Protest Unlikely

Despite the prevalent benefit package tinkering going on in Detroit, don't expect a protest movement that has workers leaving their employers en masse, experts say.

“I'm sure there are people who will find jobs and probably take off,” but they will be the exception, says Mark Olson, a Boston-based principal with human resources consultant Towers Perrin.

“When you look at what the top drivers are for retention and engagement, changes in health care don't typically come up near the top,” Olson tells Ward's.

The high cost of health care and other benefits is overwhelming. The Chrysler Group, whose expected $2.3 billion health-care bill for 2006 is nearly double the amount it spent in 2000, is the latest to make changes.

“We all have to do our part going forward,” Chrysler President and CEO Tom LaSorda writes in an e-mail to employees. “Future incremental pre-tax premium increases for all salaried employees beyond 2007 will follow this pattern of ‘the more you make, the more you will be asked to contribute,’ and any future percentage increases will be reviewed on an annual basis to reflect health-care and wage economics.”

But developments such as this should have a negligible impact, Olson suggests.

“Some people will get upset about it and certainly complain about it,” he says. “I'm not sure that this is going to lead to an exodus.”

Latest research conducted by Towers Perrin suggests employer attitude has more to do with employee retention levels than health-care benefits.

“It's more things like, ‘They value my skills. I'm developing new skills. Senior management is interested in my well-being,’” Olson says.