Supporting Black Employees’ Wellness: Tips for SMB Leaders

Quick look: February is Black History Month, an opportunity to honor and celebrate the achievements, contributions, and rich history of people of African descent in America. It’s also a reminder of the vital role employers play in fostering inclusive, equitable workplaces. While much progress has been made over the years to highlight the multiple facets of Black health and wellness in the workplace, we acknowledge there is still much to uncover, amplify, question, and correct.

Established by Carter G. Woodson as Negro History Week in 1926, Black History Month became widely acknowledged in the 1970s and has gained national importance as an opportunity to recognize the accomplishments, culture, and experiences of African Americans throughout history.

Strengthening employee health and wellness is important for small- and medium-sized businesses (SMBs) but becomes even more significant for individuals whose needs have been historically overlooked or marginalized.

Here’s how you can start supporting the wellness of your Black employees.

Identify any compensation disparities

One of the first steps an employer can take to promote health and wellness for Black employees and those from other marginalized groups is to evaluate compensation equity closely. According to the Department of Labor’s Office of Federal Contract Compliance Programs, on average, for every dollar a White worker earns, a Black employee earns just 76 cents.

Employers can make an impact by scrutinizing pay policies and implementation, going as far back as company records allow. Gut feelings or general assessments are not sufficient. The only way to obtain an accurate measurement is to compare as many factors as possible, including job descriptions, education levels, geographic location, years of experience, promotions, and soft skills.

Many SMB employers find these answers in their human resources information system (HRIS) software. ExtensisHR’s DEI Dashboard program compares data on turnover, promotions, pay equity, and more. These “apples-to-apples” comparisons enable business leaders to see if their organization’s pay scale is weighted disproportionately toward or away from a particular group.

Re-evaluate benefit offerings

One-size-fits-all employee benefits packages fail to address the needs of today’s workforce and may inadvertently exclude certain groups. Here are some ways SMB employers can adjust benefits to support Black workers:

Choose inclusive healthcare providers

Racial discrimination abounds in healthcare, creating alarming consequences. Per a recent KFF survey, 18% of Black adults and 21% of Black women say they’ve been treated unfairly or with disrespect by a medical provider in the past three years because of their race or ethnic background. Further, 60% of Black adults report they prepare for possible insults from healthcare staff and believe they must be very cautious about their appearance during appointments.

While healthcare has a long way to go to create an equitable environment, representation matters. According to the KFF research, Black adults who had at least half of their recent visits with a provider of a similar background are more likely than those who have fewer of these visits to say that their doctor:

• Explained things in an understandable way (90% vs. 85%)
• Involved them in decision-making about their care (84% vs. 73%)
• Understood and respected their cultural values or beliefs (84% vs. 76%)
• Asked them about their social and economic factors (39% vs. 24%)

To promote these positive occurrences, business leaders can work with their broker or professional employer organization (PEO) to select coverage with diverse in-plan physicians when health plans are approaching renewal.

Consider coverage for at-risk individuals

Consult your insurance broker or PEO company to identify healthcare providers who promote coverage for specific conditions for at-risk individuals. Per the U.S. Department of Health and Human Services, “at-risk individuals” refer to children, pregnant women, and older adults, plus individuals from diverse cultures, those who have transportation disadvantages, and individuals experiencing chronic health conditions.

Some examples of benefits supporting at-risk individuals may include fertility and adoption services, chronic disease and care management, and disability-inclusive medical coverage (e.g., speech therapy, physical therapy, hearing aids, and other accessibility resources).

Re-think PTO

Paid time off (PTO) has evolved over recent years from basic “vacation days” to cover an entire spectrum of clearly defined and, in some cases, legally protected situations. However, thoughtfully designed PTO policies are essential to ensure they effectively meet the needs of Black workers. Research from the American Journal of Public Health reveals that just 59% of Black workers have access to paid medical leave.

Under the Family and Medical Leave Act (FMLA), eligible workers are entitled to time off for their or their loved ones’ certain health matters. And while no federal requirement exists for private employers to provide paid sick leave, many states and municipalities have enacted laws mandating employers to offer it. However, not all employees realize these benefits are available.

Employers should ensure all workers have access to clear information about company PTO policies and encourage them to take time off when needed.

Promote mental health offerings

The above KFF research shows that at least half of Black adults have experienced one or more types of discrimination in daily life in the past year. Additionally, it found that those who face prejudice in their everyday lives are more likely to say they always or often felt anxious, lonely, or depressed in the last 12 months.

At the same time, according to Psychiatric Times, only 25% of Black Americans seek mental health treatment, compared to 40% of white Americans.

SMB employers can reinforce staff members’ mental and emotional well-being by selecting healthcare plans with comprehensive mental health support services. Employee assistance programs (EAPs) are also beneficial, as they include free, confidential access to licensed counselors. Inform employees about available mental health benefits and encourage participation. Emphasizing stress reduction and promoting mental well-being creates an environment where employees are more likely to take advantage of these valuable benefits.

Close the gap with a supportive partner

Creating a diverse, equitable, and inclusive work environment requires continuously assessing where your business is improving and where work remains.

Black History Month is a great reminder to evaluate how your company bolsters Black employees’ health, wellness, and careers—but lasting change requires a year-round commitment.

Many SMBs lack the internal resources to implement a robust DEI program, which is why they often turn to a PEO company or other diversity experts for support. Working with experienced HR specialists ensures your efforts are meaningful, compliant, and strong enough to create lasting change.

For example, the experts at ExtensisHR can help you:

• Access Fortune 500-level employee benefits, including mental health coverage and EAPs, at an affordable rate by leveraging our large-group pricing
• Identify race and gender disparities in pay, turnover, and promotions with our DEI Dashboard
• Develop and maintain an employee handbook that clearly communicates PTO and other leave policies
• Answer many of your employees’ questions with our readily available Employee Solution Center team who answer phone calls in 10 seconds or less

We’re here to help you make your workplace fair and equitable for Black employees and other people of color. Learn more about ExtensisHR’s PEO solution, or contact us today to start a conversation.