From Obstacle to Opportunity: The 2025 Employer Playbook for Thriving in Complex Markets
- Cottingham & Butler
- Jul 1
- 3 min read
If you're feeling like your organization is juggling more challenges than ever before, you're not alone. A recent State of the Market Survey of over 1,000 employers confirms what many leaders are experiencing: 2025 is a year of significant complexity.
The good news? While these challenges are real, they're also predictable and manageable with the right strategies. Here are the critical issues shaping the employer landscape this year - and how forward-thinking organizations are turning obstacles into advantages.
Economic Uncertainty: Inflation & Rising Healthcare Costs
Nearly 60% of employers cite economic uncertainty as their primary challenge, driven by policy shifts from the new administration, ongoing inflation concerns, tariffs affecting supply chains, and sector-specific layoffs.
With 64% of employers struggling with inflation and 42% facing rising healthcare costs, organizations are grappling with anticipated 7-8% healthcare cost increases in 2025.
Resources and Tools:
5 Proven Strategies Every Employer Needs to Know - How to cut Healthcare costs by up 30%. We've compiled five of the most impactful considerations your company can make to save on health coverage costs while providing exceptional benefits plans for your employees.
Case Study: Cost Containment Through Alignment and Transparency - As a certified Great Place to Work®, J. J. Keller & Associates, Inc. is committed to providing high-quality, affordable healthcare for their 1,800 associates and their families by employing smart healthcare consumerism strategies that create win-win solutions and reduce the increasing healthcare burden on employees while ensuring they receive the medical care they need.
10 Ways to Reduce Healthcare Costs - In this session, we share 10 proven strategies that can help you reduce healthcare expenses without driving away your top talent.
Compliance Challenges Are Growing
Over 26% of employers struggle with evolving federal and state regulations, including employment law changes, increased agency enforcement, and shifting DEI policies.
Resources and Tools:
How to Navigate State Compliance Regulations – Brett McKitrick highlights the growing challenges of HR compliance as states increasingly pass complex legislation.
Executive Order Aims to Reduce Prescription Drug Costs - On May 12, 2025, President Donald Trump issued an executive order (EO) that aims to bring the prices Americans pay for prescription drugs in line with those paid by similar nations. How does this impact you?
Monthly Compliance Webinar on Compliance Hot Topics – Use this link to register for upcoming hot topic compliance webinars to stay in the know.
Attraction and Retention Challenges Persist
Nearly 60% of employers continue to face talent attraction and retention issues, implementing strategies focused on engagement, compensation, development, and skills-based hiring.
Resources and Tools:
Critical Role of Compensation in the Recruitment Process - In today's competitive market, a well-designed compensation strategy is no longer optional, it's essential for attracting top talent and reducing costly turnover.
What Employees Want - From rising compensation expectations to evolving benefit needs, creating an effective total rewards strategy has never been more challenging - or more crucial for your success.
Innovative Survey Tool that Transforms Traditional Employee Feedback - Employers often assume they understand what employees want, but do they truly grasp how satisfied employees are with their benefits packages?
Strategic Workforce Planning Is Essential
With 76% of employers actively hiring and most maintaining optimistic hiring plans, organizations are aligning workforce strategies with long-term business goals.
Resources and Tools:
Employee Benefit Benchmark Reports - Use our industry specific benchmark reports to give you detailed insights into what other companies in your industry are offering, helping you design a benefits program that attracts top talent without overspending.
Empowering Employers in attracting talent - Maximize employee value and satisfaction with a strategic Total Rewards approach.
Benefits & Strategic Communication - We recognize the pivotal role that communication plays in shaping the employee experience. Our approach is centered around designing and implementing effective benefit communication strategies and materials that not only inform but also empower employees to make educated decisions about their benefits.
Moving Forward Together
The 2025 market presents complex challenges, but organizations that stay informed, focus on strategic planning, and remain agile will thrive. Cottingham & Butler's comprehensive approach addresses each of these critical areas, providing you with the expertise, resources, and innovative solutions needed to navigate uncertainty and position your organization for long-term success.
Ready to tackle these challenges head-on? Contact your Cottingham & Butler team today to discuss how we can help you turn market challenges into competitive advantages.