Getting millennials and Gen Z employees to care about, let alone understand, their health benefits information is a challenge for HR professionals. Newer generations of employees have different workplace expectations, communication preferences and benefit priorities compared to older generations.
Plus, they absolutely hate the open enrollment process. According to HR software company Justworks, 29% would prefer doing taxes to participating in open enrollment, and 10% would rather get a root canal. More than half admit they have blindly chosen their health plan because they didn't understand their choices, and 46% say they regret those decisions.
To help younger employees get the most from their health benefits, employers must offer choices that appeal to them and use the right messaging and delivery strategies to spur utilization.
What Benefits Do Young Employees Care About?
No matter the generation, employees want good health benefits. However, younger workers are particularly interested in:
- Wellness — 71% of millennials and Gen Z workers say they would switch jobs for one with better wellness features.
- Mental health — 60% of Gen Z employees say mental health care is the No. 1 workplace benefit they want after a 401(k).
- Technology and convenience — 41% of Gen Z prefer telemedicine over in-person care, beating out millennials (33%) and baby boomers (9%).
6 Tips for Effectively Communicating Benefits
Given younger employees’ digital-first habits and skepticism toward corporate communication, HR teams must use creative, engaging approaches to break through the noise. Here are six ideas:
- Start with what’s in it for them. Emphasize how understanding their health benefits will not only help employees make smarter health care choices and improve their quality of life, but it could also save them money.
- Keep it simple. According to Met Life data, 60% of Gen Z employees don't fully understand their benefits. Complex jargon and cryptic acronyms don’t help. Instead, use simple infographics, bullet points and checklists.
- Reflect on last year’s choices. Encourage employees to think about the benefits they used, or could have used, in the past year, and if they anticipate their health needs may change in the coming year, whether they're expecting a baby or having surgery.
- Go digital, but make it engaging. Communicate through short videos, workplace apps and interactive benefits portals. For important deadlines, use text messages, which are much more likely to be read than emails. Make a game out of it, with challenges and rewards for enrollment.
- Use real stories from peers. Younger workers trust their peers more than corporate messaging. Consider employee testimonials on how a benefit helped them.
- Make it easy to get their questions answered. Use AI-driven support for quick answers, and go more old-school with live Q&A sessions and a benefits hotline.
A Boost to Morale and Productivity
When millennial and Gen Z employees feel confident about their benefits decisions, it will boost their happiness and overall performance at work. By meeting younger employees where they are—digitally, concisely and through peer influence—companies can boost engagement and help them make the most of their benefits.
