General Session Wednesday, 11:00 am-12:00 pm

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1 Impactful Diversity & Inclusion Strategies for the Workplace BRYON BASS, CLMS SEDGWICK Agenda Why differences matter: changing demographics IBI study on leave patterns across generations Generations and Absence Management Employer response Tying it all together Questions Understanding differences - dimensions Internal Race Ethnicity Sexual orientation Abilities Age Gender Gender identity External Veteran status Marital/parental status Value/beliefs Appearance/image Geographic location Education Religion Language Accent Organizational Business unit Tenure Full/part time status Industry Department/function Legacy/acquired Leadership style Supplier Technical Experience Position title Hourly/Salary Work Location

2 Why differences matter Changing demographics By 2030, all Boomers will be 65+ from 13.7% in 2012 to 20.3% in Source: U.S. Census Bureau, 2012 Population Estimates In 2056, for the first time, the older population, age 65+, is projected to outnumber the young, under age 18

3 U.S. racial/ethnic diversity U.S. Population, Actual and Projected: 2015 and 2055 Race/Ethnic Group White 62% 48% Black 12% 13% Hispanic 18% 23% Asian 6% 12% Source: Pew Research Center, 2015 Note: All races modified and not Hispanic: American Indian/Alaska Native not shown By 2050, there will be no racial or ethnic majority among the Aging general and retirements population of the United States. Source: Pew Research Center, 2015 Language challenges Speaks a language other than English at home 21% Spanish or Spanish creole 62% French 2.1% Chinese 4.8% Korean 1.9% Source: U.S. Census Bureau, American Community Survey 2016

4 Leave patterns across generations Planning for the future workforce: Leave Patterns Across Generations Integrated Benefit Institute, December New STD claims by generation Baby Boomers are more likely than younger employees to have a disability claim. Within generations, females are more likely than males to have a claim. Musculoskeletal claims are more common among Baby Boomers. Source: Planning for the future workforce: Leave Patterns Across Generations Integrated Benefits Institute, December 2016 Average lost workdays and costs per STD claim Older claimants tend to have more lost workdays than their younger peers. Wage replacement gap is evident among male and female claimants. Source: Planning for the future workforce: Leave Patterns Across Generations Integrated Benefits Institute, December 2016

5 Generations and absence management Generations Four main generations in the workforce Veterans (born between 1922 and 1945) Baby Boomers (born between 1946 and 1964) Generation Xers (born between 1965 and 1980) Generation Y or Millennials (born after 1980) Each group has its own distinct characteristics, values, and attitudes toward work, based on its generation s life experiences. Generations Workplace characteristic Work ethic and values Veterans (1922 and 1945) Hard work Respect authority Sacrifice Duty before fun Adhere to rules Baby Boomers ( ) Workaholics Work efficiently Crusading causes Personal fulfillment Desire quality Question authority Generation X ( ) Eliminate the task Self reliance Want structure and direction Skeptical Generation Y /Millennials (1981 -) What s next Multitasking Tenacity Entrepreneurial Tolerant Goal oriented Work is An obligation An exciting adventure A difficult challenge A contract A means to an end Fulfillment Leadership style Directive Command and control Consensual Collegial Everyone is the same Challenge others Ask why *TBD Interactive style Individual Team player Loves to have meetings Entrepreneur Participative Communications Formal Memo In person Direct Immediate E mail Voice mail Feedback and rewards No news is good news Satisfaction in a job well done Don t appreciate it Money Title recognition Sorry to interrupt, but how am I doing? Freedom is the best reward Whenever I want it, at the push of a button Meaningful work Messages that motivate Your experience is respected You are valued You are needed Do it your way Forget the rules You will work with other bright, creative people Work and family life Ne er the twain shall meet No balance Work to live Balance Balance *As this group has not spent much time in the workforce, this characteristic has yet to be determined. Source: Generational Differences at work Do They Exist of Not October 2014

6 Generations Generational differences should impact your approach to: Communication Electronic vs. paper Genius bar Return to work programs Accommodations Generations Veterans Veterans Considered most loyal workers They are highly dedicated and the most risk averse Strong commitment to teamwork and collaboration Veterans now consist of the most affluent elderly population in U.S. history due to their willingness to conserve and save after recovering from the financial impact of the postwar era Impact on claim management Highest potential for claims related to health Most costly claims Generations Baby Boomers Baby Boomers First generation to actively declare a higher priority for work over personal life They generally distrust authority and large systems They are responsible for the Me Generation, with its pursuit of personal gratification, which often shows up as a sense of entitlement in today s workforce Impact on claims management Current 1/5 of the workforce Medical care provider shortage Durations are longer Need to return to work financially

7 Generations Generation X Generation Xers Often considered the slacker generation Naturally question authority figures Responsible for creating the work/life balance concept Possess strong technical skills More independent than the prior generations Impact on claims management Push for non traditional work environments telecommuting, job sharing will impact RTW programs Recognition that they will be less likely to feel compelled to go back to work little to no loyalty Communications will need to be highly electronic and on demand Generations Generation Y Millennials or Generation Ys First global centric generation Most resilient in navigating change Deeper appreciation for diversity and inclusion Impact on claims management Most medically documented generation to ever be covered in our systems Pre existing conditions, accommodations Most heavily medicated generation to ever be covered in our systems Co morbidities will need to managed closely and with stronger communication Durations will be longer with co morbidities Communication will be primarily electronic they will push the boundaries of what systems can handle today from a privacy and technical level Ethnicity Co morbidities will change their prevalence by location and ethnic group Obesity Diabetes Other Research is still being done to identify trends that will impact disability and absence management programs Key issues Urban vs. rural Food deserts lack of fresh food Urban vs. rural access to medical care Changing health system urgent vs. ER care Cultural sensitivities Access to medical personnel of similar faith and beliefs Language Transportation Family dynamic patriarchal, matriarchal

8 Emerging issues Racial and ethnic health care disparities Lower end health care facilities Constraints on resources Geographic availability of healthcare institutions may have a more significant impact on minorities (Kahn et al, 1994) One in four pharmacies located in predominantly non white neighborhoods carries adequate supplies, compared with 72% in white neighborhoods. (Morrison et al., 2000) Cost Control efforts and the movement to managed care may pose greater barriers to care for racial and ethnic minorities than for non minorities. (Rice, unequal treatment, institute of medicine) Disruption in community based care Emerging issues Ethnic differences in pain and stress Racial and ethnic disparities in pain perception, assessment, and treatment were found in all settings (i.e., postoperative, emergency room) and across all types of pain (i.e., acute, cancer, chronic nonmalignant, and experimental). Pain Medicine, vol. 4, issue 3 Stress levels reported higher in black employee groups than Hispanic Issues which can have an immediate impact Access to multilingual physicians Robert Wood Johnson Foundation reports as many as one in five Spanish speaking Latinos reports not seeking medical care due to language barriers Access to multilingual informational pamphlets, posters, etc. Access to multilingual claims reporting lines Improves communications Reduces fear and misunderstanding Improves level of care Reduces litigation potential Managing list of providers to ensure appropriate balance by ethnicity, location and access

9 The employer response Positioning the company for the future Need collaborative environment All employees share ideas All employees are heard All employees innovating together to deliver on shared purpose Inclusive leaders All employees feel welcome All employees comfortable bringing their authentic selves All employees are engaged and empowered to be high performers From diversity to inclusion Strategies to manage and appreciate differences International celebrations Finding similarities in the apparent differences What makes me, me Unconscious bias training Understanding your personal biases and learning to work around them Generational training Work ethic differences = different work styles Interactive activities Bring people with different backgrounds together

10 Impact on claims Higher population of people working beyond age 65 Injuries are different for age groups: healing time, co-morbid conditions Increase in translation services and languages used Varied expectations Managing claims in other countries Employees use and interest in using technology Preference of communication methods Tenure and organization loyalty, having the drive to return to work Tying it all together Cultural competency and culturally responsive care To decrease healthcare disparities and disability and absence management costs, employees must be culturally competent

11 The goal Integrate cultural competency into claims management best practices to reduce potential friction that could lead to litigation, impede recovery and delay return to work productivity improve outcomes To deliver culturally responsive care, organizations must: Understand uniqueness and why it matters Improve employees cultural competence Cultural competency Cultural competence is the ability to have awareness to understand and appreciate differences, have the capability to learn the varying cultural complexities that exist and adjust accordingly For employees to be culturally competent, organizations must focus on: Uniqueness diversity The extent to which colleagues believe they are respected and valued for who they are Belonging inclusion + = The extent to which colleagues feel comfortable being their authentic selves Engagement Discretionary effort The extent to which colleagues are committed to the organization and its goals

12 Culture of belonging where differences matter When colleagues feel valued and a part of the greater whole, they are more engaged, put discretionary effort into their work, and care more about each other and their claimants Cultural competency & meaningful connections Culturally competent employees are able to engage across differences, deliver better service, and reduce friction in the claims process Culturally responsive care Culturally competent and engaged employees have a stronger emotional connection to their clients claimants and help facilitate better outcomes Session take-aways Focus on uniqueness Understand demographic data of claimants Focus on authenticity and individuality Build a culture of belonging Share a common purpose Create opportunities for employees to connect Improve employees cultural competency Identify unconscious biases and barriers in the claims process Provide cultural awareness and sensitivity training to employees Create a cultural responsive care model with tangible actions Thank you. Questions?