Balancing Cost Efficiency and Positive Outcomes in Employee Benefits

BY Katie Chambers | May 14, 2025

As the employee benefits landscape continues changing, it’s important for employers to identify what benefits their workers find most meaningful today. During the pandemic there was a big push for mental health support—and that’s still important given all the cultural and political uncertainty impacting workers in a variety of ways.

But now, the physical, financial, and personalized offerings are returning to the forefront. At From Day One’s Boston benefits conference, leaders discussed the benefits that make the biggest impact for their employees. Here are the key takeaways.

A Focus on Physical Health

“With the advent of GLP-1s and medically assisted weight loss, one of the hottest topics we’re seeing in the industry is around weight management,” said Cody Fair, chief commercial officer at Noom. With GLP-1s, he says, “Think about the member experience first,” in terms of minimizing hurdles and prior authorizations. Consider alternative funding methods to access medications at a reduced cost to the patient through rebates, and add behavior change support in addition to the medication options for long-term success. 

“We’re [also] seeing a lot of talk around women’s health, specifically around menopause,” Fair said. Generally, he says, people are not just interested in living longer–they want to live healthy longer. Therefore, employers are best served by taking a holistic approach.

“As an organization, we focus on the overall happiness of our employees. That’s something that we practice very intentionally as part of our cultural framework. And because of that, we have programs which not only focus on physical health [and] mental wellness, but holistic well-being, which includes even things like financial literacy [and] how we plan for retirement,” said Shahina Islam, VP, HR at Zensar. To increase DEI initiatives for an increasingly diverse workforce, employers can also consider adding benefits for fertility and resources for parents and those involved in elder care, she says.

Serving a Large Workforce While Staying on Budget

Moderator Rebecca Knight, independent journalist and contributor at Harvard Business Review, notes the challenges of providing adequate benefits to a large, diverse workforce with varying needs while also “staying on budget.” 

Part of the answer, says Amy Claffey Widell, global benefits director at Akamai Technologies, is identifying point solutions that can cover several areas at once, such as musculoskeletal, fertility, cardiovascular, and cancer, and then being able to prove the cost effectiveness.

Leaders shared insight on the subject of "In Employee Benefits, Balancing Cost Efficiency With Good Employee Outcomes"

“I’m creating that business case to our senior leaders: if we implement a mental health benefit, we’re going to see a decrease in claims from our medical spend,” Widell said. “[For example], we implemented a point solution three years ago, and we’ve seen a 10% decrease in the claims in our medical plan.”

To determine ROI, claims analysis paired with employee feedback is key. Employee surveys can help you understand which benefits employees are using, which they aren’t, what they want and, importantly, what they may not realize is already being offered. 

HR leaders should remember that the vendors themselves are constantly changing, so it’s important to stay flexible. “Every couple years, revisit the market, see who’s out there, [and] see if you can consolidate vendors,” Widell said. “I don’t necessarily want to have 500 vendors,” as that causes confusion for workers and a headache for HR managers. 

ROI can’t be pegged to one particular benefit, since wellness itself is holistic. “Look at the cumulative effect of everything you do. Are you managing cost and trend from everything you do, and are you reaching the maximum efficiency on those things you do?” said Scott Kirschner, senior director, global benefits at Greystar.

Implementing Digital Solutions

“Employees are increasingly looking for a more seamless experience,” Knight said. That’s where technological advances can help, especially when it comes to healthcare and wellness benefits. “

With digital care, I’m noticing that we’re really able to take an ordeal that could take three hours and turn it into a 30-minute access thing,” said Dr. Bijal Toprani, senior clinical solutions lead and doctor of physical therapy, Hinge Health. Healthcare apps allow for easy provider follow-up and opportunities for patients to access care outside of traditional in-person office hours, she says.

“How are we going to get people to use [a benefit] if they don’t know about it?” Kirschner posited. Digital solutions also offer centralized access to benefits for a workforce that is becoming increasingly dispersed as hybrid and remote setups become the norm. 

Additionally, Kirschner says, employers should take advantage of the fact that everyone is always on their phones. Place QR codes around the office for employees to scan for benefits, offer webinars to train employees on the benefits portal, send regular text updates with an option to opt-out, and embrace internal email marketing. 

To meet employees where they are, you might need to get even more creative with your communications. For example, Toprani was able to successfully reach her truck-driving workforce by leaving cards about benefits on their windshields, since they might not regularly check their email. 

Focusing on Positive Employee Outcomes

The best employee benefits programs take into account the entirety of the population they are meant to serve. For example, even if most of your employees are men, Toprani shares, sending them information about women’s healthcare is important since they may be married or have daughters.

For workforces spread across multiple countries, it may be necessary for HR to seek out local vendors for certain benefits. Menopause care in particular, Widell notes, is more accessible in the U.S. but does not yet have prominent global solutions available in other countries. 

Ultimately, benefits programs are meant to do just that: provide benefits. “Everything that we are doing we need to ensure that we have a very happy and engaged workforce,” Islam said. “Our annual survey has a big section on how employees are feeling valued, and benefits are a big component of that.”

Katie Chambers is a freelance writer and award-winning communications executive with a lifelong commitment to supporting artists and advocating for inclusion. Her work has been seen in HuffPost and several printed essay collections, among others, and she has appeared on Cheddar News, iWomanTV, On New Jersey, and CBS New York.

(Photos by Rick Friedman for From Day One)