Employee benefits & wellbeing

Employee benefits: is your firm keeping pace?

The growth of mental health and wellbeing within the construction industry has been well publicised over recent months. Here we consider some employee-related challenges for firms operating in the construction sector, and explain how your employee benefits strategy needs to evolve to ensure your business is in the best place for the decade ahead.

Howden is an award winning employee benefits consultancy, focused on industry sector-specific employee benefit consulting. More than ever we are seeing the construction industry face a number of unique challenges. We have all seen the impact COVID-19 has had on the industry, for weeks work wasn’t allowed to go forward, having devastating implications for many companies and their employees. Along with those complications there are still trends such as new regulation, ageing workforces and digital disruption that are demanding businesses to consider how they are shaping their benefits strategies for now and the future.

As 2020 has shown us, it is important to consider the current climate and the risks this could present before renewing your existing employee benefit plan. The next decade will demand change and we expect to see some considerable challenges.

Digital and technical transformation

The sector is experiencing rapid advancements in technology and digital transformation, stakeholders need to be aware of this to ensure they stay ahead of the game.

E.g. Modern technology and processes such as Building Information Modelling (BIM), The Internet of Things (IoT) and large scale data analytics are driving cost efficiencies, improving project management and supporting profitability.

Evolving your employee reward strategy

Most employee benefits packages provide industry-standard benefits such as a Pension, Life Assurance, Income Protection, and Private Medical Insurance. The profile you are looking to attract and retain will likely value alternative packages and these tend to come at a lower cost!

Our dedicated wellbeing and data analytics team use a wealth of national and socioeconomic data, as well as quantitative and qualitative research to gain valuable insights into the demands and needs of varying employee demographics. Here are some of our findings for employees in the sector:

Go digital

There are many digital alternatives to traditional health benefits. App-based GP services and digital health screens are low cost and extremely attractive to this demographic, they have proven to be essential during the COVID-19 pandemic when visiting our GP has been advised against. Cash Plans have been modernised in a way that makes them far easier to use, more engaging and valuable. Many mental health and wellbeing apps have been gamified and are engaging the younger, techminded demographic.

Ageing workforce

The Professional body for Human Resources and People Development (CIPD) released their 2018 reward management survey*, which focused on the provision of employee benefits within the UK. Nearly 570 HR professionals from a variety of sectors and employment sizes responded on behalf of their employers. As part of this, professionals were asked if they expected the ageing population to have an impact on their people management policies and processes in the next five years - 52% of respondents predicted that it would.

Supporting an ageing population

The employee benefit market is already responding to the challenges of the ageing population. Many common insurances already include additional wellbeing services that are equipped for tackling these trends, often at no additional cost. The biggest issue we see today is that many companies are simply not benefiting from them because they are not aware of their existence.

Poor mental health

It is well-known that mental health problems are prevalent among employees in this sector. One area that can play a significant role in improving employee wellbeing is through a defined employee reward and benefits strategy.

This is an important factor to consider when aiming to attract a younger generation. Generation Z, value a rewarding and meaningful culture when choosing their workplace. They have taken a holistic view of health and are concerned by physical fitness, healthy eating and mental well-being and are therefore enticed by health related benefits such as wellbeing programs.

Where do you start?

Make it personal

What are the benefits, wellbeing and engagement demands of this audience? Having a good understanding of the employee benefits market and how providers and new benefit innovators are addressing your challenges will help you to attract the right people.

Working with an employee benefits consultant and broker who have a good understanding of the considerations and strategies that are unique to your business will allow you to create a detailed picture of your current strategy.

Looking ahead

The right solution may demand investment but it will be more cost efficient in the long-term. Apart from benefiting from a cost reduction you will also be better positioned in attracting the best talent, retaining a valued experience, and culminating engaged, happy employees that will drive your business forward to a healthy future.

Howden Employee Benefits & Wellbeing

Cheryl Brennan, Director of Corporate Consulting Contact via 03333634683 or eb.enquiries@hyperiongrp.com Howden Employee Benefits & Wellbeing is part of the Hyperion Insurance Group. Registered in England and Wales under company number 2248238, with its registered office at One Creechurch Place, London EC3A 5AF. Authorised and regulated by the Financial Conduct Authority *https://www.cipd.co.uk/Images/rewardmanagement-report-2018_tcm18-51630.pdf