Preparing for uncertainty

1. Preparing for uncertainty March 26, 2010Prepared for: CIGNA

2. Table of contents

3. Study objectives and methodology • Yankelovich, a part of The Futures Company, conducted a survey among U.S. full- and part-time employees on behalf of CIGNA, in order to: • Determine whether the meaning of work as it relates to wellbeing (whether employees “live to work” or “work to live”) has changed over time • Understand whether employees believe injury or illness are a risk that can be managed • Learn what steps, if any, consumers have taken to prepare for the possibility of being out of work either through job loss or unexpected illness or injury • Understand employee awareness of programs and services that are available • Survey results were obtained through phone interviews among a national sample of 956 full and part-time employed Americans, aged 18 and over. Interviews were conducted March 4th through March 8th, 2010. • This random-digit-dial sample was fully replicated and stratified by region. Only one interview was conducted per household. All sample numbers selected were subject to up to four attempts to complete an interview. • The sampling error for this study is +/- 3.1 percentage points.

4. Study objectives and methodology (continued) • For tracking purposes two questions used in this year’s study were also asked in 2009. Those questions are: • “Which of the following most closely fits with how you would describe your view of your job?” • And a follow up question: “Can you tell me why you think that’s the case?” (among those who described their view under “live to work”) • In 2009 the study was conducted among full-time employees only (N = 742); therefore, the year-over-year comparisons are made with those full-time employees surveyed in 2010 (N = 762). • Statistically significant differences between 2009 and 2010 are denoted by an asterisk (*) or are contained in a red box ( ). (Significant at the 90% confidence level)

5. Key takeaways

6. Key Takeaways - The recession continues to take its toll • People continue to value the role that work has in their lives • How people relate to their jobs is a shifting landscape (Findings among full-time employees only) • Today, fewer full-time employees say they are primarily working for the paycheck • Last year, more women than men said they “lived to work” – today that gap has closed • More women say they feel stuck because of the economy or that they are working for the benefits • Among those “living to work,” their reasons for holding that view have also changed • Today, men are more likely to say they enjoy their job and “live to work” so they can provide for their family, and because it is the responsible thing to do • Of those women who continue to say they “live to work,” they are more likely to say they feel accomplished, proud, and needed

7. Key Takeaways - Employees say they can balance work with their personal lives, but they still want help • While 92% of full- and part-time employees say they are successful in balancing their work responsibilities with their personal lives, nearly two-thirds (64%) admit they would find it valuable to learn more about what they can do to strike a good balance • Younger workers are more likely than their older counterparts to want help striking a good balance • Most employees give their employers high marks: • Seven in ten employees say their employer does a good job in helping them strike a balance

8. Key Takeaways - A sizeable portion of the workforce is taking steps to prepare for an uncertain future • Half of all employees say they have prepared for one or both of two scenarios: (1) the possibility of getting laid off from their job, and (2) the possibility that an illness or injury could keep them from work for a prolonged period of time • More than a third of all employees say they have prepared for the possibility that they could be laid off from their jobs • The overwhelming means of preparation: saving money • And more than a third of all employees say they have prepared for the possibility that an illness or injury could keep them away from work for a prolonged period of time • The overwhelming means of preparation: saving money and/or buying new or additional disability insurance • Nearly nine in ten employees say an injury or illness is a risk that can be managed • The two most common ways to prepare: saving more money and purchasing new or additional disability insurance • Yet, fewer say they have actively taken steps in the past 6 months to prepare for an illness or injury that could keep them out of work for a prolonged period of time

9. Key Takeaways - Four in ten employees say their employer does not offer a program or service to help them prepare for the possibility of an illness or injury • A third of those who say their employer does offer such services say short-term and/or long-term disability insurance is available • White collar workers are more likely than blue collar or service workers to say such programs or services are available to them • The reported availability of services also differs by occupation type: • White collar workers are more likely to say they have short term disability coverage • Blue collar workers are more likely to say they have wellness programs or other types of supplemental insurance • Service workers are more likely to say they have sick time or paid sick leave

10. The workplace - revisited

11. Overall, nearly two-thirds of employees enjoy their job and say they “live to work” • Nearly one in five say they would stay at their job if they won the lottery Which of the following most closely fits with how you would describe your view of your job? 1% Don’t know/refused (2010 Data Only)

12. Full-time employees are more likely than part-time employees to say they “live to work” Which of the following most closely fits with how you would describe your view of your job? 67% of full-time employees “live to work” vs. 50% of part-time employees (2010 Data Only)

13. Reasons for “living to work” differ by employment type • Full-time employees are more likely than part-time employees to say they “live to work” because they feel a sense of accomplishment, get to work with interesting people, and are proud of their work Why do you think you enjoy your job and “live to work”? Percentages are among those who say they “Live to work” Unaided responses, multiple responses accepted. (2010 Data Only)

14. Part-time employees are more likely to say they “work to live” • 27% say they “primarily work for the paycheck” compared to 12% of full-time employees Which of the following most closely fits with how you would describe your view of your job? 50% of part-time employees “work to live”vs. 33% of full-time employees (2010 Data Only)

15. People continue to value the role that work has in their lives • While fewer say they primarily work for their paycheck (11% in 2010 compared to 17% in 2009) * Which of the following most closely fits with how you would describe your view of your job? * *Statistically significant difference from 2009 at the 90% confidence level. (2010 Data Only)

16. This year, those full-time employees who say they “live to work” show an even greater appreciation for their jobs • Compared to last year, more full-time employees say they “live to work” because it gives them a sense of accomplishment, they feel needed, and can provide for their family * * Why do you think you enjoy your job and “live to work”? * * * Percentages are among those who say they “Live to work” Unaided responses, multiple responses accepted. *Statistically significant difference from 2009 at the 90% confidence level.

17. Over the past year, the gap has closed between men and women on whether they “live to work” or “work to live” • In 2009, women were more likely than men to say they “live to work” (71% vs. 59%, respectively); while today, the gap has closed – both are equally as likely to say they “live to work.” Today two-thirds (66%) of both men and women say they “live to work.” • Fewer men say they “primarily work for the paycheck” Percentages are among those who say they “Live to work” Unaided responses, multiple responses accepted. (2010 and 2009 Data) Contains statistically significant differences from 2009 at the 90% confidence level.

18. Reasons for “living to work” are changing - both for men and women • Men are more likely to say they “live to work” because they can provide for their family and it’s the responsible thing to do • While women are more likely to say they are proud of their work, feel accomplished and needed, and get to see/do interesting things Percentages are among those who say they “Live to work” Unaided responses, multiple responses accepted. (2010 and 2009 Data) Contains statistically significant differences from 2009 at the 90% confidence level.

19. Workplace attitudes

20. Nearly all employees say they are successful in balancing their work responsibilities with their personal life • And yet two-thirds say they would find it valuable to learn more about things they can do to better strike that balance – indicating that people may not be as successful as they claim Please tell me how much you agree or disagree with the following statements. Do you agree strongly, agree somewhat, disagree somewhat or disagree strongly? (% who Agree Strongly / Somewhat)

21. Younger workers are more interested in learning about how to balance work with their personal lives • And men are more interested than women. Please tell me how much you agree or disagree with the following statement. Do you agree strongly, agree somewhat, disagree somewhat or disagree strongly? (% who Agree Strongly / Somewhat) “I would find it valuable to learn more about things I can do to better balance my work life with my personal life” **Small base.

22. Preparing for uncertainty

23. In the past 6 months, half of all employees have prepared either for getting laid off or for an illness/injury that would prevent them from being at work Have you taken any steps in the past SIX MONTHS to prepare for the possibility that you might be laid off from your job? AND Have you PERSONALLY taken any steps in the PAST 6 MONTHS to prepare for the possibility that an illness or injury could keep you from being able to work for longer than just a few days? 53% have prepared for one, the other, or both

24. Nearly four in ten employees have taken steps in the past 6 months to prepare for the possibility of being laid off Among all employees (full- and part-time): Have you taken any steps in the past SIX MONTHS to prepare for the possibility that you might be laid off from your job? **Small base.

25. Seven in ten of those who have taken steps for the possibility of being laid off say they are saving more money Can you tell me what you did?(Among those who have taken steps in the past 6 months) • Far fewer say they are taking other steps, like cutting expenses, looking for new opportunities, or working harder Have you taken any steps in the past SIX MONTHS to prepare for the possibility that you might be laid off from your job? Unaided responses, multiple responses accepted.

26. Nearly nine in ten employees believe something can be done to prepare for the possibility of an illness or injury that could keep them out of work • Saving money and/or purchasing new or additional disability insurance are the two most commonly mentioned ways to prepare for the possibility of such an illness or injury What can a person do to prepare for the possibility that an illness or injury could keep them from being able to work for longer than just a few days? 86% Believe there is something they can do Unaided responses, multiple responses accepted.

27. And about a third of all employees say they have personally taken steps in the past 6 months to prepare for the possibility of an illness or injury that could keep them out of work Have you PERSONALLY taken any steps in the PAST 6 MONTHS to prepare for the possibility that an illness or injury could keep you from being able to work for longer than just a few days? Among all employees (full- and part-time):

28. A third of those who said they have taken steps in the past 6 months for illness/injury say they have purchased new or additional disability insurance Can you tell me what steps you took?(Among those who have taken steps in the past 6 months) • Half say they have saved more money for a financial cushion Have you PERSONALLY taken any steps in the PAST 6 MONTHS to prepare for the possibility that an illness or injury could keep you from being able to work for longer than just a few days?

29. Employer offerings

30. Six in ten employees say their employer has some type of program or service that can help them prepare for an illness or injury that could keep them out of work • Four in ten say they do not have such programs or services available to them. Among all employees (full- and part-time): Does your employer have any programs or services that help you to prepare for the possibility that an illness or injury could keep you from being able to work for longer than just a few days?

31. A third of those who say their employer offers a program say short-term and/or long-term disability insurance is available Can you tell me what kind of programs your employer offers? (Among those who said their employer offers a program) • Sick time or paid sick leave is the next most commonly mentioned program. Does your employer have any programs or services that help you to prepare for the possibility that an illness or injury could keep you from being able to work for longer than just a few days?

32. Sample characteristics / Occupation type definitions

33. Sample characteristics

34. Sample characteristics (continued)

35. Occupation Definitions Occupation • The occupation classification refers to the occupation of the respondent. The types of positions included in each category are: • Professional/Manager/Owner: Executives, Professionals, Technical and Kindred Workers, Managers, Officials, and Proprietors • White Collar ‑ Sales/Clerical: Clerical, Office and Secretarial Workers, and Sales Agents and Workers • Blue Collar - Craftsmen/Foremen: Craftsmen, Foremen, Kindred Workers, Carpenters, Plumbers, Electricians, Mechanics, and Bakers • Blue Collar - Semi-Skilled/Unskilled: Apprentices, Laborers, Assembly Line Workers, Motormen and Fishermen • Service Workers: Housekeepers in Private Households, Police, Beauticians, Barbers, Security Guards, Waitresses and Waiters