But Guardian study finds many employers still need help developing a digital benefits strategy

NEW YORK, N.Y., May 22, 2018 – Since 2012, investors have steered more than $14 billion into human capital management (HCM) software and platforms. A new study by The Guardian Life Insurance Company of America® (Guardian) confirms that human resources technology is top of mind for many employers seeking greater efficiencies and workforce engagement.  The study reveals most employers have increased their spending on benefits-related technology in the past five years, with approximately 50 percent expecting further increases in the next three years. The latest set of findings come from The Fifth Annual Guardian Workplace Benefits StudySM, Game-Changer: The Digitalization of Employee Benefits Delivery.

Workplace demographic shifts, particularly millennials, whose share of the workforce continues to expand, are influencing how employers manage human resources and employee benefit functions. Millennials prefer a more intuitive, personalized and engaging benefits experience from their companies. The study finds employers are beginning to improve the end-to-end user experience with 75 percent focused on improving effectiveness of self-service platforms, compared to 61 percent in 2014. When asked about helping employees make better benefits solutions, 73 percent of employers said this was “highly important” compared to 47 percent in 2014.

“Our lives increasingly revolve around new technologies and digitalization, and this study confirms that benefits technology is reshaping how employers think about their benefits strategy,” said Marc Costantini, executive vice president, Commercial and Government Markets, at Guardian. “A multi-generational workforce along with mounting pressures on employers to contain costs, simplify their benefits, and stay compliant are prompting employers to make this a priority.”

Benefits Technology is a Strategic Imperative

C-suite executives are also turning their focus on digital HCM functions for cost-savings and more efficient strategies. More than 40 percent of all employers say that expanding their use of technology will be among their top benefit strategies in the next five years.

The rise of SaaS models has enabled businesses of all sizes to gain more access to affordable cloud-based applications for handling HCM. The study finds one-third of smaller businesses (i.e. 5 to 24 employees) plan to introduce changes by 2020.

Employers Need Help Navigating their Options

The study also reinforced that most employers need expert advice when it comes to benefits technology options.  The wide range of selections creates confusion about which vendor to go with and what capabilities will best fit their needs. This was prevalent among small companies (i.e. 5 to 24 employees) with nearly 40 percent saying that developing a benefits technology strategy is a significant challenge. However, for employers who use brokers, two in five indicate they have not spoken to a broker about their benefit technology needs.  

Other key findings in the study include:

  • Three in four millennials wish it were easier to learn about and access their workplace benefits
  • Forty two percent of young millennials use artificial intelligence to find answers for benefits of health-related questions compared to 26 percent of baby boomers
  • Fifty eight percent of employers say managing their employee benefits has become increasingly complex – up from 52 percent in 2015
  • Sixty seven percent of highly digital employers said enrolling employees is “very efficient” compared to 44 percent of paper-based employers

For more information about Guardian’s workplace benefits or to view a copy of the study, please visit: guardianlife.com


The Fifth Annual Workplace Benefits Study was fielded in the Spring of 2017 and consisted of two online surveys: one among 2,000 benefits decision-makers (employers) and another among 1,700 working Americans (employees), allowing us to explore benefits issues from both perspectives.

About Guardian

The Guardian Life Insurance Company of America® (Guardian) is one of the largest mutual life insurers, with $8.0 billion in capital and $1.6 billion in operating income (before taxes and dividends to policyholders) in 2017. Founded in 1860, the company has paid dividends to policyholders every year since 1868. Its offerings range from life insurance, disability income insurance, annuities, and investments to dental and vision insurance and employee benefits. The company has approximately 9,000 employees and a network of over 2,750 financial representatives in 55 agencies nationwide. For more information about Guardian, please follow Guardian on FacebookLinkedInTwitter and YouTube

For Media Inquiries

Brenda Mendoza Messinger

(212) 919-3521


The Guardian Life Insurance Company of America®


2018-60182 20190530 NEWS ARCHIVE