Construction Today - January 2017 - 70
Civil | COMPANY NAME
By Eric Krieg
enefits plans - and specifically
health benefits - have long been
used as a cost-effective and tax-advantageous way to support wages
in a holistic view of total compensation. In
the construction industry, where labor and
related benefits costs often have the greatest
impact on the bottom line, it's important
to continually manage and review plans to
make sure you're optimizing performance
and eliminating waste.
However, benefits managers are consumed with the ongoing struggle to control
healthcare costs and manage the structure of
the employee health program. This is done
with the additional challenge of managing
employee noise and dissatisfaction regarding
the health plan. This is a big chore, indeed.
Unfortunately, what has been happening
with such a close watch on health plan management is that many have forgotten about
the big picture of total compensation. Without a close eye on compensation in conjunction with health plan decision-making, your
employees' disposable income is experiencing dramatic erosion. This
is due largely to the increase in payroll contributions and skyrocketing plan deductibles and cost-sharing.
What's a Leader to Do?
First, stop following your counterparts who work within the rules
of the system that actually caused the current mess. Next, act as if
everything starts with a fresh approach to plan management and
If you keep playing the game under today's rules, both your
employees and company will continue to lose. The cards are stacked
against you. The healthcare providers, insurance companies and brokers are currently in charge and you are simply a pawn in their game.
The Path To Success
Here are five ways your company can dive deep into your employee
1. Really understand your employees' healthcare cost issues by
conducting a deep analysis of your workforce and understand-