As we celebrate Labor Day, it’s important to consider how healthcare is evolving for workers and firms. Healthcare spending is on the rise, surpassing inflation rates. A recent Aon study predicts that employer healthcare expenditures will increase by 9% in 2025, exceeding $16,000 per employee. To save costs, many employers are turning to direct contracting with healthcare providers. BenefitsPro notes that 75% of employers have either considered or utilized direct contracting, with 41% planning to do so by 2025. Additionally, KFF reports that the average annual premium for employer-sponsored health insurance is $8,435 for single coverage and $23,968 for family coverage in 2023. Employees contribute significantly to these costs, with workers at small firms contributing a higher percentage for family coverage compared to those at large firms. Stay updated on workers’ health care quality and costs by following the Healthcare Economist blog.
