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Feature Article
(Source: CRM Daily )
 

How Will the Health-Care Debate Impact Contact Centers?
 

For many employers it will make little or no difference that health care is going to be offered. However, the issue will be the indirect increase in "tax"-like expenses to pay for health care. Nobody can see far enough out to figure out what this will mean, but wage increases make the domestic option for contact center operations less attractive.

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Between the approximately 86 percent of the contact center work that is done in-house and the rising tide within the outsourcer market, health benefits are being offered to the vast majority of contact center employees, and at least in part, are paid for by employers. The debate continues to rage in Washington, D.C. and at dinner tables about the course of action the government will take concerning expanding healthcare coverage. I am not an expert on this topic, but it is clear that everyone has an opinion. Let's take a look at how potential healthcare changes can impact different aspects of the contact center space.
 
Although outsourcers make up a smaller portion of the total pool, they will be the focus of much of the discussion. Because labor makes up the lion's share of expense, and because they have no other offsetting revenue streams, outsourcers are a pure play for cost consideration. Additionally, because outsourcers have a large portion of variable costs located in fixed components like salary and benefits, it is much easier to analyze solutions they would have to employ. The choice of healthcare solution is less important than the mandate. If employers must pick up some or all of healthcare costs, or if they have option to be rid of those costs, their options are very similar. Three groups deserve closer consideration including employers, business strategists and entrepreneurs.
 
Read the entire CRM Daily article.