Ontario Municipal Human Resources Association

Workplace culture is often discussed in terms of leadership behaviours, organizational values, employee recognition, and psychological safety. While all of these play an important role, culture is also shaped by the practical decisions organizations make every day. One of the clearest examples is an organization’s group benefits plan; not simply what it covers, but how it is designed, communicated, and experienced by employees.

A benefits plan is more than the plan design. It reflects an organization’s priorities, demonstrates how it chooses to invest in its people and influences how employees experience support throughout their employment.

This relationship between workplace culture and employee benefits is reflected in the findings of the 2024 Benefits Canada Healthcare Survey. Conducted annually, the survey gathers perspectives from both Canadian plan sponsors and plan members, providing valuable insight into the trends, expectations and experiences shaping workplace health, well-being, and group benefits.

One finding is particularly compelling. Plan members were asked whether they agreed with the statement: “My employer’s workplace culture encourages health and wellness.” Three-quarters agreed. Among those employees, 91% were satisfied with their jobs, 83% felt comfortable being their authentic selves at work and 81% rated the quality of their benefits plan as excellent or good.

The contrast was equally telling. Employees who did not believe their workplace culture encouraged health and wellness were significantly more likely to report poor overall health, poor mental health and a workplace that did not support mental wellness. They were also less likely to rate the quality of their benefits plan positively.

While the survey does not establish cause and effect, it points to a clear relationship: employees who perceive their workplace as one that supports health and wellness are also more likely to report positive experiences at work. This includes greater job satisfaction, a stronger sense of belonging and more favourable perceptions of their benefits plan. For employers, it reinforces that cultivating a culture that supports employee well-being does not just influence health outcomes; it also shapes how employees experience the organization and the support it provides.

The Same Plan Can Tell A Different Story

Two organizations can offer very similar benefits plans yet create very different employee experiences. In one organization, employees understand what is covered, know where to go for help and appreciate why certain plan management strategies are in place. Leaders are comfortable directing employees to available resources, and changes are communicated openly and transparently. In another organization, employees primarily encounter their benefits when a claim is declined, additional information is requested or a new limitation comes as a surprise. The plan design may be similar, but the employee experience – and ultimately the perception of the employer -is not.

What About Plan Design?

Plan sponsors recognize that the design of their benefits plan sends a message to employees about what the organization values and how it supports its people. At the same time, of course, no employer has unlimited resources. Employers are continually balancing employee needs with affordability, rising healthcare costs, collective agreement obligations, and the responsibility to steward finite plan dollars responsibly. There are rarely perfect answers, only thoughtful decisions.

If resources were unlimited, most employers would gladly expand coverage, introduce new benefits, and respond to emerging employee need. The reality, however, is that every enhancement comes with a cost, requiring employers to make thoughtful choices about where limited dollars can have the greatest impact.

The objective is not to eliminate difficult decisions. Rather, it is to ensure those decisions are informed by a thoughtful understanding of employee needs and supported by meaningful communication.

Employee engagement should be an ongoing part of benefits governance – not just something that happens during renewal or collective bargaining.

Employee surveys, focus groups, utilization reviews and meaningful conversations with employees, providers and benefits advisors can help organizations better understand evolving needs, identify gaps, and make thoughtful, informed decisions. Just as importantly, these conversations create opportunities to explain the rationale behind difficult decisions. Employees may not agree with every aspect of their benefits plan, but understanding that decisions were made thoughtfully, informed by employee feedback and with the goal of providing the greatest possible value across the workforce can foster greater trust and appreciation.

Communication itself is also an important part of the employee experience. The 2025 Benefits Canada Healthcare Survey found that only 53% of plan members said they understood their benefits plan very well or extremely well, while 70% of plan sponsors believed they communicated plan coverage effectively. That gap suggests there is still significant opportunity to help employees better understand the support available to them.

Workplace culture is shaped by the many decisions organizations make over time.  A benefits plan may be just one of those decisions, but when thoughtfully designed and communicated, it can play an important role in how employees experience their workplace.