Angela’s Employee Benefit Outlook
Hi everyone, at the end of my last blog I posed the question of why, due to Health Care Reform, don’t employers simply eliminate health care benefits for their employees and let them find coverage on the yet to be determined Exchanges. Although I’m not saying this isn’t a viable option, especially due to the overall feeling of angst surrounding Health Care Reform, in my opinion employers will need to consider what I call RR&C. This stands for Recruitment, Retaining and yes the dreaded “C” word, Competition.
As an employer consider whether you want to recruit talented and skilled new workers. These employees may consider healthcare as a large factor in their decision of whether to accept a job offer. Also do you want to retain your talented and skilled workforce which you have invested a great deal of time, effort and money in training? What is the competition doing? Are they continuing to offer healthcare? If so, how does this affect your talented, skilled and trained workforce? Will they move on to greener pastures which include a medical plan?
Although there are many other things like compensation and payroll taxes which should factor in your decision of whether to eliminate healthcare, RR & C might be the more obvious and immediate considerations.
Until next time, enjoy your benefits filled day!