Tell It Like It is: Quality Benefits Education Boosts Morale

August 6, 2009

CHATTANOOGA, Tenn.--(BUSINESS WIRE)-- A recent study commissioned by Unum (NYSE: UNM) and conducted by Harris Interactive shows a clear connection between how well employees understand their benefits and how engaged and motivated they are at work.

"For employers, this research offers a simple answer to the question of how to get the best return on the time and money they put into building an employee benefits plan: A quality benefits education experience makes all the difference," said Bill Dalicandro, vice president of Enrollment for Unum.

The survey of more than 1,100 employed adults reveals that employees who receive quality benefits education are more likely to feel valued by their employer, have a positive perception of their company, and say they are more likely to stay with their employer even if they were offered the same pay and benefits elsewhere.

"People are the lifeblood of any successful business, and in this challenging economy employers are more focused than ever on ensuring their workforce feels valued," said Mike Simonds, senior vice president for Unum. "This research really reinforces the importance of communicating clearly and effectively with employees about their benefits choices, especially at a time when they are being asked to take responsibility for so many of these decisions."

In the survey, five key measures of workplace satisfaction were significantly higher when employees had a quality benefits education. But the research also reveals plenty of room for improvement -- one in four (24%) employees who were asked to review benefits in the past year said their benefits education was only fair or poor.

The research also offers some clear evidence of what makes an effective benefits education plan. The key is offering enough time to review benefits choices and information, as well as a variety of communications methods.

Employees who had more than three weeks to review benefits education materials were far more likely to say that they had enough time to make informed decisions. And using at least three different forms of communication (such as meetings, printed materials, and website tools) ensures the materials will reach employees with various learning styles.

"Offering workers adequate time and the right tools to understand and choose their benefits is a critical element of effective benefits education," Dalicandro said.

Even if employees don't have a particularly good benefits package, a quality benefits education experience makes them dramatically more likely to consider their employer a very good place to work, the research shows.

And when it comes to the benefits options employees are offered, research also reveals that making voluntary benefits part of the picture is another way to increase employee satisfaction with their benefits.

"Today's workplace includes employees from four generations and a host of ethnic backgrounds who have disparate views on gender and family roles," Dalicandro said. "This survey shows that employees place high value on having a choice of coverage so they can pick the benefits that are right for them based on their stage of life and personal circumstances."

About Unum

Unum (www.unum.com) is one of the leading providers of employee benefits products and services, and the largest provider of group and individual disability insurance, in the United States. Through its subsidiaries, Unum paid $6 billion in total benefits to customers in 2008.

About the Harris Interactive Survey

The survey results are based on the responses of 1,122 employed adults interviewed in December, 2008 using the HarrisInteractive Online Panel (national sample). Results have been weighted to correctly represent employees by age and region.

About Harris Interactive

Harris Interactive is a global leader in custom market research. With a long and rich history in multimodal research that is powered by our science and technology, we assist clients in achieving business results. Harris Interactive serves clients globally through our North American, European and Asian offices and a network of independent market research firms. For more information, please visit www.harrisinteractive.com.

 

    Source: Unum
Contact: Unum MC Guenther or Mary Fortune, 423-294-6300 Toll free: 866-750-8686