AECOM M&A Change Management

AECOM enlisted Blue Communications for a significant change management initiative: merging 40,000 new employees into its benefits program while focusing on the needs of the employee and the shared needs of the business.

Client: AECOM
Industry: Architecture, Building and Construction
Number of Employees: 95,000 Globally

AECOM is a global provider of professional technical and management support services whose U.S. workforce recently grew from 10,000 to 40,000 employees nationwide. The cost to provide health care to 40,000 employees and their dependents under the existing AECOM benefits program would impact the company’s bottom line so significantly that it would jeopardize long-term competitiveness and viability. So, when they needed assistance to introduce significant benefit program changes — particularly affecting the medical plan options and their cost — they turned to Blue Communications. Together with AECOM’s consulting team of Towers Watson and Aon Hewitt, Blue created a successful multimedia campaign featuring a new brand for 2016 Open Enrollment communications, It Takes Two. Us & You., that conceptually shifted the focus from the needs of the employee to the needs of the employee and the shared needs of the business. The campaign emphasized that both employees and the company have important needs and responsibilities, and must work together to manage costs, build a strong business and achieve AECOM’s ultimate goal: to deliver a better world.

The campaign delivered enrollment results that exceeded everyone’s expectations:

  • Enrollment in the High Deductible Health Plans (HDHPs) increased from 68% to 81%, far surpassing management’s goal to maintain current enrollment levels. And, more than half of the HDHP enrollees elected the option that provides the most overall plan value for AECOM and the majority of employees.
  • By the end of Open Enrollment, 75% of employees had registered on the new benefits enrollment site and 80% of eligible employees had enrolled for their 2016 benefits. These numbers demonstrate that employees read the communications, understood the importance of making new choices for 2016, and wanted to make active, informed choices rather than be enrolled in default options.
  • In addition to registering on the new benefits website, employees took the time to learn about their new benefits: an online Health Plan Comparison tool was accessed by nearly 25,000 employees.

Due to the new benefits program, new cost sharing approach, successful plan migration results and a touch of Blue, AECOM was able to limit their projected 2016 health care costs to approximately twice as much as their 2015 costs rather than four times their 2015 costs. AECOM’s savings will be realized while continuing to provide excellent family-friendly, cost-effective choices for employees and their families.