Guiding Principles for a New Benefits Program Design
Human Resources - Fall 2007
In order to begin the conversation with FRIC regarding a new benefit design, Human Resources tried to identify general employee and institutional interests regarding benefit program design.
Employee Interests
- Perceived by a majority of employees as equitable and fair.
- Promotes flexibility and choice for employees in responding to their health care and insurance needs as an individual.
- Perceived by a majority of potential and current employees as competitive, relative to both Big 10 peers and large area employers.
- Perceived by potential and current employees as family-friendly.
- Incents positive behavior and self-responsibility by employees relative to their own health and well-being (e.g. wellness and disease management programs).
- Supports UI as a healthcare provider.
Institution Interests
- Reflects health as an investment in productivity and excellence and not solely as a cost.
- Value-driven in organizational health benefit design (e.g. generic drug program design).
- Supports UI as a healthcare provider.
- Overall system results in stabilization of fringe benefit rates charged to departments.
- Fringe benefit charges meet health insurance reserve obligation and maintain operating accounts without deficits
- Distribution of benefit credits to individual employees should be fair and reflective of other competitive employers.FRIC Principles for a new benefits structure – Spring 2008