actively engage employees in benefits plans that are targeted to their situations or flexible enough to offer viable options. But how can an employer do so when the workforce comprises multiple generations with differing opinions about benefits or conflicting communication styles?

Recognizing the needs and preferences of employees of different generations, cultures and life stages—and addressing them through compensation and communications—will go a long way toward ensuring they are effectively engaged.

Understanding the differences
Findings from the Kelly Global Workforce Index (a survey of nearly 100,000 people in 34 countries, including more than 7,000 across Canada) conclude that differences in communication styles and attitudes toward rewards are key factors that managers should address when juggling the needs of the three main generations in the workplace: gen Y (ages 18 to 29), gen X (ages 30 to 47) and baby boomers (ages 48 to 65).

When receiving rewards and bonuses, the younger workers of gen Y largely prefer cash payments while older workers often opt for non-monetary rewards such as time off work and training opportunities. Baby boomers tend to be the most tolerant of generational differences. This group is also the most positive about the productivity benefits that may be realized from obtaining diverse input from all generations.

More than one-third (38%) of respondents admitted that they have experienced inter-generational conflicts in the workplace. However, while generational differences can sometimes cause friction between employees, they can also be a source of growth when properly managed.

Leveraging the similarities

The survey results also show that diverse generational groups share some common ground. While the gen Y group is increasingly using instant messaging, when communicating with colleagues, all generations strongly prefer face-to-face interaction to other written or electronic formats.

All groups across the age spectrum acknowledge that age-related differences affect the way people do their work. However, most are willing to bridge any perceived gaps, with 74% saying they adapt their communication styles when dealing with colleagues from a different generation. This willingness to work together should be welcome news to employers seeking to better engage employees in their benefits plans.

Bridging the generation gap
When generational differences are harnessed effectively, they can provide a powerful stimulus to creativity and productivity. According to the survey results, 45% of Canadian respondents across all age groups feel that the differences between generations actually make the workplace more productive.

Here are some tips on accommodating these differences when developing and communicating group benefits plans to employees.

• Allow employees to provide feedback on their benefits. Use employee engagement surveys to determine what employees value most and what they would like to change or enhance.
• Communicate on several levels. Offer in-person interaction with options for email or an open forum with a benefits expert.
• Offer a cafeteria-style package with flexible coverage levels and options to fit a range of needs.
• Ask employees to complete wish lists from time to time to get a better understanding of what benefits they value and would like to see as part of their compensation package.

Shared accountability for benefits will help employees achieve their ambitions for career, health and wealth, as well as promote a positive work environment and an engaged workforce.

Karin French is vice-president and managing director of Canadian operations with Kelly Services, a provider of workforce management and HR solutions.
enquire@kellyservices.com

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© Copyright 2009 Rogers Publishing Ltd. This article first appeared in the October 2009 edition of BENEFITS CANADA magazine.