According to a Wells Fargo Insurance 2015 Employee Benefits Trends Survey, the rising cost for healthcare is the main concern for employers in 2016.
Here are five things to know:
1. Costs, productivity and maintaining current benefits are the top priorities for employers, with a focus on attracting and retaining employees. For small employers (fewer than 50 employees) retaining current employees was even more critical, with 94 percent saying it was a top priority.
2. Fifty-two percent of employers are concerned about excise tax exposure, also known as the Cadillac Tax, with their current plan design.
3. Fifty-eight percent of employers expect their medical plan costs to exceed the thresholds for the excise tax in 2018.
4. In preparation for the Cadillac Tax, which is now delayed to 2020, 51 percent of employers plan on increasing wellness initiatives to improve the health of the population, 46 percent plan to change employee HSA contributions to post-tax and 46 percent plan to reduce the value of the plan design.
5. For smaller employers, 30 percent are reducing health coverage to minimum essential levels, 19 percent are moving employees to public exchanges when available and 14 percent each are eliminating part-time employee or spousal coverage.