August 20, 2024

Key Takeaways

• In 2025, 85% of employers will collaborate with employee resource groups (ERGs) to promote benefits and well-being initiatives, making it the primary way employers are working to reduce gaps in health equity.
• To address affordability and access, 83% of employers are committed to adopting at least one major strategy by 2025, including designing pharmacy benefits that remove cost barriers for generics and preventive medications and introducing health plans with lower deductibles.
• By 2025, 89% of employers are set to implement specialized health strategies for LGBTQ+ employees, with 76% already providing comprehensive gender-affirming care.
• Employers continue their quest to better support women’s and reproductive health, from expanded coverage of postpartum depression treatments to more robust preventive care coverage and coverage of doula services for expecting parents.
• Initiatives for employees with disabilities or who are neurodiverse are also growing, with 70% of employers developing targeted health strategies to meet their specific needs.

In 2025, employers are doing more than just continuing their efforts to forge a healthier, more equitable workforce. They are also intensifying these efforts through a series of targeted health equity initiatives. From enhancing the inclusivity of health and well-being programs to addressing critical social determinants of health, employers are increasingly taking a holistic and proactive approach.

Maintaining Momentum in Health Equity Initiatives

In 2025, 85% of employers will collaborate with ERGs to promote benefits and well-being initiatives, making it the primary way employers are working to close gaps in health equity (Figure 7.1). These ERGs are not just support networks; they are powerful platforms driving organizational change by directly addressing the unique health needs of specific employee groups.

Furthermore, there is a growing partnership between employers and health care providers aimed at dismantling barriers to care. Over half of the employers (55%) are enhancing their collaborations with health plan and navigation partners to ensure that provider directories reflect the cultural competencies necessary for inclusive health care. Employers’ dedication to transparency and accountability is also strengthening, with 41% now requiring their health plan partners to deliver detailed reporting on health equity.

These concerted efforts are more than a response to immediate needs; they are investments in the long-term well-being of employees, setting the stage for a healthier, more inclusive future. Projections indicate that 90% of employers will implement at least one of these health equity strategies by 2025, as shown in Figure 7.1.

Ensuring Affordability in Health and Well-being Programs Is Key

There is a strong trend among employers toward enhancing affordability in health and well-being programs. A notable 83% of employers are set to adopt at least one major strategy by 2025 to make health care more accessible financially. Initiatives such as designing pharmacy benefits with no cost for preventive medications and/or generics have already been implemented by 52% of employers, demonstrating a proactive approach to reducing out-of-pocket expenses for essential care. Additionally, 50% are offering health plans with lower deductibles or coinsurance to ease the financial burden on employees who earn a lower wage, ensuring that more workers can afford necessary health care without financial strain (Figure 7.2). These strategies reflect a commitment to employee health and demonstrate employers’ efforts to make health care more affordable and accessible. These efforts align with employers’ concern about the overall increase in health care costs and their need to address this ongoing problem (see Part 2 for more information about this topic).

Continued Expansion of Benefits to Support LGBTQ+ Employees

The commitment of employers to enhance the inclusivity and reach of their health and well-being programs continues to deepen, particularly for LGBTQ+ employees. By 2025, 89% of employers will have implemented specialized strategies to address the unique health needs of this community, reflecting a substantial increase in commitment over the past year. Notably, 76% of employers have already incorporated comprehensive gender-affirming care options, such as facial feminization and voice modifications, up from 71% in the previous year (Figure 7.3). Additionally, the expansion of fertility benefits to accommodate all types of families without the necessity for an infertility diagnosis will be adopted by upward of 87% of employers by 2027, indicating a broader understanding and support for diverse family structures (Figure 7.3). These strategic enhancements not only champion the right to equitable health care but support organizational efforts to foster an inclusive workplace environment.

Enhanced Focus on Women’s and Reproductive Health

Building on a well-established foundation of women’s and reproductive health benefits, employers indicated in the survey a notable expanded focus in supporting employees who are going through menopause. While a sizeable percentage of employers (28%) already offer targeted support for menopause, an additional 51% are planning to expand these initiatives in the next few years (Figure 7.4). This expansion is the largest area of growth in women's health programs, emphasizing a deeper understanding and commitment to the comprehensive health needs of women at all stages of life.

Moreover, as shown in Figure 7.4, coverage for identifying high-risk pregnancies continues to be a priority, with 37% of employers integrating these services in their maternity programs to ensure the well-being of both mothers and infants from underrepresented populations. Already, 47% of employers provide comprehensive coverage for postpartum depression, with a potential increase of 22% in the next 3 years, reflecting a continued commitment to mental health during the challenging time after childbirth (Figure 7.4).

Advancing Workplace Inclusivity of Employees with a Disability or who Are Neurodiverse

The survey results reflect a broader trend toward creating more inclusive work environments that recognize the unique challenges faced by neurodiverse and disabled employees and actively seek to mitigate those challenges through targeted health care strategies. By 2025, 70% of employers will implement at least one strategy designed specifically for these populations. Half of employers have already expanded their benefits coverage to address the more common needs of disabled employees, including provisions for hearing aids, vision care and assistive devices. In 2025, 32% of employers will be offering navigation and coaching services to ensure that the neurodiverse population can effectively access the health care system, and another 24% of employers are considering adding similar services over the next 2 years (Figure 7.5).

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EY's focus on success enablers rather than accommodations helps create a psychologically safe environment for neurodivergent employees to bring their whole selves to work. Examples of these enablers include access to coaching and counseling sessions, job coaching and a range of supportive measures that do not require managerial oversight. These practices are integrated from the recruitment phase and are available to all employees, ensuring that neurodivergent individuals can succeed without needing to disclose their conditions formally."

- Jamell Mitchell, EY

Addressing Social and Economic Factors in Employee Health

In 2025, social determinants of health (SDOH) remain a core component of employer-driven health equity initiatives. This continued interest in SDOH reflects employers’ deeper recognition of the broader factors that impact employee well-being. In addition to their focus on health care, this year, 60% of employers are proactively addressing the financial and income challenges that affect their employees' health in different ways; a further 12% are planning to engage with these issues in 2025 (Figure 7.6). This focus is a response to the increased awareness of the profound impact that financial stability has on overall health outcomes and quality of life.

Additionally, other critical areas such as childcare and racism are being addressed by 41% and 34% of employers, respectively, showcasing a commitment to tackling the various social conditions that contribute to health disparities. In particular, childcare continues to be recognized for its dual impact on early childhood development and employee productivity, with more employers planning to enhance support in this area through subsidized on-site childcare, family service benefits and priority placement at national daycare centers. Moreover, issues like food security and transportation are gaining attention, with a potential of 21% and 17% of employers (respectively) considering for 2026/2027 (Figure 7.6). These initiatives reflect an evolving understanding among employers that health is influenced by a myriad of interconnected factors beyond traditional medical care.

Related Business Group on Health Resources

To learn more on how to address the topics in this section, see the following Business Group member resources:

• 15th Annual Employer-Sponsored Health and Well-being Survey
• A Closer Look at the Evolution of Inclusive and Equitable Transgender Benefits and Policies
• Become an Employer of Choice: Prioritizing Women’s Health in Global Benefits Design
• Employer Guide to Health Equity
• Health Equity in Global Workforce Strategy

More Topics

Resource Diversity, Equity, Inclusion & Belonging (DEIB) Health Equity