| HR Execs Want to Empower
Employees to Make Own Benefits Decisions
Sixty
percent of human resources executives at
America's mid-sized companies wish they could
empower their employees to make their own benefit
decisions, according to a national survey.
Covering
more than 900 companies in a variety of
industries across the country, the survey
examined attitudes of human resource
professionals on a broad range of benefits
issues. The HR professionals held management
positions ranging from senior vice president to
risk manager.
Empowerment
Empowerment
of employees emerged as a popular theme among the
widely divergent companies. According to the
survey, 60% of HR executives wish they could
provide employees with enough information to make
their individual benefits decisions ``and leave
the rest to them.''
Nearly
that same number -- 61% -- wish their employees
could call a single number to handle questions
concerning their benefits plans.
Reduced
Staffing
In fact,
the study shows that 45% said "my department
is so lean that there isn't enough time to do
anything but fight fires.'' Not surprisingly, 45%
of the HR executives viewed their role as a
strictly "operational,'' while 55% saw their
role also as "strategic, spending a good
amount of time each year on benefits
strategy.''
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In addition, about 37% say
"it's far too difficult'' for my staff to
stay on top of benefits issues. In fact, only 30%
consider themselves knowledgeable about all the
different kinds of benefits products and services
available today. Some 33% appeared to be
overwhelmed, saying they have to make
administration of the benefits plan easier:
"we can't continue this way.'' Staffing
Levels
Overall,
the survey found an average ratio of one benefits
staff member, including administrative support
personnel, for every 285 employees. In the
leanest-staffed companies -- about 21% of the
respondents -- the survey found a ratio of one
staff member per 420 employees; in the
fullest-staffed companies -- about 31% of the
respondents -- there was one staff person per 250
employees.
Only 42%
of the respondents believe their employees are
"fully satisfied with the service they
receive from our benefits department
today.''
Ironically,
the study showed that 89% of the respondents
believe one of their "major roles'' is to
answer employees' questions. About 27% believe
they spend "too much time'' answering
employee questions.
"Being
a benefits manager today is extremely
challenging,'' Swaye said.
Frustration
More than
half of the respondents -- 55% -- say they
believe employees "don't even read their
benefits materials.'' About a third said
"our employees don't even appreciate the
benefits which they receive.''
The survey
also found many HR staff challenged by a
geographically diverse employee population. About
64% of the companies have more than 10 employee
locations. For most companies, the benefits staff
is located at company headquarters.

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Fiscal
Challenges
Other
challenges faced by the HR professionals included
financial constraints, with 70% of the
respondents saying they are facing growing
pressure from management to find costs savings
while increasing benefits and services to
employees. In fact, 55% say senior management
rewards them by doing more with less. Only 25%
say they are rewarded based on employee
satisfaction.
Meanwhile,
almost all of the respondents -- 85% -- say they
also have had to grapple recently with the
changes brought by either downsizing,
reengineering or acquiring another company or
division. And, close to 70% of the companies
expect like changes in the near future.
The study
consisted of a random sample of 906 high-level
benefits managers of companies with 1,000 to
10,000 employees, representing approximately 8.5
percent of the 10,631 companies of that size in
the United States. Respondents were interviewed
via telephone and asked to complete a written
survey. The New York City-based Guideline
Research Corp., which conducted the fieldwork and
the statistical analysis, ranks among the top 25
custom market research firms in the U.S.

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