Recent policy shifts, including the announcement of sweeping new tariffs, are sending ripple effects across global markets, business operations, and employer strategies.

And while the headlines often focus on market volatility and trade balances, HR leaders are beginning to feel the pressure in far more immediate ways: rising costs, strained budgets, and increased employee anxiety.

If this moment feels familiar, it's because we’ve been here before. During the 2018–2019 tariff cycle, organizations faced widespread economic disruption — including inflationary pressures, supply chain challenges, and rising operational costs. Today, those patterns are reemerging, but with heightened urgency and greater implications for HR leaders managing already complex demands: talent acquisition and retention, escalating healthcare spend, and growing employee wellbeing needs.

As you prepare to lead your organization through this period of uncertainty, here are 4 key considerations to keep in mind:

1. Tariffs Can Fuel Rising Healthcare and Pharmacy Costs

The healthcare system is highly reliant on imported goods — from medical devices to pharmaceuticals. In fact, 69% of medical devices sold in the U.S. are manufactured abroad, and many hospitals expect to pass tariff-related cost increases to employer-sponsored plans.

For HR and benefits teams, this could mean:

• • Higher-than-expected midyear premium adjustments
  • Increased pressure to reduce benefits or shift more costs to employees
  • Greater strain on workers already facing affordability challenges

Now is the time to revisit your plan design strategy and explore cost containment tools — from pharmacy benefit audits to alternative funding models.

2. When Financial Stress Grows, So Do Workplace Risks

Inflation, stagnant wage growth, and rising medical costs can create a perfect storm of financial insecurity. For employees living paycheck to paycheck, one medical bill or pharmacy copay can become a crisis.

And where there’s stress, there’s risk:

• • Higher absenteeism and presenteeism
  • Increased behavioral health needs
  • A potential rise in workplace injuries or workers’ comp claims due to distraction, burnout, or deferred training

HR leaders can counteract this by investing in financial wellbeing programs, communicating clearly about available resources, and ensuring safety and mental health support remain top priorities — not cost-cutting casualties.

3. Uncertainty Demands Stronger Business Continuity Planning

In times of economic uncertainty, HR becomes central to business continuity. Workforce planning, leave management, safety protocols, and cross-functional coordination will play a key role in helping businesses stay agile and operational -- especially in industries hit hardest by supply chain disruption or pricing volatility.

Now is a smart time to ask:

• • Do we have the right technology and partners to support a rapidly shifting environment?
  • Are our leave policies, payroll, and benefits systems aligned?
  • Do we have a strategy in place to protect our workforce and manage risk during sustained instability?

4. This Is the Time for Creative, People-Centered Strategy

Economic headwinds can often lead to reactive decisions: leaner plans, smaller teams, deferred investments. But the most resilient organizations find ways to maintain employee trust and deliver value- even when conditions are tough.

That might mean:

• • Redesigning benefits to protect lower-wage workers
  • Offering voluntary benefits or tiered care navigation support
  • Exploring captives, pooled solutions, or new funding models
  • Leading with transparency around change and cost pressures

When headlines are swirling and economic uncertainty feels relentless, your employees look to HR for clarity, stability, and care. Tariffs and inflation may not be in your job description -- but the impact on your people and your business definitely is.

For a deeper dive, check out the recent webinar here: Some Signs Point to an Economic Slowdown and High Inflation in 2025. What Does This Mean for Employers?

Need a pulse check on your current strategy?
OneDigital’s benefits, pharmacy, property & casualty and HR consultants are here to help you navigate today’s uncertainty so you’re prepared to weather whatever the future holds.