Cost concerns rise, but plan sponsors are missing longer-term opportunities: Q2 2025 People Solutions Market Update

With benefit plan costs continuing to rise, plan sponsors are under growing pressure to make plan changes.

Despite mounting pressure, the 2025 Lockton National Benefits Survey found that plan sponsors have been hesitant to make strategic cost-saving changes. Rather than viewing member disruption as only a risk when making plan changes, Lockton sees an opportunity for plan sponsors to take a longer-term view, one where health plans are a lever for improving care and implementing positive change that can guide employees to better options and drive sustainable savings.

  • Employers are recognizing the need to reduce costs, yet few are implementing progressive benefits’ cost-saving tactics.

  • HR leaders are focusing on long-term priorities, addressing emerging skills gaps, leadership development, and generational expectations.

  • Meanwhile, the shifting political landscape requires careful consideration of how policy changes may impact employees and benefits strategies.

Read more in the Q2 2025 People Solutions Market Update. (opens a new window)

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