BIZGrowth Strategies - Workforce & Talent Optimization Special Edition

HELPING YOUR BUSINESS RESPOND TO ECONOMIC UNCERTAINTY
S T R A T E G I E S
ISSUE 95 | SPRING 2023
WORKFORCE & TALENT OPTIMIZATION
— Special Edition —
3HRStrategiesto
Recession-Proof
YourOrganization
Versatility—Important
inLife&LifeInsurance
HowEmployersCan
BenefitfromFinancial
WellbeingPrograms
HowEmployersCan
WellbeingPrograms
Respondingto
EmploymentPractices
Liability(EPL)Claims
Cost-EffectiveHealthPlan
PerkstoConsiderin2023
HowtoTalkAbout
HardDecisions
DuringaRecession
UnlockSuccesswith
EffectivePerformance
Management
HowtoTalkAbout
HardDecisions
DuringaRecession
HowtoTalkAbout
HardDecisions
DuringaRecession

Amid today’s economic uncertainty, we know you want strategies
and solutions that will help your business thrive. With workforce
and talent concerns running high for employers across the nation,
our experts developed these articles with those critical issues top
of mind. We offer fresh insights designed to attract, retain and
motivate your employees — all while protecting your bottom line
and managing emerging risks.
And be sure to check out our new Agility & Excellence Resource
Center — full of articles, webinars and other resources developed
to help your organization master the moment and emerge from
uncertain times ready to tackle the future with confidence.
In This Issue
2 | BIZGROWTH STRATEGIES — SPRING 2023 CBIZ, INC.
CBZ
To subscribe to this newsletter
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You can also call us at
1-800-ASK-CBIZ (1-800-275-2249).
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DISCLAIMER: This publication is
distributed with the understanding that
CBIZ is not rendering legal, accounting or
other professional advice. This information
is general in nature and may be affected
by changes in law or in the interpretation
of such laws. The reader is advised to
contact a professional prior to taking
any action based upon this information.
CBIZ assumes no liability whatsoever in
connection with the use of this information
and assumes no obligation to inform the
reader of any changes in laws or other
factors that could affect the information
contained herein.
— Special WORKFORCE & TALENT OPTIMIZATION Edition —
D
uring these times of economic uncertainty, financial wellness benefits
are needed more than ever. Providing these benefits is not only the
right thing to do, but it can also have key benefits for your company,
such as decreasing turnover, reducing absenteeism, boosting productivity
and increasing participation in other benefits like retirement plans.
According to research from SoFi at Work, 75% of U.S. workers face at
least one source of major financial stress. For many of these employees,
this stress has had a negative effect on their sleep, mental health, physical
health and, ultimately, their performance at work.
Financial wellbeing is a critical driver of overall wellbeing, and when
employers invest in the wellbeing of their employees, they can see
tremendous value in return. Therefore, it would be wise for your organization
to consider incorporating financial wellness initiatives into your overall
wellbeing strategy or benefits package. Advantages your organization can
achieve include:
1. Decreased Turnover
High turnover rates can be expensive and have negative effects on
company culture. A survey from PwC shows that employees with severe
financial stress are twice as likely to look for a new job compared to
other employees.
HowEmployersCan
WellbeingPrograms
How Employers Can Benefit from
Financial Wellbeing Programs.........2
Responding to Employment
Practices Liability (EPL) Claims.......4
Cost-Effective Health Plan Perks to
Consider in 2023............................6
How to Talk About Hard Decisions
During a Recession.........................7
Unlock Success with Effective
Performance Management.............9
3 HR Strategies to Recession-Proof
Your Organization.........................10
Versatility — Important in Life &
Life Insurance...............................11

— Special WORKFORCE & TALENT OPTIMIZATION Edition —
Even if they aren’t actively looking for a new job,
many employees say they’d be attracted to another
company if that organization seemed to care more about
their financial wellbeing. Eighty-four percent of employees
believe their employer should be responsible for their
financial wellbeing, but only 55% believe that their
employer actually cares about it.
2. Improved Attendance
The same survey found that 15% of U.S. employees
reported that their financial stress has had a severe
or major impact on their attendance at work. Further,
financially stressed employees are seven times more
likely to say that financial stress has had a major impact
on their attendance.
3. Enhanced Productivity
In addition to missing work, employees are distracted
by their finances when at work. SoFi at Work found that
employees are spending an average of 9.2 hours per
week on their personal finances during work hours and
14 hours per week total.
As for the overall impact on employee productivity,
76% of stressed employees admit that their financial
worries have had a negative impact on their productivity,
and 25% of this group says this impact has been major.
4. Increased Use of Benefits
Many employees may not take advantage of their
company’s retirement plan because they need the money
for more pressing things, such as paying off credit card
debt and dropping money on emergency expenses.
Helping employees pay off debt and build emergency
savings allows them to focus on other priorities, like
saving for their retirement.
There are many methods and providers who can
help you incorporate financial wellbeing into your overall
strategy. Make sure you work with a trusted advisor to
help you navigate the complexities of financial wellbeing
benefits.
Investment advisory services provided through CBIZ Investment Advisory Services, LLC, a registered investment adviser and a wholly owned subsidiary of CBIZ, Inc.
Connect with a CBIZ professional to learn more.

requested lost wages, company preparation time, and the
financial and emotional costs of a trial.
An ADR isn’t a one-size-fits-all approach to EPL
claims. Mediation and arbitration won’t protect against
EEOC discrimination charges. Regardless of fault,
mediation and arbitration often conclude with the
accused company awarding the claimant. Compared to
attorney and litigation fees, these awards are significantly
lower than a successful court defense.
How to Respond to an EEOC Investigation
An administrative charge will occur prior to an
actual lawsuit when a former employee or applicant
seeks a charge. Initially, the EEOC notifies of the
charge with a complaint itemization and justification
for the investigation. If a violation is confirmed and
the employer refuses to settle, the EEOC will litigate,
seek indemnification for the employee and impose
alterations for the company’s compliance. When the
EEOC determines a violation didn’t transpire, the
employee who filed the complaint will be given 90 days
to organize a lawsuit.
Regardless of whether your company believes the
charge is credible, quickly and professionally respond to
the EEOC and provide reasonable details. Your company
could avoid a full EEOC investigation if you immediately
provide sufficient evidence the claim is unfounded. A
quick EEOC claim dismissal can significantly lessen an
employee’s decision to litigate.
E
conomic downturns force leaders to make highly
scrutinized decisions. To remain operational,
companies may implement layoffs or reorganize,
which could lead to lawsuits and claims. Regardless of
the claim’s legitimacy, these charges can be financially
and emotionally draining. Successfully avoiding an EPL
claim requires a proactive employment approach and
partnership with your attorney and broker.
Top 5 EEOC Employee Claims
The current employment landscape (e.g., downsizing,
layoff notifications) has marked 2023 as the year of
employment reductions. As top EEOC claims are directly
related, review these discriminatory areas:
■ Retaliation
■ Disability
■
Racial discrimination
■
Gender pregnancy
■ Age
Economical Options to Settle Employee Disputes
The EEOC can penalize organizations $300,000 in
compensatory and punitive discrimination damages.
Without an EPL insurance policy, your company will pay
out of pocket. In a slow-growth economy, employment
reduction savings could cost more.
A third party can save litigation costs by mediating a
resolution. Plaintiffs often take legal action for damages
and losses that exceed amounts they would have settled
for during an alternate dispute resolution (ADR). Swift
resolutions can lower the expenses from employee-
RespondingtoEmployment
PracticesLiability(EPL)Claims
(Continued on next page)
— Special WORKFORCE TALENT OPTIMIZATION Edition —

Defensive Steps to a Labor Dispute
If your business faces an EPL lawsuit, immediately
seek legal advice and contact your insurance broker
to properly investigate the incident. Time is critical
to formulate a defense strategy and collect essential
information, such as:
■
Witness statements
■
Company plaintiff records
■
Event timeline
■
Insurance policy coverage
The Importance of Record Management
Paperwork is the most compelling evidence to bolster
your EPL-claim defense. Well-established company
policies (e.g., employee handbooks, training records) set
the standard for company conduct and are advantageous
in court.
Robust employment practices can influence an
investigator or jury of your company’s innocence.
Alternatively, neglecting documentation could be
viewed as an effort to conceal evidence. Any attempt to
intentionally misfile or hide company records could cause
prosecution for obstruction of justice.
Employment Practices Liability Insurance (EPLI)
Explained
Statistics show that during unstable economic
conditions, the number of discrimination claims tends to
elevate. As more individuals are unemployed, they become
more motivated financially to explore legal options.
Regardless of your attempts to prevent an EPL claim
from going to court, some cases can’t avoid litigation.
Once it goes to court, your attorney, employment records
and broker are responsible to protect your company from
damages. In addition, defense fees alone can create
incredible financial strain. An EPL insurance policy can
protect you from these litigation consequences.
Tips to Prevent the Risk of EPL Claims
Use these tips to protect against costly EPL claims:
■
Investigate candidates during the hiring process
but guard their private information closely.
■
Require employees to sign an employment-at-will
policy.
■
Certify all employees receive proper training (e.g.,
safety).
■
Establish and enforce a strict zero-tolerance
discrimination and harassment policy.
■
Immediately investigate all claims and administer
necessary discipline and training.
■
Verify your workplace policy provides multiple
options to report harassment.
■
Generate an employee handbook.
■
Document all evaluations, employee complaints
and situations that lead to employment
termination.
■
Ensure workplace policy consistency to offer
justification for employment actions.
■
Maintain documentation for employment terms
and conditions (e.g., discipline, grievances, reviews).
■
Stay current with federal and state employment
laws and regulations.
■
Partner with your broker for risk mitigation
opportunities and to secure EPLI.
Don’t wrongly assume your company isn’t at risk of
an employment practices claim. An employee dispute can
disrupt business operations, affect employee morale,
damage your business’ reputation and be financially
devastating.
(Continued from previous page)
Connect with us to evaluate your company’s
risk and secure an EPL policy.

F
or employers looking to stay ahead of the curve this
year, incorporating the benefits employees value
most into their health plan is essential. However,
it’s equally important to keep your bottom line in mind.
To determine the top health plan features that
employers are — and should be — offering this year and
beyond, we conducted the 2023 CBIZ State of Health
Care survey. The results of that survey indicated that
a holistic wellbeing program, direct primary care and
employer-sponsored health centers, and family-forming
benefits are all key aspects of a competitive benefits
package that will set your organization apart without
breaking the bank.
Holistic Wellbeing Program
Low employee wellbeing is a top contributor
to rising health care costs. This makes a holistic
wellbeing program an invaluable health plan feature for
organizations seeking ways to cut costs and enhance
workplace wellbeing.
The 2023 State of Health Care survey indicated that
some of the most popular wellbeing offerings for 2023
include:
■
Disease/condition-specific education/programs
■
Biometric screenings
■
Health coaching
■
Health risk assessments
■
Weight management programs
Financial wellness, in particular, has grown in
importance as employees’ salaries are stretched
thinner. Consider expanding your financial wellness
benefits to include student loan repayment, refinancing
solutions, retirement savings plans, safety net insurance,
emergency savings funds, financial coaching, financial
crisis management planning and more.
Discover the power of financial wellness in this
on-demand webinar.
Direct Primary Care Employer-Sponsored Health
Centers
Due to the growth of medical insurance and
other intermediaries, primary care physicians’ role
as gatekeeper in the health care delivery system has
diminished. This coupled with increased financial
incentives for physicians to choose areas of specialty
other than primary care has resulted in employees’
access to primary care being greatly reduced.
However, employers can address this pertinent
health access issue by considering the use of direct
primary care (DPC) or implementing onsite or near-site
Want to see more of the
data collected from our
State of Health Care
survey? Download the
2023 State of Health Care
Report now to discover
all the insights.

N
avigating the murky waters of economic
uncertainty is no small feat; business leaders
often walk a tightrope between preserving the
company’s wellbeing and making difficult decisions
that will impact the organization for years to come. And
having conversations with employees about those tough
decisions, such as layoffs, can be an arduous task.
However, learning how to communicate these sorts of
changes effectively can ensure your employees feel
heard and supported during these trying times.
Be Transparent Communicative
In times of impending economic turbulence,
communication is essential for maintaining trust and
assuaging any panic that may arise. As an organizational
leader, it’s necessary to recognize that not everyone
understands how lean economic moments impact your
company. Providing a straightforward narrative of where
your business stands and how it has been affected
by economic instability over the past year can be an
effective way to ensure that all employees are on the
HowtoTalkAboutHard
DecisionsDuringaRecession
employer-sponsored health centers. These strategies are
also innovative ways to contain health care costs.
When a direct primary care practice or worksite
provider is engrained with an employer it enhances
employers’ ability to:
■
Create stronger measurements of improved health
outcomes for chronically ill members with lifestyle-
related conditions.
■
Triage medical services to the appropriate levels
of care so that chronic condition maintenance and
high-risk condition management take priority.
■
Drastically reduce medical plan costs related to
fee-for-service charges that have wild variance in
pricing.
■
Avoid unnecessary costs related to specialty care.
Family-Forming Benefits
The U.S. Supreme Court’s decision to overturn Roe v.
Wade will impact employee benefits considerations this
(Continued from previous page) year. Perhaps the most significant impact is a renewed
focus on reproductive health.
The Supreme Court’s ruling, eliminating the
federal constitutional right to abortion care, has led to
a patchwork of state laws on this type of health care,
forcing employers to find new ways to support their
employees’ needs. According to our survey findings, many
employers are offering expanded family-friendly and
family-forming benefits, such as:
■
Infertility treatments
■
Pre-maternity maternity leave
■
Adoption assistance
■
Surrogacy assistance
These trending benefits can have a strong impact
on attraction and retention, making them top health plan
features for 2023.
Connect with a CBIZ Employee Benefits
specialist today.
same page. Numbers can be an invaluable tool for telling
your story and providing an understanding of how your
company is being impacted.
It’s also crucial to be open about your company’s
strategies to address the recession, even if those steps
include difficult decisions like reductions in force, hiring
or wage freezes, or a temporary halt to bonuses. Being
transparent and taking accountability for these steps
shows your employees that you understand the impact
these decisions will have. It’s best to be sincere and
understanding when communicating to your team while
offering support and reassurance wherever possible.
Acknowledge Mental Health Needs
The impact of a recession on employees can extend
beyond financial concerns, and it’s key to recognize
that economic uncertainty can affect your employees’
mental health. They may face increased workloads due
to layoffs or talent gaps, leading to burnout and fatigue.

Additionally, inflation and high interest rates may
cause financial strain, making it difficult for your
employees to make ends meet. Even if your organization
hasn’t experienced layoffs, some employees may have
family members who were let go, adding to their stress
and anxiety.
While discussing mental health may feel
uncomfortable, it’s necessary to shed light on the topic
and encourage employees to utilize in-house resources,
such as employee assistance programs, mental health
counseling or financial planning services.
Learn How to Ease the Burden
As the cost of living rises, business leaders must
consider how they can support their employees’
financial wellbeing. For example, if your organization
has implemented a hiring freeze, this can be incredibly
challenging for families and individuals strained by the
costs of housing, goods and more.
Offering additional time off, working with nearby
retailers to provide discounts or providing more
opportunities for professional development are just
(Continued from previous page) a few examples of ways businesses can support
employees. By providing these additional benefits, you
can help alleviate some of the financial pressure your
employees may feel while fostering a more positive
workplace culture.
Another way to support employees is through
flexibility. Providing work-life balance options, such as
allowing employees to work remotely, narrowing hybrid
schedules or shortening the workday or workweek can
be a powerful way to alleviate stress and support your
employees’ wellbeing.
In addition, it’s important to answer any questions
employees have and offer the appropriate resources
or steps they need to take if your company’s
decisions negatively impact them. This could include
unemployment benefits, pension transfer information,
job training or career transition services. By arming your
employees with the knowledge and resources they need,
you can help calm their uncertainty.
Connect with a CBIZ Financial Services advisor
for more strategies and solutions.

W
ell-executed performance management is
helping many businesses retain top talent and
maximize their resources, allowing companies
to stay competitive in today’s uncertain economic
landscape. In addition, effective performance
management programs have fostered highly collaborative
work environments that enable employees to reach their
full potential while bolstering business growth.
If your company is looking for ways to stay strong for
the long haul, it may be time to explore best practices for
managing the ever-changing workforce.
What is Performance Management?
Over the years, employers have realized that
employee performance management isn’t a static activity
restricted to annual reviews. Instead, it’s an ongoing
dialogue between supervisors and employees, creating
an environment conducive to success — a win-win
situation that pays dividends in productivity.
It allows regular feedback to be given to employees,
helping them understand how their work contributes
to the organization’s success. Additionally, it provides
a platform for employers and employees to discuss
career progress and development plans, maximizing
employee engagement and satisfaction. But it all starts
with performance planning and requires managers to be
trained in effective coaching, counseling and evaluation
techniques.
Why is Performance Planning Important?
Performance planning helps an employee chart their
course to success. It aligns the individual’s knowledge,
skills and motivation with the company’s long-term
goals, identifying each individual’s role in achieving key
objectives and ensuring progress over the next year
and beyond. This helps keep employees and managers
on the same page by clearly delineating what needs to
be accomplished. As a result, it increases quality and
efficiency and can prevent costly problems by ensuring
that required resources are available.
Should Companies Still Conduct Yearly Performance
Reviews?
Many companies are giving up the annual
performance review, especially as more Millennials
enter the workforce. Unlike previous generations, they’re
UnlockSuccesswithEffective
PerformanceManagement
accustomed to instant feedback, which makes frequent
check-ins extremely valuable. But that doesn’t mean
companies should ditch their annual evaluations. After
all, the yearly review allows managers to track progress
and determine whether an employee is meeting or
exceeding their objectives. It’s also a perfect time to
set near- and long-term goals and identify development
opportunities. But, before making any changes to an
existing program, evaluate the current process and
determine your organization’s needs. Then, identify areas
for improvement and even consider surveying employees
about their feedback preferences.
Performance management helps organizations
ensure all employees work toward the same goals,
creating a culture of excellence, collaboration and
productivity. As a result, managers and staff work
together to reach common goals, helping to ensure that
the organization is maximizing its potential.
Connect with a CBIZ Human Resources expert
for more strategies and resources.

■
Embed internal mobility as an organizational
principle, starting at the top.
■
Share internal mobility success stories you’re
proud of.
2. Remain Flexible Amid Remote Work Demands
There’s no one-size-fits-all preferred work
method. Be it a busy coffee shop or a tranquil office,
employees will be most productive where they feel most
comfortable.
Take inventory of what the employees on your team
prefer. If an employee prefers onsite work, then great
— there isn’t much to change! If an individual leans
toward hybrid work, then it’s important to welcome this
openly. Make sure that all team members are aware of
your openness to whatever mode of work will maximize
productivity.
It’s hard to say whether working five days a week
in an office will ever be the norm again. And, keep in
mind, the trends and demand for different working
arrangements will continue to fluctuate in the pandemic
aftermath, so it’s unlikely an employee preferring one
working style currently, whether in-office, hybrid or
remote, will want that mode of work forever.
3. Equip Yourself with the Leaders Necessary to Thrive
While there’s no silver bullet to find employees
who are guaranteed to work enthusiastically for the
long haul, using executive recruiting services to find
the right leadership can make a big difference. It’s
an excellent strategy to onboard executives who
have a demonstrated ability to build a supportive and
productive company structure and a culture that helps
employees do and feel their best.
A
dding to an already complex work landscape,
the looming economic downturn comes amid an
unprecedented labor shortage. This combination
paints a complicated and anxiety-inducing picture for
HR leaders everywhere. The challenge is to rethink
talent management while balancing rising employee
expectations and business needs during market turmoil
— not an easy task. Use this time to reimagine your HR
approach, leveraging the following expertise.
1. Provide Strong Internal Mobility Opportunities
Much like its name implies, internal mobility is a term
used to describe the movement of employees, vertically
or laterally, to new career and development opportunities
within the same organization. Strengthening internal
mobility offers considerable benefits for organizations
of all sizes and industries — from time and cost savings
by avoiding the use of external recruiters to improved
employee retention rates and increased idea-sharing
across roles and departments.
Some best practices to consider as you build your
internal mobility plans for 2023 include:
■
Invest in training and mentorship opportunities.
■
Incentivize employees where you can.
■
Set organizational internal hiring goals.
■
Enable a strong succession planning technique.
■
Utilize technology to build more efficient internal
talent pipelines.
3HRStrategiesto
Recession-Proof
YourOrganization
Connect with a CBIZ Talent Compensation
consultant to learn more about future-proofing
your workforce.

portable coverage with flexibility in coverage amounts,
plan designs and convertibility features is one way
an employer can assist their workers with securing
the proper amount of coverage at favorable pricing.
The employer’s role is to facilitate easy access to the
platform, with no additional expense to their bottom line.
Life Insurance as a Fringe Benefit
Using a non-voluntary employer-paid life insurance
program, employers can reward high earners with a
simplified underwritten policy. These plans offset the
limits of the group plan, which become discriminatory
for older and/or higher salaried employees. An attractive
feature of these plans is that they’re convertible to
permanent coverage should the employee want to take
over payments.
Bonus 162 Plans
An executive bonus plan (Section 162) is a way for
business owners or companies to provide additional
supplemental benefits to key employees or executives
of their choice. The benefits usually include life
insurance policy death benefits, as well as cash value
accumulations that can be used as a retirement income
supplement. The employer takes out a life insurance
policy on a key employee. The employee is the owner of
the policy who determines the beneficiaries and manages
the funds within the policy. The employer covers the
cost of the policy by periodically giving the employee a
bonus big enough to pay the policy premiums. The bonus
amount is generally considered reasonable compensation
and tax-deductible to the employer.
Times of economic uncertainty can be stressful.
Fortunately, life insurance can ease these concerns by
knowing that you have a baseline of protection in place.
Consider using the versatility of life insurance to provide
peace of mind and financial security that other benefits
can’t match.
©
Copyright
2023.
CBIZ,
Inc.
NYSE
Listed:
CBZ.
All
rights
reserved.
|
CBIZ-020,
Rev.
95
T
oday’s employers face significant challenges in
managing the expectations of employees who
represent a more diverse workforce than ever. For
the first time, there are five generations in the workforce.
Offering one-size-fits-all plans is no longer viable for
employers looking to engage and retain their employees.
The needs of any one group can’t be ignored.
Further, feeling the pressure of today’s economic
uncertainty, employees are asking for more security and
support from their employers. One employee benefit with
the elasticity to align with the needs and preferences of so
many groups of employees is life insurance.
There are a variety of ways to design plans, with
the most common offering being the employer-paid
benefit with a flat benefit for all employees. But for many
employees this amount of coverage is inadequate to
protect against their needs over their financial lifecycle. In
a well-regarded survey, The Rise of the Whole Employee,
conducted by Met Life in 2022, 63% of employees
expressed that life insurance is a must-have benefit.
Amid stubborn inflation and a volatile stock market,
it can make sense for employees to shore up their life
insurance plans. Your organization may want to consider
supplementing the basic group plan with some additional
offerings.
Access to an Online Term Platform
During open enrollment, when benefits are top of
mind for employees, is an ideal time to offer access
to an online term platform. Purchasing personal,
Versatility—
ImportantinLife
LifeInsurance
Connect with a CBIZ Life Insurance
advisor today.

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