Savvy employers will be prepared to counter the rise in health benefits costs that is almost certain to come in 2021.
Health benefits costs have been trending upward for years — over 50% in the last decade, according to the Kaiser Family Foundation — and the current state of economic uncertainty over COVID-19 won't reverse that trend. Realistically, after enduring months of business closures and managing exhausted workforces, many employers will be lucky to maintain uninterrupted operations.
That's why it's critical for employers to think about reducing healthcare costs right now — figure out cost-effective benefits first so money can be shuffled as needed later. Having a solid plan going into 2021 will better position organizations facing limited budgets.
Here are five cost-reduction strategies employers should explore: