According to the recent 2023 Employee Benefit Trends Study by MetLife, the Generation Z workforce plays a pivotal role in driving this shift. Unlike their counterparts, Gen Z employees are increasingly seeking a personalized, year-round benefits experience. The study revealed that 68% of Gen Z employees expect ongoing communication from their employers post-benefit enrollment, challenging the traditional model of annual enrollment-centric communication strategies.

With the Gen Z workforce set to surpass baby boomers in numbers by early 2024, Metlief recognizes the need for a strategic reassessment of benefits offerings. MetLife's study emphasizes that half of today’s Gen Z employees feel disconnected from the benefits communications they receive, with 63% expressing a desire for more personalized recommendations. This shift in expectations comes as Gen Z workers, unlike other generations, are least likely to believe that their current benefits adequately meet their evolving needs throughout their lives. In response, companies need to redefine its benefits strategy to align with the preferences and expectations of the Gen Z workforce.

“As employers across the U.S. plan their benefits strategies for the year, it’s vital for them to recognize the unique preferences of each generation,” said Jamie Madden, Senior Vice President of Workforce Engagement and Benefits Connectivity at MetLife. “Gen Z, in particular, is setting the stage for what a positive employee experience looks like, and by keeping their standards top of mind, employers can better serve the needs of their entire workforce.”

Meeting Multi-Generational Needs, Year-Round

While more vocal about their needs, Gen Z isn’t the only cohort looking for a customized and comprehensive benefits experience. MetLife’s research found employees across all age groups are experiencing unique challenges that they want their employers to address—54% of all employees wish they had personalized benefit recommendations and 65% want their employer to communicate with them about their benefits throughout the year, not just during enrollment.

While information at open enrollment sets the stage for initial awareness, increasing benefits communication year-round can improve employee understanding – and there are modern tools employers can leverage to enable this; for example, MetLife recently announced its collaboration with Nayya to enhance employees’ benefits experience at open enrollment and beyond. Solutions like this, that provide educational guidance and always-on engagement, help employees get the most value out of their benefits by choosing and using those most relevant to their individual needs – particularly as each generation approaches different life milestones.

For example, millennials navigating parenthood for the first time may be seeking opportunities to learn about childcare or fertility benefits, while Gen X employees stepping into the role of ‘caretaker’ for aging parents may be looking for benefits that can help them care for their loved ones in need of elder care.

Achieving Business Objectives Through Benefits Engagement and Utilization

For employers, approaching benefits strategies with a focus on continuous education and increased utilization throughout the year offers a return on investment – beyond yielding a more satisfied workforce, MetLife data shows this would make one in two employees feel more cared for.

"Employee care has a tangible impact on employee wellbeing, happiness, and overall satisfaction, and, ultimately, organizational performance. Thus, as the workforce evolves, so too must the way employers engage and demonstrate care for their employees," Madden continued. "Delivering timely, approachable communication and resources is critical to ensuring each generation in today’s workforce understands how to elect and use the benefits that are right for them year-round."