HEALTH WEALTH CAREER

WHEN WOMEN THRIVE I S Y O U R T O TAL R E WAR D S PROGRAM ALLOWING WOMEN TO THRIVE…OR D R I V I N G T H E M AW AY

K E L LY E S S E L MA N , S P H R ,C E B S , C W P M PRINCIPAL DENVER

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AGEND A

The Global Imperative © MERCER 2015

Role of Company

Advancing in Careers

Financially Secure

Healthy & Productivity 1

WHEN WOMEN THRIVE

T H E G L O B A L I M P E R AT I V E

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GENDER DIVERSITY T H E D AT A I S C O M P E L L I N G

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“A nation’s competitiveness depends…on whether and how it educates and utilizes its female talent” “No country in the world has achieved gender equality” – 2014 Global Gender Report

%

5% 12%

GDP increase

9%

34%

Eliminating the gap between male and female employment rates could boost countries’ GDP by as much as 34% © MERCER 2015

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T H E D AT A I S C O M P E L L I N G If every country matched the progress toward gender parity of its fastest-improving neighbor, global GDP could increase up to $12 trillion in 2025 Incremental 2025 Global GDP over Business-as-Usual Scenario,1 (%)

Incremental GDP, ($ trillion)

India

16%

0.7

Latin America

14%

1.1

China

12%

2.5

Sub-Saharan Africa

12%

0.3

North America & Oceania

11%

3.1

World

11%

11.8

Middle East & North Africa

11%

0.6

South Asia (excl. India

11%

0.1

Western Europe

9%

2.1

Eastern Europ and Central Asia

9%

0.4

East & Southeast Asia (excl. China)

8%

0.9

$12T GDP increase

1 Sample = 95 countries Source: HIS; ILO; Oxford Economics; World Input-Output Database; national statistical agencies; McKinsey Global Growth Model; McKinsey Global Institute analysis

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WE’VE MADE PROG RESS… B U T W E ’ R E N O T M O V I N G FAS T E N O U G H .

ONLY

LESS THAN

LESS THAN

% 60-70

25%

5%

Global female workforce participation

Senior management roles

Fortune 500 CEOs

(compared to male participation – high 80s)

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WHEN WOMEN THRIVE

THE ROLE OF T H E C O M PA N Y

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RESEARCH FINDI NGS: SUMM ARY O F CORE THEMES

1 Seek holistic solutions Broad, enterprise focus is linked to sustainable change

2 Foster passion over formality 3

Accountability is not enough – leadership needs to be Manage actively, not passively engaged in promoting & managing diversity

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Active management of policies/programs intended to embrace and different lifedifferently choices is required to avoid Think act unintended career penalties Non-traditional solutions drive future success

5 Realize unique value

Companies that recognize and value the differences between women and men benefit © MERCER 2015

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I N C L U S I V E L E A D E R S H I P S T R AT E G Y Objective: identify and address unconscious bias in order to build a workforce that is more inclusive, more innovative and takes full advantage of talent diversity THE JOURNEY

BIAS • Shortcuts • Assumptions • Stereotypes • Micro-Inequities • Micro-Affirmations

RECOGNIZE

REFLECT

• Become aware of incorrect assumptions

• Slow down the automatic process

• Take note of unintended outcomes

• Uncouple the stereotype

• Accept feedback & insight from others

• Unpack the incorrect assumptions • Shift your perspective

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REMEDY • Consider options based on your new perspective • Make decisions that are more inclusive • Coach your team members to examine and shift their perspective 8

1 T H E D ATA I S C O M P E L L I N G (GLOBAL, CLIENTS, M ERCER RESEARCH) Passion

Process

2 FOR THIS TO WORK W E N E E D I T T O B E / H AV E … 3

Proof

Programs

WHEN WOMEN THRIVE THEY ARE… ADVANCING IN CAREERS

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FINANCIALLY SECURE

HEALTHY & PRODUCTIVE

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WHEN WOMEN THRIVE

AD VA N C E I N C AR E E R S

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20%

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20%

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80%

20%

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80%

20%

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80%

Women will act only when they have a higher confidence level of success compared to their male counterparts

20%

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WE NEED TO LOO K AT POLI CIES AND PROCEDURES EXAMPLE: MO BILITY OF WORKFORCE

1980s

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2000

2010

2015

Awareness

Acceptance

Action 16

W O M E N FAC E C H O K E P O I N T S … DISGUISED CASE EXAMPLE Career Level

Total Hires

Executive

Females: 7% Males: 5%

Average Representation and Total Promotions Female Male

Females: 14% Males: 10%

24% 76% Females: 3% | Males: 4%

Senior Manager

Females: 6% Males: 9%

31%

Buying male talent here Manager

Total Exits

Woman leave at higher rate Females: 12% Males: 10%

69%

Females: 8% | Males: 10%

Females: 7% Males: 10%

42%

Females: 10% Males: 10%

58%

Females: 6% | Males: 7%

Professional

Females: 15% Males: 15%

Support Staff

Females: 20% Males: 31%

Females: 13% Males: 13%

55%

45% Females: 8% | Males: 9%

35%

65%

Females: 18% Males: 23%

Overall representation: 48% female | 52% male © MERCER 2015

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G E N D E R M I X F O R VA R I O U S E X C O R O L E S AT F I N A N C I A L I N S T I T U T I O N S ( % ) 41%

59%

Head of HR

57%

43%

Head of Marketing

64%

36%

Head of Audit

67%

33%

Head of Legal

73%

27%

Head of Compliance Head of Strategy

23%

77%

Head of IT

23%

77%

Total ExCo members

12%

87%

Head of BU/Region 11%

89%

COO 11%

89%

CFO 8%

92%

CRO 4%

96%

CEO 4%

96% % Female

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Post the financial crisis, shareholders are looking for a different culture in financial services: a different model of leadership % Male

– Anna Marrs, Group Head of Commercial and Banking Clients, Standard Chartered 18

WHEN WOMEN THRIVE

F I N A N C I A L LY S E C U R E

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W O M E N H AV E U N I Q U E F I N A N C I A L N E E D S …

48% women leave the workforce after having children 74% of professional women will rejoin the workforce in some capacity, but only 40% will return to full time jobs

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47% Of respondents would have to borrow or sell something to cover a $400 financial emergency.

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AND FINANCI AL STRESS MANIFESTS I N H E A LT H I S S U E S 44%

39% 26%

33%

27%

17%

15%

8%

Migraines/Headaches

Insomnia/Sleep trouble

High blood pressure

Stomach ulcers

51% 29%

31% 4%

Muscle tension/Back pain

Severe anxiety

People with Low Levels of Financial Stress

23% 4%

Severe depression

3%

6%

Heart attacks

People with High Levels of Financial Stress

AP AOL Health Poll: The Toll Owing Money Takes on the Body

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ALONG WITH ABSENTEEISM, P R E S E N T E E I S M , AN D T U R N O V E R

22%

15%

20%

ABESNTEEISM:

PRESENTEEISM:

TURNOVER:

missed ≥ 1 day of work to deal with financial issues

spend ≥ 20 hours a month at work on financial activities

Voluntary employee turnover due to financial stress

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C O N S I D E R A S T R AT E G Y O F F I N A N C I A L W E L L - B E I N G Monitor key performance indicators and support vendor management Implementation and monitoring Standard and targets

Microtargeted interventions

STRONG DATA ANALYTICS Drivers and barriers

Design a wellness campaign specific to your workforce needs

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Broad-based interventions

Identify the key financial wellness issues and unique employee segments or clusters based on your data

Define clusters/personas

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GENDER DIFFERENCES Different work cycles. Different levels of financial confidence. Different household financial responsibilities.

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A B U N D A N T T E C H N O L O G Y S O L U T I O N S AVA I L A B L E ARE BOTH AN OPPORTUNITY AND A CHALLENGE

n = Debt/loans n = Budget n = Investments © MERCER 2015

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A N D I T ’ S I M P O R TA N T T O K N O W H O W E M P L O Y E E S WANT TO BE ENGAGED

30%

Help me do it

50%

Do it for me

20%

Leave me to it “Do it for me” Most technology solutions are built for the 20% “leave me to it” group @MERCER 2015 © MERCER 2015

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O R G A N I Z AT I O N S S O LV I N G T H I S C H A L L E N G E A R E L E V E R A G I N G T E C H N O L O G Y TO B R I N G T H E R I G H T TO O L S AT THE RIGHT TIME TO THEIR EMPLOYEE GROUPS

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WHEN WOMEN THRIVE

H E ALT H Y & P R O D U C T I V E

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W O M E N H AV E U N I Q U E H E A L T H N E E D S …

Women make 80% of the healthcare decisions 51% have chronic health conditions themselves

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A M A C R O H E A LT H C A R E F R A M E W O R K T R A N S PA R E N T C O N S U M E R M A R K E T S (CONSUMER) Empowering consumers to make informed, valuebased decisions, shifting the basis of competition

SMART CARE T EAMS ( PAT I E N T )

(CAREGIVER)

Enabling a predictive, personalized, preventive health/ wellness/ engagement ecosystem © MERCER 2015

QUANTIFIED SELF

Source: Oliver W yman 2014, “The Patient to Consumer Revolution”

Elevating consumer understanding of health in real time – transforming expectation of the marketplace

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W O M E N A N D H E A L T H – T H E P AT I E N T Not just r e p r o d u c t io n – To p subjects wo me n di scuss wi th their healthcare p r o v id e r s1

Diet, exercise and nutrit ion

Getting enough calcium to prevent bone loss

Health conditions that impact only women2, e.g.:

Health conditions far more prevalent in women2, e.g.:

S m oking

Mental health issues

A lc ohol / drug use

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1. 2.

Health conditions that impact women differently2, e.g.:

• Breast, ovarian, cervical cancers • Fertility/infertility; pregnancy; fetal health • Menopause • Autoimmune diseases (75% occur in women, among the top 10 killers of younger women in particular) • Depressive disorders (2-3x more prevalent in women) • Eating disorders (88% of patients are women) • Alzheimer’s disease (75% of patients are women) • Sleep disorders (women 2x as likely to have difficulty) • Osteoarthritis (typically women over the age of 45) • Cardiovascular disease (heart attack symptoms are different/more subtle– leads to delayed treatment) • Metabolic disorders (e.g. diabetes; shorter life expectancy, worse blood glucose control, increased depression) • Obesity (increased risk of breast/uterine cancers; obese women more likely to have high blood pressure, diabetes and other complications) • Nutrition/wellness • Efficacy and side effects of many drugs and devices (medical testing issue)

Kaiser Family Foundation, Women’s Health Care Chartbook The Business Case for Women’s Health, Anula Jayasuriya, MD PhD

Age / life stage consideration

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W O M E N AN D H E ALT H – I L L N E S S B U R D E N (SAMPLE) Women

KEY OBSERVATIONS :

Men 163 158

•

Women at most organizations have a significantly higher illness burden than their male counterparts

•

Risk burden is highly predictive of future costs

130 113

100

87 54

20s

53

30s

40s

50s+

Diagnostic Cost Groups (DCGs) is a research-based and broadly used methodology that combines age, gender and diagnoses into a score (assigned to each person) that is shown to be highly predictive of future costs

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W O M E N AN D H E ALT H – P R E V E N T I V E C AR E (SAMPLE) Women

Are there varying levels of compliance with preventive screenings? Preventive Visit

43%

19%

Mammogram

49%

n/a

Cervical Cancer

39%

n/a

Cholesterol

54%

48%

Colon Cancer

18%

18%

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KEY OBSERVATIONS :

Men

•

In spite of full coverage for preventive care, preventive care is underutilized

•

Preventive care visits serve a number of important goals, including building / solidifying the patient-provider relationship

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W O M E N AN D H E ALT H – T O P C O N D I T I O N S (SAMPLE) Similar to research on health issues, the top cost drivers for women vary by age and include both reproductive health and other conditions that impact women differently (Diabetes Cancer, Musculoskeletal)

WOMEN 20s

30s

40s

MEN 50s+

Pregnancy (vaginal) • $653K

Pregnancy w/ Csection • $508K

Osteoarthritis • $560K

Osteoarthritis • $603K

Cancer (Leukemia) • $504K

Pregnancy (vaginal) • $452K

Tumors Gynecological, Benign • $453K

Diabetes • $589K

Pregnancy w/out Delivery • $219K

Headache, Migraine/ Muscle Tens • $301K

Multiple Sclerosis • $421K

Pregnancy w/ Csection • $165K

Pregnancy w/out Delivery • $272K

Rheumatic Fever/ Valvular Dis • $127K

Dysfunctional Uterine Bleeding • $247K

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20s

30s

40s

50s+

Respiratory Disord, Congenital • $102K

Cancer (Leukemia) • $163K

Spinal/Back Disord, Low Back • $417K

Osteoarthritis • $865K

Renal Function Failure • $81K

Spinal/Back Disord, Low Back • $143K

Spinal/Back Disord, Ex Low • $260K

Condition Related Med/Surg • $549K

Cancer (Breast) • $380K

HIV Infection • $78K

HIV Infection • $128K

Diabetes • $188K

Diabetes • $440K

Diabetes • $393K

Overweight/ Obesity • $270K

Diabetes • $54K

Mental Health/SA • $96K

HIV Infection • $153K

Coronary Artery Disease • $364K

Spinal/Back Disord, Low Back • $248K

Hypertension, Essential • $264K

Gastroint Disord, NEC • $40K

Fracture/ Disloc Upper Extrem • $94K

Osteoarthritis • $119K

Cancer (Leukemia) • $357K

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W O M E N AN D H E ALT H – C H R O N I C C O N D I T I O N P R E VAL E N C E ( S AM P L E )

Other Conditions

CardioVascular

Mental Health

Patients per 1,000

Women

Men

Norm

Anxiety

32.9

18.3

22.6

Bipolar

6.7

3.7

4.6

58.7

33.5

37.3

107.4

97.8

64.5

Coronary Artery Disease

8.6

17.4

8.1

Congestive Heart Failure

2.2

1.1

1.4

Asthma

25.3

12.1

22.4

COPD

5.7

1.3

3.9

Diabetes

69.7

66.9

38.0

Osteoarthritis

55.2

35.7

33.5

6.7

1.5

3.1

88.5

72.9

65.7

Depression Hypertension

Rheumatoid Arthritis Low Back Disorder

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KEY OBSERVATIONS : •

Advanced care management programs will target the chronic conditions impacting employees

•

Targeted interventions for specific areas should also be considered as part of a holistic population health management strategy

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W O M E N A N D H E A LT H – T H E CONSUMER • Women account for 80% of all healthcare consumer purchases1 • Average annual healthcare expenditures for all women as of 2011 was $4,315 (versus $3,948 for men)2 • Health categories in which women are the largest consumers: Cosmetic procedures; Aesthetic medical devices; Nutraceuticals; Wellness3

The Healthcare Consumer

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Women are increasingly turning to social media for health care information and sharing their healthcare experiences, recommendations, and decisions3 – but where/how women get their health care information varies across the lifecycle in today’s multi-generational workforce:

“Women: Where do you get your healthcare information today?”5

50% 40%

From a healthcare provider From the internet From family/friends Other sources

30% 20% 10% 0%

Ages 18-29 1. 2. 3. 4. 5. 6.

Ages 30-39

Ages 40-49

Ages 50-64

http://she-conomy.com/report/marketing-to-women-quick-facts CDC (http://www.cdc.gov/nchs/data/hus/2014/106.pdf) The Business Case for Women’s Health, Anula Jayasuriya, MD PhD Pew Internet Project Kaiser Family Foundation, Women’s Health Care Chartbook Fidelity Money Fit Women Study

Age / life stage consideration

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W O M E N A N D H E A LT H – T H E CAREGIVER

The Healthcare Caregiver – “Women as the CMOs of their families”

Mid-Career Women

Late-Career Women

Women in Retirement

• 85% of mothers select their young children’s doctor5 • 84% of mothers take their children to doctor’s appointments5

• 55% of family caregivers are ages 45545 • Many late-career women care for growing children, many of whom are becoming adults themselves, as well as their spouses and often elderly parents5

• On average, women live 6-8 years longer than their male counterparts. Many end up making decisions for their aging spouses and/or caring for their male loved ones as they near death6

• 48% of full time working women have to take time off work when their child is sick5 1. 2. 3. 4. 5. 6.

http://she-conomy.com/report/marketing-to-women-quick-facts CDC (http://www.cdc.gov/nchs/data/hus/2014/106.pdf) The Business Case for Women’s Health, Anula Jayasuriya, MD PhD Pew Internet Project Kaiser Family Foundation, Women’s Health Care Chartbook Fidelity Money Fit Women Study

© MERCER 2015

Age / life stage consideration

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W O M E N AN D H E ALT H – S P E N D O N H E ALT H ( S AM P L E )

Women are spending a significantly higher share of their pay on health care… (Employee health care costs (PEPY) as a % of average annual salary by age, and gender)

Women

13%

Men 13% 12%

11%

8% 6% 4%

20s © MERCER 2015

30s

5%

40s

50s+ 38

W O M E N A N D H E A LT H – S AV I N G S (SAMPLE)

…and have a much lower balance in their HSA Women

Women

Men

Men

$1,745 $3,750 $3,576

$1,517 $1,258

$1,309

$1,300 $1,211

$2,871

$2,650

$705

$3,986 $3,610 $2,925

$575 $1,020

20's

30's

40's

50's+

Salary: Less than $60,000 © MERCER 2015

20's

30's

40's

50's+

Salary:$60,000 $60,000and andHigher Higher Salary: 39

W O M E N A N D H E A L T H – I N N O V AT I O N S T H AT M AT T E R

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DESIRED OUTCOMES • Create greater DEMAND for diverse talent through improving leader competency/knowledge, and increased accountability for results • Improve SUPPLY of diverse talent by optimizing recruitment, selection and retention processes; building focused development programs; and expanding talent pipeline for critical roles • Increase employee ENGAGEMENT and create an environment of greater inclusion to deliver better business and talent outcomes • Increase VELOCITY while accelerating development, engagement and promotion of a diverse group of qualified employees © MERCER 2015

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I THRIVE WHEN…..WE THRIVE WHEN…

Know Your Numbers

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Engage Men

Champion Programs and Inclusion

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