Public sector employers have long understood the value of offering comprehensive benefits to attract and retain talent. From robust health plans to pension programs and wellness incentives, benefits are a key part of the employee experience. But offering a wide range of benefits is only half the equation — understanding whether they’re making the right impact is the other. The key? Employee data.
According to a recent Gallup poll, only 24% of U.S. employees strongly agree that their organization cares about their wellbeing — a figure that dropped sharply after 2020. Meanwhile, public sector HR teams are under more pressure than ever to stretch budgets, manage rising healthcare costs, and support a workforce that expects personalization, transparency, and results.
Follow along as we unpack the importance of employee data, specifically, employee benefits data that helps you close the gap between what your workforce needs and what your programs are actually delivering.
The Disconnect Between Offerings and Outcomes
It’s not uncommon for public employers to offer an impressive benefits menu, but when asked, employees may not fully understand what’s available or how to use it effectively. This disconnect leads to underutilized programs, missed cost-savings opportunities, and, ultimately, a weaker return on investment for your organization.
Consider this: Mercer’s 2023 survey found that while 70% of employers said they provide mental health support, less than one-third of employees reported being aware of or using those resources. This misalignment can result in a gap between intention and impact, and in the public sector, where transparency and stewardship matter deeply, that gap can have real consequences.
Why Employee Data Is Your Strategic Advantage
The answer isn’t more benefits. It’s smarter benefits, delivered through better insights.
By collecting and analyzing employee benefits data, HR teams can uncover:
- What’s being used (and what’s not)
- Which demographics are engaging with certain offerings
- When and how employees are accessing programs
- How different programs are impacting key metrics like absenteeism, healthcare claims, or turnover
For example, tracking Open Enrollment engagement can help you identify gaps in communication by location, age group, or department. Monitoring wellness program participation can signal whether certain incentives are falling flat or need to be more personalized. When you pair this data with workforce feedback, you gain a 360-degree view of what’s working — and what needs adjustment.
As McKinsey puts it, benefits optimization through analytics is no longer a luxury — it’s a necessity for organizations looking to drive performance and wellbeing in tandem.
Turning Insight into Impact
Data alone won’t transform your program — action will. Here are three steps public sector leaders can take to translate insights into results:
1. Align Benefits with Employee Needs
- Start by identifying gaps between what your workforce says it needs and what your benefits program is delivering. Tools like pulse surveys, focus groups, and enrollment analytics can help paint a clearer picture. For instance, if your wellness program is underperforming among Gen Z employees, that could indicate a need for mobile-first communication or different incentive structures.
2. Tailor Communications by Audience
- Generic emails during the OE season don’t cut it anymore. Use data to segment your communications by job role, age, location, or life stage. Personalized outreach — such as reminder texts for those who haven’t selected a plan or benefit highlights relevant to specific employee groups — increases engagement and shows your team that you’re listening.
3. Measure ROI Over Time
- Implement metrics that tie benefits utilization to organizational goals. Are your healthcare cost-containment strategies reducing unnecessary ER visits? Has your mental health EAP usage increased since you shifted vendors? Tracking this kind of data over time can justify budget decisions and support compliance and audit reporting, both crucial for public agencies.
Build a Culture of Evidence-Based Benefits
Using data isn’t just about proving value. It’s about building a benefits strategy that’s equitable, responsive, and sustainable.
In a sector where resources are limited and accountability is high, data-driven benefits administration empowers HR and finance leaders to make smart, confident decisions. When employees see that their needs are reflected in the programs you offer — and when those programs are delivered with clarity and purpose — you build trust, boost morale, and reduce turnover.
That’s how you close the benefits impact gap.
Want to learn how Bentek can help you turn data into actionable insight? Let’s Talk!
