people first, programs second a new approach to total rewards
DESCRIPTION
Does your organization effectively approach total rewards with a people-centric mindset? How do executives implement benefit programs that align with the needs of their employees? Tactics such as employee surveys and benchmarking can help develop a total rewards strategy, but these alone do not tell the whole story. This webinar will explore case studies that highlight leading employers and their unique approach to people-centric total rewards. Attendees will also learn about innovative technologies and data that are enabling HR decision-makers to get better insight into their most valuable asset — their people. Learning Objectives: •Discover what it means to take a people-centric approach to total rewards. •Recognize how rewards programs are constructed to meet employee needs. •Categorize employee needs through new technology and data that leading companies are utilizing.TRANSCRIPT
People First, Programs Second A New Approach to Total Rewards
November 2013
POLL: People First, Programs Second is a:
a) Campaign slogan b) Marketing phrase c) Consideration for 2014
total rewards planning d) Typo
1. Speaker & HelloWallet Introduction
2. Designing Total Rewards Programs
3. People First, Programs Second
4. Employer Spotlight
5. Questions
Agenda
Rob Pinkerton Chief Marketing Officer, HelloWallet
John Lang Customer Success Manager, HelloWallet
Speakers
Behavioral Science Driven Software Backed by Consumer Finance Expertise
HelloWallet
Webby Winner Best Financial Services Website for 2013
These Companies Love Us
• Program Benchmarking • Employee surveys & focus groups
But do these account for employee behavior?
Total rewards programs today are developed using numerous strategies and metrics including:
Designing Total Rewards Programs
POLL: What role does employee behavior play in your total rewards design?
a) A big role b) A moderate role c) A small role d) No role at all
Behind Every Employee, There is a Unique Story
Jonathan’s Story
“ So far, we’ve paid off 6 cards – almost $10,000. A huge unintended benefit of HelloWallet is that it helped my marriage.” – Jonathan
Choices, Perceptions, and Habits
Choice Overload
“ We don’t really have a savings account – I know the plan is to pay down one more credit card and then we’ll free up money to put into a savings account.” – New HelloWallet Member
Skewed Perception
“ The traditional paths to retirement are changing – they might not be available. Sometimes my fear takes me to a place of inaction.” – HelloWallet Member
Habit Formation
“ I finally feel like I have control over the family budget which has always been a real weakness for me.” – HelloWallet Ambassador
“ And it makes saving for retirement seem less big and scary.” – HelloWallet Member
POLL: Are your employees financially confident?
a) Yes b) No c) Not sure
Market Observations
70% of people live paycheck to paycheck
Employees are not financially ready to engage in consumer-driven benefits
of employees spend 2-4 hour per day dealing with financial issues
leaked out of 401(k) plans in 2012 to access short-term capital
people don't adopt CDHP is fear of deductible
1/3 $70B
#1 REASON
people don't adopt HSA/FSA is no understanding of what they spend #1
REASON
No holistic data about people to inform program investments
Little to no data to support decision making or measure performance
Limited ability to predict outcomes based on employee behaviors ROI measured emotionally versus objectively
$6 Billion spend annually on investment advice which has nominal impact on portfolio wealth compared to savings Health programs increasing at 3x inflation while CDHP adoption is low Traditional financial planning programs cost prohibitive and yield average of 3-5% participation
Yet, benefits investments do no address foundational needs
Our Product Delivers a “Win-Win”
Unbiased financial guidance to budget, plan, and increase prosperity
Drives increased readiness for consumer driven Benefits
Connects with Benefits best suited to individual needs (401(k), HSA, FSA, Insurance)
New data intelligence about the holistic needs of employees to better align Total Rewards investments
ROI realized in the form of cost savings and program improvements outcomes
POLL: Do you know how much money was removed from your 401(k) last year for non-retirement purposes? a) Yes
b) No
People-centric impetus for providing financial guidance to workforce:
Means to positively improve financial behavior
Means to achieve prosperity through a proven
data-driven approach
Cultivating Innovation
People-centric impetus for providing financial guidance to workforce:
Means to achieve a solid financial foundation
Means to improve individual retirement readiness
Saving the Extra Dollar with MMC
“ We learned the average employee is not looking for investment advice, they are looking to find the extra dollar to save to start with.” – Andrea Smith, Director of Health Wellness & Benefits March McLennan Companies
POLL: What would you like more data around to inform total reward decisions?
a) Retirement readiness b) Financial stress c) Financial wellness d) Health spending
Snapshot of employer reporting
Want to Learn More? Visit our website
www.hellowallet.com Contact a HelloWallet representative
Let’s Build a Better Future