Learning From Canada’s Best Benefits Plan Sponsors

After receiving feedback from its employees for choice, flexibility and wellness, Deloitte decided to add to its current comprehensive benefits plan. It included health care spending accounts (HCSAs) and a further expansion of its wellness subsidy. “We really evolved our plan over the last number of years,” said Bev Simonsen, director, performance rewards and operations, with Deloitte. Last year, the organization even added a green component in which employees can get reimbursed for an environmental contribution such as transit passes.

BDC originally had a traditional one-size-fits-all benefits program, but introduced its flex plan in 2003. “We came to the realization that not everybody had a spouse, a home and two children,” said Maryse Corbella, director, total rewards, with BDC. “So the standard model wouldn’t work anymore.” Each of the benefits has a number of options that employees can choose from, and employees can use any leftover dollars to buy vacation, add to an HCSA or pay for pension contributions.

AstraZeneca Canada’s new flex plan evolved as a result of the former Astra and former Zeneca Group coming together about 10 years ago. Both had good core plans, but they weren’t flex, said Bev Haines, manager, lifestyle solutions, with AstraZeneca Canada. “We recognized that we have a diverse population,” said Haines. “We really wanted to create a plan that would provide flexibility and allow [employees] to tailor their benefits.”

The plan provides four options of health and dental, but if an employee wants to reduce his or her level of coverage, then he or she can put any excess credits into a savings account or a personal account (a taxed account that allows employees to be reimbursed for wellness-related purchases, such airline tickets or winter/safety tires). AstraZeneca has also implemented vacation buying and selling. “Definitely the buying is more popular than the selling,” said Haines.

All three companies communicated the new benefits plans to their employees through a combination of delivery methods: emails, posters, mailings, intranet, even a cross-country tour to meet employees face to face. In the recruiting process, companies provide a holistic picture—not simply talking about the salary and bonus but also the policies that the companies support, such as buying vacation time. The companies also have annual enrollments and continually communicate with employees on a regular basis.

Plan sponsors that are considering a reconstruction of their benefits in an effort to better match their employees’ needs can learn four lessons from these organizations.

First, is linking design with communication and delivery. “So it’s creating that whole employee experience,” said Beech. “If one of the legs on a three-legged stool is broken, then the stool’s going to fall down.”

Second, is employee satisfaction and measurement. “You can’t assume you know what your employees want. You can’t assume that they think your program’s great,” she said. You have to ask them.”

Third, is the changing frame around pension and benefits. “Benefits can mean all sorts of things,” explained Beech. “The ability to have your show shovelled, the ability to go work out at the gym in the afternoon. It’s going to be different for everyone, but it’s really stretching that benefit envelope from a much broader perspective and really based on what your own employees need.”

And fourth, segment the data. “Delve into those metrics and segment [the information] so that you’re not just ignoring or just focusing on the big picture,” she said, “but rather that you know that you’re really touching and affecting all those diverse populations of your employee base.”

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To comment on this story email brooke.smith@rci.rogers.com.