26/06/2025
According to WTW, the majority of U.S. employers intend to shift their benefit strategy in the next three years. Employers said rising medical care costs, in particular, have created greater challenges for delivering their health benefits (44%), well-being programs (44%) and leave benefits (36%).
90% of employers cited rising benefit costs as the top issue influencing their benefit strategies in 2025, up from 67% in 2023. Nearly 3 in 4 employers plan to address high costs by enhancing value or switching to better-value vendors for health, retirement and risk benefits.
It's time to reassess priorities and make a change when the numbers no longer add up, reevaluating the true cost versus the actual value delivered.
Companies are making changes as a strategic tool to reduce costs and drive engagement, retention and purpose, WTW said.