The UK is currently grappling with a workforce sickness epidemic, compounded by long NHS waiting times. With a record 2.8 million people off work, affordable health cover for employees has never been more important or in demand – as recent data has shown.
There’s an appetite for health support from all ages, but younger workers now expect health cover as a standard offering from their employers rather than a perk.
According to our latest research, Gen Z are pushing to redefine expectations for health support at work. Younger employees no longer view health benefits as a bonus; rather as an expected part of their employment package, with seven in ten (71%) 18-34 year-olds saying they wouldn’t switch employers if health cover was not offered. Similarly, two-thirds (64%) identify health cover as their most valuable benefit at work — compared to less than half (46%) of over 55s.
With just under three in ten (28%) of the UK workforce comprising 18-34 year-olds, employers should take heed of this sea-change in expectations if they want to attract younger employees to their business and retain them for longer.
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Health Support and Retention
Retaining employees for longer with good benefits helps to reduce the financial burden of continuous recruitment. Additionally, those in their early twenties are more likely to be out of work due to ill health than those in their early forties, costing business lost productivity – which could be mitigated with more health support. In fact, three-quarters (76%) of 18-34 year-old workers say health cover would improve their productivity at work as they could address health concerns more quickly.
These findings may not be surprising. Gen Z, a generation weaned on instant access to information, fuelled by the digital and tech revolution, places a higher value on accessibility to healthcare. This will inevitably lead workplaces, to now cater for this health focus if they want to retain future talent. For this generation, health support is integral to job satisfaction and productivity.
With the NHS struggling to keep pace with patients in need of attention (as of June 2024, waiting lists stood at over 7.6 million), Gen Z’s demand is clearly not misplaced. There is an urgent need for employers to provide faster access to treatments, such as physiotherapy, mental health support, and GP appointments in order to keep employees happy and healthy.
Our research found that eight in ten employees (of all ages) would value health cover for quicker access to GPs, and seven in ten want it for speedier access to counselling and physio. Additionally, two-thirds (66%) of younger workers said if they had health cover they would take less time off work because they could see a doctor sooner.
A Healthier Workforce
These growing demands are influencing the broader employment landscape. Employers are being pushed to consider their approach to employee health and wellbeing, with 70% of businesses feeling a greater responsibility to look after employees’ health due to longer NHS wait times and change underway, with almost two-thirds (61%) having introduced health cover for employees since Covid.
From a business perspective, employers who provide health cover see a marked improvement in employee satisfaction, with a 37% increase in employee engagement and a 33% boost in productivity. These figures are not just abstract statistics; they represent real-world benefits that directly impact a company’s success, growth and the overall health of its workforce.
By offering comprehensive health cover that meets the needs of their employees, companies can enhance their competitive edge and contribute to a healthier, more resilient workforce. As the UK continues to navigate the challenges of the workforce sickness epidemic, there’s no doubt the influence of Gen Z will shape the future of employee wellbeing for years to come.
Macarena joined Simplyhealth in 2023 as the Head of Clinical Product and Operations, where she leads on clinical innovation and oversees clinical governance. Her role involves collaborating closely with product teams to launch new market propositions and providing strategic advice on clinical matters to the ventures and foundry teams.
Macarena earned her Doctor of Medicine degree in 2016 and holds a Masters degree in Global Health and Development from University College London, where she developed her passion for leveraging technology to tackle critical public health challenges.
Macarena has over five years of experience in developing and validating clinical products. She has worked with multi-disciplinary teams to integrate clinical insights into innovative solutions.
