Fact Sheet
Financial Services Industry

As part of the 2013 Aflac WorkForces Report, 155 respondents were financial services companies and 274 of respondents were financial services company employees; key findings are:

  • Offering robust benefits while staying within budget/cost constraints is a top benefits challenge for 40% of financial service businesses. Understanding the changing health care landscape is second-largest benefits challenge for 22% of financial businesses.
  • 54% of financial services company employees at least somewhat agree that “I would prefer not to be more in control over my health care expenses and options because I will not have the time or knowledge to effectively.”
  • Additionally, 49% agree “I believe I may not adequately manage my health insurance coverage, leaving my family less protected than we currently are.”
  • 62% of financial services businesses use a broker or benefits consultant to help determine benefits options, vs. 63% of IT companies and 65% of manufacturing companies.

Thinking of my company’s major medical/healthcare plans, we plan to implement the following in the coming year…

Financial Services Company Benefits Offerings At-A-Glance

Which of the following benefits does your company offer?

The Role of Benefits in Key HR Outcomes

Talent Attraction

66% of financial services business employees say they are likely to accept a job offer with slightly lower compensation, but better benefits.

87% of workers say a benefits package is important to their willingness to refer a friend to their organization.

Satisfaction

50% of workers at financial services companies say they are extremely/very satisfied with their overall benefits package.

When employees are offered voluntary insurance they are much more likely to say their current benefits package meets their needs extremely/very well (60%), compared to those not offered voluntary benefits options (45%).

Employee Well-being

39% of workers say their current benefits package only meets their family’s needs somewhat, and 6% say their benefits package does not meet their needs.

When asked if they feel fully protected by their current insurance coverage, 48% of employees at financial service businesses say they only somewhat agree, and 21% say they strongly/completely disagree.

Retention

47% of employees at financial service businesses are at least somewhat likely to look for a new job in the next 12 months.

More than half of employees (53%) say that improving their benefits package is one thing their employer could do to keep them in their job.

78% of employees agree that a well-communicated benefits program would make them less likely to leave their jobs.

Disconnects on Key Benefit Issues
Employers respond that: Employees say:
48% of employers strongly/somewhat agree that “Our workers are taking full advantage of the benefits we offer.” 42% of employees completely/strongly agree with the statement “I am taking full advantage of my employee benefits.”
Believes benefits are extremely or very influential on:
  • Job satisfaction – 59%
  • Loyalty to employer – 57%
  • Willingness to refer friends – 37%
  • Work productivity – 40%
  • Decision to leave company – 30%
Believes benefits extremely or very important to:
  • Job satisfaction – 80%
  • Loyalty to employer – 64%
  • Willingness to refer a friend – 55%
  • Work productivity – 65%
  • Decision to leave company – 53%
48% of companies strongly/somewhat agree with the statement “our workers are not adequately informed about their benefit choices” 73% of workers at least somewhat agree with the statement “I would be more informed about my benefit choices if I sat with an insurance consultant.”
65% of companies strongly/somewhat agree they “effectively communicate the value of their benefits to employees.” 47% of workers say their HR department communicates extremely/very effectively about benefits offered by their employer.
Only 5% of companies named “educating our employees about health care reform” is an important issue for their organization. 76% of workers agree “I believe my employer will educate me about changes to my health care coverage as a result of the health care reform.”
24% of companies named “having employees interested in purchasing voluntary benefits” as top challenge in offering voluntary benefits." 62% would be likely to purchase voluntary benefits if offered.
Conclusions

On the heels of a challenging four years for the financial services sector, several trends are emerging to help fuel a rebound for the industry. The continued bounce back of the housing market is driving new demand for mortgage underwriters and loan documentation specialists. The Dodd-Frank Act is impacting the way businesses are audited, and the slow adoption of International Financial Reporting Standards (IFRS) is contributing to the growth of the industry.

The caliber of a companies’ benefit program will continue to impact the ability to attract key workers, and to maintain their productivity. Financial organizations tend to utilize a broker or benefits advisor less often compared to other industries or companies overall. However, engaging a broker can help companies evaluate its current benefit package and to provide recommendations on “must-have” benefit additions needed short-term, and “nice-to-have” options to consider longer-term.

Another recommendation is to survey workers to determine exactly what benefits are in high demand, or have high interest. This valuable insight will help guide you during the benefit selection, implementation and delivery process.