With the introduction of many flashy workplace benefits geared towards millennials such as trendy décor, student loan repayment assistance, onsite cafes, dog-friendly offices, relocation and travel privileges, improved leave policies, free snacks and more, it’s surprising to know that the benefit millennials want most is quite simple.
According to a study by Fit Small Business, 34% of millennials chose health care as the most important benefit their employer can offer. More and more millennials are seeking out companies that have an onsite health clinic.
The importance of availability and cost reduction of health care to millennials comes on the heels of a stark increase in health insurance costs throughout America. Since employer sponsored group insurance plans often provide the best care at the lowest cost, it’s no surprise that millennials rank it high among their desired benefits.
A survey from Ipsos and Amino reported that 27% of millennials don’t go to the doctor to avoid paying high medical bills and 50% said they have received a medical bill they didn’t budget for.
Millennials have walked the plank between crushing student loan debt and the financial implications of starting a young family. When young family is brought into the context of millennial desires, health insurance to cover their children comes at a high cost, one they would prefer their employers cover.
The focus on providing health benefits to employees is not a millennial issue, it just happens to coincide with the rise in health care costs, thus making it important to millennials. Since costs have been rising for years, employers began to recognize a need to fill the gap to attract the best talent. Many companies offer onsite health clinics for their employees.
Large companies have been catching on to this trend and expanding to keep up. Mercer reported that in 2014, 29% of employers with more than 5,000 employees offered a work-site clinic that offered general medical services, up from 24% the previous year.
What’s In It For The Employer?
There must be an upside for employers to offer such an expensive benefit to their employees. To find out more about employer motivation, I heard from representatives at Marathon Health, a provider of onsite health centers, as well as Carnival Cruise Lines and Laitram LLC, who both have onsite clinics.
“Employee surveys identify onsite healthcare as one of the most popular benefits offered by employers,” said Jerry Ford, CEO of Marathon Health, a provider of onsite health centers. “The benefit to the employers is clear, across our book of business, our customers experience a 9% reduction in healthcare costs. It is the proverbial win-win.”
In the case of Laitram LLC, the decision to provide an onsite clinic was influenced by costs for both the company and their employees.
“From 2005 to 2011, employee health plan premiums increased by 40%,” said Franck LaBiche, Human Resource Director at Laitram, LLC, a global manufacturing company. “We knew that if we did not take a more proactive approach to wellness that this trend would be unsustainable. The response to the onsite clinic was overwhelmingly positive and is by far considered our best benefit offering.”
While cost is usually a primary motivator for many decisions for large companies, other factors can play a role. Sometimes, the decision was as simple as knowing that healthy and happy employees are productive and good for morale.
“We wanted to give our employees a place where they can go and know they are receiving a high quality of care when it comes to their health in a way that it is convenient for them,” said Ron Phillips, Chief People Officer and Senior Vice President of Human Resources for Carnival Cruise Line, a cruise line company. “Any large company such as ours can really benefit from making the health and well-being of employees a top priority.”
Onsite Clinics From A Millennial’s Perspective
Cost is certainly an influence in the millennial desire for onsite health clinics at work, but there are other reasons they rank the benefit as a must have, such as convenience. As a generation that has an app for almost everything, millennials expect an easy and convenient solution for going to the doctor.
“I love having a clinic at my workplace,” said Alexandra Neville, New Product Development Engineer at Laitram, LLC, a global manufacturing company. “I can generally get an appointment within one day and there is no wait. It saves me so much time. Many times when I try to schedule a doctor’s appointment with another office I can’t get in that day and when I do get there I have to wait. If I am feeling ill I do not have to take time off from work to go to the doctor, I can schedule a 30 minute appointment right on campus.”
Another reason millennials love onsite clinics is because their time is valuable. They don’t want to have to take the day off of work to go sit in a doctor’s office waiting room. Having an onsite clinic means they don’t have to miss work or drive to an office and wait to be seen. Employers love it too because it allows the employee to get the care they need while being back on the job as quickly as possible.
“While we receive many great benefits as a Carnival employee, this is definitely one that stands out,” said David Martinez, Communications & Events Specialist at Carnival Cruise Line, a cruise line company. “I haven’t visited my doctor since working at Carnival because I honestly don’t need to. I can do my annual physical here – including labs. Now I never have to worry about finding time in a doctor’s schedule or sitting in a busy waiting room.”
Onsite health clinics in the workplace are not a new concept, but they are definitely growing in popularity. Cost is the primary factor, but millennials in particular love the convenience and time saved when seeing a doctor onsite.
Employers love offering onsite clinics because they keep health costs low, employee absence down, and employee health and morale high. It’s obviously not always an option for small or medium size companies, but for the large companies that can work with a company like Marathon Health to create a solution, the gains among the millennial crowd are theirs to be had.
