Mumbai: Despite hike in the health
premium costs, over 40 per cent of Indian companies consider
health care cover as a value differentiator for employees and
use it in the hiring and retention strategy, a survey said.
"Rising premium costs have not reduced the importance
of health care cover as an employment value differentiator and
that Indian companies continue to use it as a part of their
hiring and retention strategy," Watson Wyatt, a global
consultancy firm said in its Health Care Benefits survey.
"Almost 41 per cent of the companies use health care
cover as a talent attraction and retention tool, while 11 per
cent use it to minimise losses arising out of employee health
issues," the survey said.
The survey covered 125 of India's largest employers
and from across industries, mainly from the private sector,
reporting an average revenue of more than Rs 400-crore.
According to the survey, most of Indian companies
providing health care cover to their employees are grappling
with an average 10 per cent rise in premiums over the last
three years.
"Rising health care costs are making corporates strive
to strike the balance between increasing premium costs and
their talent management strategies," Watson Wyatt India Head
of Benefits Practice, Kulin Patel, said.
-PTI
First Published: Monday, December 28, 2009, 18:53