H E A L T H W E A L T H C A R E E R

W H E N P E O P L E T H R I V E , B U S I N E S S E S T H R I V E

C A R E F O R P H Y S I C A L , M E N T A L & F I N A N C I A L W E L L B E I N G

EVE READ DC & Individual Wealth Consulting Leader

DR WOLFGANG SEIDL Workplace Health Consulting Leader

© MERCER 2018 2

IT STARTS WITH YOUR PEOPLE STRATEGY: RECORDING AVAILABLE

CURATE A DISTINCTIVE EMPLOYEE VALUE PROPOSITION: RECORDING AVAILABLE

CARE FOR PHYSICAL, MENTAL AND FINANCIAL WELLBEING: TODAY

CRAFT ASPIRATIONAL AND MEANINGFUL CAREERS: 15 MAR 2018

CULTIVATE A LAB MINDSET WITH ANALYTICS AND INNOVATION: 25 APR 2018

DEVELOP INSPIRING, AGILE AND INCLUSIVE LEADERS: RECORDING AVAILABLE

PEOPLE STRATEGY

VALUE PROPOSITION

WORK ENVIRONMENT

DATA-DRIVEN MINDSET

W E L C O M E T O T H E W E B I N A R S E R I E S

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I N T R O D U C T I O N

F U T U R E W O R K F O R C E S U P P L Y A N D D E M A N D A N D W H Y P R O V I D E B E N E F I T S

The emerging impacts of, for example, individuals’ health and financial needs

coupled with the delivery technology and communication requirements

Supply will be increasingly tight and specific skills limited, competition for

talent enhances

Upward pressure on wage rates in certain talent areas

and UK regions

New working practices and supply challenges will mean non-traditional talent pools

have to be targeted

Benefits are key and valued – but individuals will demand and need

increasing flexibility

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T H E D I M E N S I O N S O F W E L L B E I N G

S P I R I T U A L

F I N A N C I A L

P H Y S I C A L

E N V I R O N M E N T A L O C C U P A T I O N A L I N T E L L E C T U A L

S O C I A L E M O T I O N A L

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D A T A : B R I T A I N ’ S H E A L T H I E S T W O R K P L A C E

4 years and 2 months older than their chronological age.

90.9% of employees older than actual age

% O F P E O P L E A T R I S K

17.9% BMI Body mass classed as obese (body mass index >=30

35.9% Physical activity 150 minutes or less moderate to high-intensity sessions per week

28% Chronic conditions At least one chronic condition

45.5% Nutrition – do not eat at least 5 fruit or veg per day

10.1% Currently Smoking Cigarettes/cigars/pipes

29.4% Alcohol Exceeding recommended units

Mental wellbeing Symptoms of severe

depression

W H A T W O R R I E S E M P L O Y E E S ?

Work-related stress

54%

A lot of Financial concerns

7.3%

Sleep deprivation (less than 7hrs a night)

29%

H E A L T H A G E

5.6%

Days lost per employee per annum due to health related absence and

presenteeism

30.4 days : 11.7%

L O S T P R O D U C T I V I T Y

1. Nutrition

2. Smoking

3. Physical activity

T O P T H R E E R I S K F A C T O R S

Source: 2017 Britain's Healthiest Workplace

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D A T A D R I V E N A N A L Y S I S A N D S T R A T E G Y

Group Income

Protection

Employee Assistance Programme

Occupational Health

Britain’s Healthiest Workplace

Employee Demographics

Sickness Absence

Medical Plan

D ATA S E T S S A M P L E D A S H B O A R D

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INDIVIDUAL FACTORS

ORGANISATIONAL FACTORS

DEMOGRAPHIC FACTORS

PRODUCTIVITY ENGAGEMENT SICKNESS ABSENCE PRESENTEEISM ATTRITION

MUSCULOSKELETAL MENTAL HEALTH LIFESTYLE RELATED

ORGANISATIONAL IMPACT

INDIVIDUAL IMPACT

C O N S I D E R A T I O N S F O R M E N T A L H E A L T H

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T H E S T I G M A O F M E N TA L H E A LT H

K E Y F I N D I N G S F R O M T H E B U S I N E S S I N T H E C O M M U N I T Y M E N TA L H E A LT H AT W O R K R E P O R T 2 0 1 7

11%

…but just 11% disclosed it specifically to a line manager

53%

53% of employees feel comfortable talking about mental health issues like depression

and anxiety at work

Source: 2017 BITC Mental Health at Work Report

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R O I E X A M P L E – M E N T A L H E A L T H P A T H W A Y

IMPROVEMENT IN PATIENT OUTCOMES

9% 60% REDUCTION IN THE NUMBER OF CLAIMS

% REDUCTION IN THE TOTAL COST OF CLAIMS

13% 16% REDUCTION IN THE AVERAGE COST OF CLAIMS

IMPROVED COORDINATION

BETWEEN STAKEHOLDERS

SHIFT TOWARDS ONSITE AND PREFERRED PROVIDERS

41% REDUCTION IN ABSENCE

OUTCOMES

Source: Mercer client case study

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W O R K P L A C E H E A L T H

B R A N D I D E N T I T Y

S T R A T E G Y

BENEFIT DESIGN

• Health & Wellbeing Dashboard • Diversity & Inclusion • Performance • ROI / VOI • Heat Map of Life / Happiness

DATA STREAMS

• Strategic best fit • Cost sharing • Pooling • Vocational Rehabilitation • Early Interventions

PREMIUM CLAIMS PREVENTION PATHWAY

• Gender / Race / Ethnicity • Ageing / Multi-generational Workforce • Sexual identity / LGBT • Health & Wellbeing – Performance Reviews • Life stages

D&I AND PERFORMANCE PATHWAYS

• Cardio-vascular • Mental Health • MSK • Maternity Care • Primary Care

HEALTH & WELLBEING PATHWAYS

• Cancer / including genetics

• Onsite Clinics • Resilience • Cognitive Health

• Health - Wealth - Career • Bio – Psycho – Social • Proactive – Reactive • Behaviour change / Gamification • Quality of Life / Wellbeing / Happiness • Future of Work

WHOLE PERSON PATHWAY

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I N T E R V E N T I O N S Health Pathways

Occupational Health / First Aid Health and Protection Benefits

Line Manager / Resilience training Employee Assistance Programme

C O M M U N I C AT I O N • Communications and marketing plan • Generation of a Unified Health Brand • Targeted Health Campaign • Wellbeing Champions

G O V E R N A N C E • Health and Wellbeing Group • Strategy Action Plan • Provider Management • Company Polices and

Procedures

S T R AT E G Y • Vision and desired outcomes • Key Health Risks Identified • Benchmarking of current

approach • Health Dashboards and

Reporting

I N T E G R AT E D W E L L B E I N G S T R AT E G Y

© MERCER 2018 12

M E N T A L H E A L T H & F I N A N C I A L W E L L B E I N G

Dual difficulties: Financial worries are intrinsically linked to many mental health problems

25% of people in the UK will suffer with mental ill health in the course of any given year1

Half of British adults with financial difficulties also have a mental health problem2

1, McManus S et al; Adult psychiatric morbidity in England 2, Jenkins R et al, Mental disorder in people with debt in the general population:

50% will experience mental health issues at some point in their lifetime1

? ? ?

© MERCER 2018 13

What are employees worrying about?1

£ £ £

45% PAYING PERSONAL DAY-TO-DAY EXPENSES

SAVING ENOUGH FOR RETIREMENT 49%

45% BEING PREPARED FOR THE UNEXPECTED

36% REPAYING DEBT

33% ARE “JUST MANAGING” FINANCIALLY2

39% EXPECT TO WORK BEYOND FAVOURED RETIREMENT AGE3

17 MILLION UK WORKERS HAVE LESS THAN £100 IN EMERGENCY SAVINGS4

26% RELY ON CREDIT CARDS TO GET BY5

W H A T M I G H T E M P L O Y E E S B E E X P E R I E N C I N G ?

The realities…

Sources: 1. Mercer, 2015; 2. Office for National Statistics, 2016; 3. Plansponsor, 2016; 4. Money Advice Service, 2016; 5. PWC, 2016

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H E A L T H Y , W E A L T H Y & W O R K - W I S E

• 60% “somewhat stressed”

• #1 economy

• #2 health in retirement

• #3 retirement savings (10% more women concerned)

• Expect 13-18 years in retirement

• 21% confident able to afford it

• 65% will work to some extent

• Millennials most realistic

• Health #1 for financial security in retirement

• 2/3rds expect to live past 80

• But people only do basics for exercise and diet

• 87% feel responsible for retirement income

• 45% haven’t made calculations

• Only 13% have consulted financial advisor

82% say they trust their current employer for sound financial advice

N E W R E S E A R C H F I N D I N G S – U K

Sources: 2018 Mercer. Healthy, Wealthy and Work-Wise: The New Imperatives for Financial Security

© MERCER 2018 15

FREEDOM TO MAKE CHOICES IN LIFE

CONTROL OVER THE DAY-TO-DAY

PREPARED FOR THE UNEXPECTED

ON TRACK FOR THE FUTURE

BUDGETING

DEBT MANAGEMENT

SAVINGS

INSURANCE

EDUCATION & GUIDANCE

FINANCIAL ADVICE

PENSIONS

INVESTMENTS

• Budgeting apps & tools • Money management

education • Discounts & compare/save • New graduate loans

• Emergency savings builder • House deposit builder • ‘Importance of saving for

emergencies’ education • Christmas or holiday savings club

• Online financial education content (vodcasts, interactive modules)

• Workplace seminars • Financial health checks & clinics • Ageing Works

• Pension savings – Master Trusts, bundled own trusts, contract GPPs

• Pension income adequacy tools & educational content

F I N A N C I A L I N T E R V E N T I O N S F O R E M P L O Y E E S

• Broader savings – ISAs, LISAs, GIAs, managed accounts

• Investment choice & support

• Independent financial advice • Retirement income service –

decision making and implementation

• Online will writing tool • ‘Adequacy of insurance’

education • Insurance broking • Group insurance offered via

employer

• Debt repayment from salary • Student loan repayment • Debt counselling

© MERCER 2018 16

E M P L O Y E R A P P R O A C H E S T O F I N A N C I A L W E L L N E S S

STRATEGIC

TACTICAL

• PROACTIVE

• LONG-TERM PERSPECTIVE

• FUTURE TRENDS

• RE-IMAGINE BENEFITS

• COMPETITIVE ADVANTAGE

• REACTIVE

• ADDRESS PROBLEMS

• SPECIFIC OBJECTIVE

• PAIN POINTS

• FIRST STEPS

OUR FRAMEWORK

© MERCER 2018 17

Q U E S T I O N S ?

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FEEDBACK

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© MERCER 2018 18

W E A R E H E R E T O H E L P Y O U T H R I V E

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