One way to boost open enrollment participation: Tell workers it’ll cost them $500 to $2,500 if they fail to participate.
The vast majority of HR managers say missing open enrollment has a big impact on employees’ wallets, according to a recent CareerBuilder.com survey.
How big of an impact?
- 34% of HR managers say missing open enrollment costs employees at least $500 a year in out-of-pocket expenses (for things like medical care and school tuition, which could’ve been covered by their employer)
- 20% say it costs employees more than $1,000, and
- 10% say it costs workers more than $2,500.
That’s distressing news when you consider that half of hiring managers say more than 10% of their workforce misses annual open enrollment deadlines.
In addition, 25% of workers admit they don’t pay attention to benefits changes, figuring their benefits will roll over — or because they feel the whole process is too confusing.
Employees don’t realize what they’re missing
Another big reason employees don’t participate: They don’t realize everything their employer is offering.
When asked which benefits employees aren’t taking advantage of, HR managers said:
- Wellness benefits (45%)
- Flexible healthcare spending (43%)
- Tuition Reimbursement (38)
- Banking programs (25%), and
- Discounts on personal entertainment (24%) and technology (22%).