Employee healthcare will be critical for MSME’s, in a post-COVID world. Affordable healthcare and employee benefits are more important for small business to survive post COVID.
Small businesses were, are, and will be the backbone of the Indian economy. According to the Business Standard, “MSME’s contribute 29.7% of GDP and 49.66% of Indian Exports.” With COVID-19 and the nation-wide lockdown though, this critical sector has been hit the hardest.
In the long road to recovery, there are several critical factors. One area though, that can be overlooked, is employee healthcare. The pandemic has put a renewed focus on healthcare, and as people return to work, it will be critical for companies to offer quality healthcare. Especially in light of the fact that a vaccine may not end the pandemic.
Here are five reasons why I believe employee healthcare benefits are critical for MSME’s to survive in a post-COVID world.
1. No End in Sight
Let’s address the elephant in the room first. According to WHO Director-General Tedros Adhanom Ghebreyesus said that there was “no silver bullet” to COVID-19, and that “there might never be.” So, even if we do get a vaccine, all of our problems aren’t going to go away.
Instead, we will have to learn to live with COVID-19. Employees will get infected, recover and return to work. It’s a cycle we have to accept. If companies want to protect themselves, they will have to invest in healthcare. That way, employees will be able to recover from COVID-19 and return to work without worrying about the bills.
2. Healthcare in the Spotlight
COVID-19 has put a new sudden spotlight on healthcare. Now, people are more aware of healthcare tools at their disposal, from teleconsultations to preventive measures. Spurred by initiatives like Ayushman Bharat Yojana and Start-up India, digital healthcare tools are disrupting the market. They are also increasing awareness in rural India, where such messaging would have ordinarily been lost. Now, it is no longer possible to ignore health or healthcare. Wherever you live, there is going to be a demand for quality healthcare. For MSME’s too, this matters as I will explain next.
3. Healthcare Will Attract Employees
Now, job seekers will start closely analysing healthcare benefits before accepting an offer. In light of COVID-19, everyone will be looking carefully at these benefits. It is natural, since people will be going out, interacting with others, and putting themselves at risk.
MSME compliance with healthcare regulations has traditionally been low, 31% as per a KPMG & FICCI survey. However, with healthcare in the spotlight, jobseekers will demand more cover. Safety in the workplace, especially in the service industry, will always be questionable. With healthcare though, at least employees will know the company has their back. This will apply to both existing employees, and potential employees.
4. Disruptions to the Market
Currently, the healthcare market is complex, and expensive. For MSME’s, especially with limited or no profits, the idea of group health insurance may seem like an unnecessary burden. However, there are platforms that are disrupting that though.
Now, Health Tech start-up’s like Onsurity are challenging the norm. With low monthly subscriptions and flexible plans, these healthcare plans for MSME’s are not a financial burden. With models that go beyond health insurance with a comprehensive healthcare outlook, these are increasingly seeming like value-for-money propositions. That will allow more MSME’s to offer healthcare, covering more workers.
5. More than Just Insurance
In a pre-COVID world, employees would have probably been satisfied with just a run of the mill insurance. In a post-COVID world though, that is far from true. Now, people are increasingly looking at healthcare from a more complete perspective – prevention, diagnosis, treatment and medication.
There is a demand for digital healthcare solutions, as well as preventative measures. Fitness, well-being and mental health is all coming front and centre. From counselling sessions to reduced workload and health check-ups, there is a demand for all-round care. It will be the key differentiating factor, especially for white-collared jobs, when it comes to attracting talent.
There are of course, many more reasons, but I believe these five are the key engines that will drive forward the demand for corporate healthcare plans.Corporate healthcare plans are moving towards becoming a nationally recognised need. They have been a regular feature of MNC’s, but now, MSME’s are being brought into the fold. It is paramount that they do and do so in a way that reflects the changing need for quality healthcare.
Yogesh Agarwal
Founder – Onsurity
