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Employers are reevaluating health benefits amid tight labor market, survey finds


rparobe via Getty Images Facing worker recruitment and retention challenges in a tight labor market, almost two-thirds of U.S. organizations (64%) plan to boost efforts to address employee healthcare affordability over the next two years, a survey from Willis Towers Watson found. The response comes as healthcare costs show signs of accelerating, the advisory firm said Tuesday.

Almost all employers (95%) in the survey said they expect to offer virtual care to meet demand for medical and behavioral health services, and 87% of respondents said improving mental health benefits is a top priority.

Even as employers take steps to address rising costs, confidence in sponsoring healthcare benefits over the next decade is at its highest level in more than 10 years, according to WTW, a global advisory and broking company. The poll of 636 employers showed 84% were very confident that their organizations would still be offering healthcare benefits 10 years out, compared with 38% who were very confident in 2011.

Dive Insight:

Employers are having to navigate a host of challenges in 2022 including accelerating inflation and healthcare costs. They’re also facing difficulties attracting and keeping workers and a worsening mental health picture for employees and their families […]

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