LORI BURQUEZ, JOHN-PAUL S. DEOL AND BRIAN HEGARTY SHARE INSIGHTS ON EMPLOYEE BENEFITS & EFFECTIVE HR PRACTICES
This business advisory panel is produced by the L.A. Times B2B Publishing team in conjunction with Cathay Bank, Dhillon Law Group Inc. and Marsh McLennan Agency.
If there’s one thing COVID taught us, it’s that a lot can be going on at home and work – resulting in the need for a support system.”
Lori Burquez
Businesses have been navigating through a continuously altering and evolving employee benefits landscape. Workf rom-home and hybrid office trends, new technological advancements and workforce shortages in many industries have led to a new set of expectations, protocols and best practices when it comes to businesses determining the right benefits
packages for their employees. What should C-suiters and HR professionals be focusing on in terms of new standards?
To answer that and other questions while taking a closer look at the latest developing trends in the business of employee benefits, we have turned to some of the region’s leading authorities who graciously weighed in for a discussion and shared insights.
Q: WHAT PROTOCOLS DO YOU RECOMMEND TO HELP COMPANIES COMMUNICATE BETTER WITH THEIR WORKFORCE?
A: Burquez
There are three things we do well to communicate with our team members that I would recommend to any organization. First, we have a comprehensive monthly online newsletter that provides a range of articles about current events and company culture
– it features different teams and departments, lots of photos, what we’re doing in the community, new initiatives, company performance, new hires, promotions and more. Second, our CEO and top executives produce quarterly videos focusing on financial results and goals, retail banking, lending and back-office functions. Third, we do an engagement survey every two years and pulse surveys between them to determine team members’ level of engagement and listen to them to better understand how we can make their employment experiences more meaningful.
A: Deol
To improve communication between employers and their workforces, incorporate structured protocols to improve clarity and engagement. Some examples/recommendations include: A) Regular meetings with Q&A sessions: Schedule frequent meetings that include dedicated Q&A segments. This encourages open dialogue, allowing employees to seek clarifications and provide feedback in real time. B) Summarize documents post-meetings: After each meeting, distribute a concise document summarizing key points, decisions and action items. This ensures that information is retained and accessible to all employees, including those who were unable to attend. C) Emphasis on in-person, live events: Whenever possible, prioritize in-person meetings or live events. This fosters a sense of community and connection, enhancing engagement and ensuring more effective communication. D) Accessible leadership: Encourage leaders to be present and actively participate in these events, demonstrating their commitment to transparency and open communication.
A: Hegarty
When approaching your benefits communication strategy, it’s important to consider the most effective channels and methods to meet your people where they are. After all, with the amount of investment you are making in your benefits program, it’s important that your communication strategy not only illustrates a sense of value to your employees to promote engagement but also informs them on how to make the right benefit decisions. We recommend that employers consider HR and benefits administration platforms, webinars, comprehensive new hire materials, benefits and well-being fairs, mobile apps and more.
Q: WHAT ARE SOME BEST PRACTICES NOTES FOR COMPANIES SEEKING TO RECRUIT NEW TALENT? A: Burquez
I think it’s important to have a strong presence on LinkedIn – have top hiring managers knowledgeable about using it and work in partnership with recruiting managers on it. It’s also critical to stay in touch with candidates, adhering to any timeline that’s been set and keeping warm lines of communication open. It’s good to remember both you and the candidate need to make an informed decision, so make sure candidates have the chance to ask questions –about benefits, hybrid work schedules, location, company culture, etc. – so they have a good feel for what their first 30 days would look like. It can also be invaluable for them to come onsite instead of doing everything online so they can get a sense of the environment they’d be working in.
Q: DO YOU CONSIDER THE REMOTE WORKING/HYBRID TEAM MANAGEMENT TREND TO BE A GOOD THING? WHY OR WHY NOT?
A: Deol
Overall, no. It is true that the remote working trend offers a few surfacelevel benefits, such as more scheduling flexibility, fewer commutes and some savings on overhead. Nevertheless, the new normal of remote work is not without its serious drawbacks. One of the primary concerns is a noticeable dip in productivity and engagement among remote employees. Not being in an office environment often leads to reduced communication and collaboration, essential drivers of innovation, as well as team cohesion and success. Remote work can also cause employees to feel isolated, unsupported and lonely. Not being regularly in an office with one’s coworkers decreases necessary human interaction, support and mentorship. Additionally, the home environment, while comfortable, often presents numerous distractions that can further erode focus and motivation. Finally, tracking how much time remote employees are working can be the most challenging issue, in some cases being close to impossible.
Q: WHAT ARE SOME OF THE KEY ELEMENTS AN HR TEAM SHOULD CONSIDER WHEN NEGOTIATING INSURANCE PLANS AND BENEFITS PACKAGES THAT WILL BENEFIT BOTH THE EMPLOYEE AND EMPLOYER? A: Hegarty
More is expected of employers than ever before when it comes to the health and benefits of employees. At the same time, it’s never been harder to deliver on between the soaring cost of healthcare and the big question of “Should I cough up the funds to care for my employees or risk losing them?” To navigate this complex landscape, Marsh McLennan Agency developed a ‘2024 Employee Health and Benefits Trends’ report that captures some of the most important things companies should be considering. According to the report, employers should be thinking about how having four generations in the workplace shapes benefits expectations. It’s also important to focus on customizing benefits to attract and retain talent, value “whole person health” which can impact ROI, and prioritize transparency and optimization to mitigate rising healthcare costs. Employers need creative solutions and an insurance partner that can deliver those to protect their bottom line while also addressing the evolving needs of their people. Marsh McLennan Agency offers solutions such as actuarial services, captives, self-funding alternatives and more to support employers in finding the right strategy.
A: Deol
Best practices include: A) Clear communication: Develop clear policies that explain the process for making requests, reflecting your specific state’s legal requirements. Be ready to answer questions. B) Prompt response: Acknowledge and process requests in a timely fashion. The circumstances of each case will dictate the appropriate time frame, but employers should ideally respond the same day to begin discussions and certainly within 24 hours. C) Confidentiality: Share information/ documents relating to requests only with the employee, their authorized provider and those at the company with a need to know. D) Fair assessment: Evaluate requests impartially, while adhering to your state’s legal standards. Never show favoritism or the appearance of favoritism. E) Interactive process: Engage in a meaningful dialogue with employees to understand their needs and identify possible solutions. You may need to start this process even before the employee makes a formal request if you
are put on notice of a potential need. F) Documentation: Keep detailed records of all communications, decisions and supporting paperwork relating to the requests. Maintain these in a separate and secure location, not in the employee’s personnel file.
Q: HOW DOES A BUSINESS OWNER BALANCE THE BENEFITS OF SELF-INSURED OPTIONS WITH THE MORE “STANDARD” PLANS? A: Hegarty
There is no one-size-fits-all when it comes to building the right benefits strategy. The right option depends on company size and growth goals. Fully insured options can be the perfect solution for some but over time may present challenges around cost control and flexibility when it comes to benefits. Shifting to self-funding health plans can be a viable solution, but the process and management can be complex. For those considering whether self-funding is right for their business, Marsh McLennan Agency offers a proprietary solution called “Self-funding, Simplified” which helps unlock creative strategies and ultimately aims to secure better benefits at lower costs. Our team works closely with HR leaders to understand current challenges, financial goals and employee makeup to help create the ideal benefits package while prioritizing cost control and longterm savings.
Q: WHAT ARE SOME OF THE BIG MISTAKES COMPANIES MAKE WHEN IT COMES TO RETENTION?
A: Burquez
The biggest mistake is not having stay interviews with high performers because you don’t want to find out why they’re leaving in a resignation letter. Those stay interviews provide the chance for team members to let us know what we’re doing well and what we can do better to support them. In that same vein, it’s a mistake not to provide valid feedback on an ongoing basis – what team members are doing skillfully and what they need to work on – as well as fail to provide robust onboarding that includes more than where their desk and the bathrooms are but includes access to systems and team members who can answer their questions. Another mistake is not providing recognition and appreciation for their accomplishments as well as the opportunity to have career development conversations – showing interest in their current performance and future roles.
Q: HOW DO YOU ADVISE EMPLOYERS WANTING TO DO A BETTER JOB WITH DIVERSITY, EQUITY AND INCLUSION POLICIES? A: Deol
Employers should not overemphasize specific protected classes. Rather, create a workplace culture that embraces and values diverse perspectives, backgrounds and points of view. Implement recruitment strategies that reach diverse talent pools without relying solely, or even heavily, on race, ethnicity, gender, sexual orientation, etc. Establish clear, measurable goals, ensuring they comply with applicable legal frameworks (local, state and federal) and promote actual equity and inclusion, not to the detriment of certain other classes. Encourage and consider feedback from employees regarding company DEI initiatives to ensure they are clear, effective and wellreceived. Modify and adapt policies and practices as necessary. Also, make sure to take into account changing legal standards and best practices to avoid legal problems and inviting litigation.
Q: HOW IMPORTANT ARE EMPLOYEE MENTAL HEALTH BENEFITS IN 2024?
A: Hegarty
Mental health benefits continue to take center stage, especially as the younger generation of our workforce expands. 61% of Gen Z employees say they would consider changing jobs for better mental health benefits (according to SHRM 2023 State of Mental Health and Well-being in the Workplace). The pandemic also strained employees’ well-being and left a lasting impact on their expectations for employer support. Employers who have invested in mental health spending have seen a positive return on investment in regard to the performance of their organizations. Companies should be thinking about how their benefits offerings and internal programs can address the whole person across physical, mental, financial and social well-being. This well-being can be influenced by overall company culture, access to behavioral healthcare services, company leave policies, professional development offerings and EAP strategies.
A: Burquez
Providing resources to tend to employees’ total well-being is increasingly more important. If there’s one thing COVID taught us, it’s that a lot can be going on at home and work – resulting in the need for a support system. We provide a wellness program through Virgin Pulse that includes resources in the app dealing with diet, exercise and mindfulness. We also offer access to financial well-being information and take team members’ pulse with engagement surveys that help us understand their health and wellbeing needs.
Q: WHAT ARE SOME RED FLAGS FOR HR PROS TO KEEP AN EYE OUT FOR WHEN IT COMES TO PRESERVING WORKPLACE CULTURE? A: Deol
For HR professionals, preserving a positive workplace culture requires vigilance, especially in the era of remote work. First, observe changes in socialization patterns; employees withdrawing from virtual and/or in-person engagements might indicate disconnection or dissatisfaction. Secondly, an increase in closed-door meetings or secretive communications can be a sign of emerging cliques or an exclusionary culture. It can also indicate a desire to avoid collaboration. Additionally, monitor the impact of remote work on collaboration; a decline in team synergy or reluctance towards meetings with live video might signal deeper issues. Finally, identify and address behaviors from managers at all levels that could be perceived as toxic, such as micromanagement, lack of empathy or failure to communicate effectively. These signs, if unaddressed, can erode trust and morale, undermining the overall workplace culture.
Q: ARE INTERNSHIP
PROGRAMS A GOOD IDEA? A: Burquez
A well-run internship program can be an invaluable way to give back to the community by helping develop young people, giving them corporate experience and opening the door to a viable career path. Most young people don’t realize there are many career opportunities past the retail side in areas like cybersecurity, fraud prevention, anti-money laundering, learning and development, human resources, commercial lending and more. Our Learning and Development department, which manages our internship program, also created a program called Four Corners, where they invite college-age kids of team members to spend a few Saturdays learning about careers in banking as well as skills like dressing for success, creating a resume, acing an interview and practicing business etiquette at a spaghetti lunch.
A: Deol
Internship programs can be beneficial, providing experience to the next generation of employees. However, under California and federal law, employers must navigate these programs cautiously. The primary concern is distinguishing between interns and employees. Unpaid internships are permissible only if they meet specific criteria, such as providing educational benefits to the intern, complementing rather than displacing the work of paid employees and being structured around the intern’s learning rather than the organization’s immediate needs. If an internship does not meet these criteria, interns must be classified as employees and compensated as such. Violations could trigger judgments for back pay, penalties and fines. Employers must clearly define the internship’s educational objectives and ensure the program aligns with applicable legal standards to provide mutual benefits to both parties. If having an internship program is important to you, do take the time to work with an employment lawyer to design an internship program.
Q: HOW HAS THE TREND OF CARE MOVING OUT OF THE HOSPITAL AND INTO THE HOME IMPACTED THE HEALTH BENEFITS LANDSCAPE?
A: Hegarty
Coming off of the pandemic, digital health solutions and telemedicine are here to stay. Employers are offering more virtual options, even though price increases for telehealth services may be coming. Mercer’s Survey on Health and Benefit Strategies for 2024 shows that many employees believe that having access to medical care via an app would be incredibly helpful to them and their families. Add it to the list of benefits that will help attract and retain talent.
Encourage and consider feedback from employees regarding company DEI initiatives to ensure they are clear, effective and well-received.”
John-Paul S. Deol
Q: WHAT ARE SOME OF YOUR BEST TIPS FOR INSPIRING IMPROVED EMPLOYEE ENGAGEMENT OVERALL? A: Deol
To enhance employee engagement, try: A) Regular check-ins: Schedule informal check-ins with employees to discuss their progress and well-being. These interactions foster a supportive environment and show genuine concern for their work and lives. B) Social time: Encourage employees to spend time together for leisure activities during work hours, occasionally and when appropriate. This can build camaraderie and improve team dynamics. C) Transparency: Be open
There is no one-sizefits-all when it comes to building the right benefits strategy. The right option depends on company size and growth goals.”
Brian Hegarty
about the company’s developments, challenges and successes. Transparency builds trust and makes employees feel involved, valued and respected. D) Continuous communication: Maintain constant communication with employees to understand their feelings, challenges and needs. This continuous dialogue can help identify issues early and strengthen the employer-employee relationship.
A: Burquez
If you are going to be a people manager, you must learn to be an inspirational leader, which includes providing balanced feedback on a regular basis, giving new team members a warm welcome and robust onboarding so they can assimilate quickly, and conducting stay interviews to gauge engagement and satisfaction. We have provided inspirational leadership training for the past five years. We want our people managers to be more than just managers but coaches and mentors to their team members – getting to know them, especially what motivates them and helping them set goals – being involved in their whole experience as a member of the team.