US Federal Government

Delivering a modernized, innovative approach to Federal agencies’ most critical missions

The federal government's charge is like no other

From protecting public health to building and sustaining a mission critical workforce to ensuring retirement security for millions of Americans, agencies require a trusted partner to keep the federal government at the forefront of transformation. Mercer is that partner.

Mercer supports more than 30,000 clients globally across federal and state governments, inter-governmental organizations and all private sector industries. We solve big challenges for some of the largest organizations in the world: designing cost-effective healthcare and pharmacy programs that drive value-based care; rebuilding employer brand to attract and retain top talent; reskilling and upskilling workforces to fill critical talent gaps; and protecting Americans’ retirement income through prudent pension and investment risk management. 

Multi-disciplinary expertise driving deeper insight and greater impact

Our 25,000+ professionals are the following and more:

  • Clinical specialists
  • Actuaries
  • Pharmacists
  • Policy experts
  • CPAs, PhDs, MBAs
  • Labor economists
  • Industrial-organizational psychologists
  • Statisticians
  • Data scientists
  • Compensation Consultants
  • Certified Project Management Professionals (PMPs)
  • HR transformation specialists
  • Employee engagement experts
Mercer brought much-needed commercial healthcare experience to the table. Mercer innovations will result in improved readiness, quality, access and cost to the Department of Defense.
Department of Defense Executive

Our Federal Portfolio

We bring a robust blend of experience – rooted in new technology and industry best practice – that drives meaningful transformation for federal customers and the millions of lives they impact.

Federal Healthcare

Mercer is at the forefront of the US healthcare ecosystem. We partner with health insurance carriers; hospitals and health systems; third party health administrators and vendors; healthcare regulatory bodies; and more to design market-leading solutions that enhance the patient and provider experience; reduce the cost of care; improve population health; and drive equitable healthcare access for all.

Next-generation federal healthcare delivery requires a careful and measured strategy that brings commercial innovation to life within the regulatory parameters of government health programs. Mercer works alongside lawmakers, regulators, associations and business groups to provide our clients with industry best practices that are not only feasible, but will also drive the greatest value to providers, beneficiaries and their families.

Related capabilities:

  • High value care strategy/diagnostics
  • Healthcare model transformation
  • Healthcare legislation (ACA/Medicaid/CHIP)
  • Value-based purchasing & payment reform
  • COVID-19 health solutions

Mercer maintains the most comprehensive set of data on healthcare programs across the public and private sectors, including data on healthcare claims, carriers, regional market trends, providers, delivery system availability, quality of care and more. We harness this power to develop and implement measurable, data-driven strategies and solutions that blend the right provider and beneficiary experience with meeting client cost objectives.

Related capabilities:

  • Data analytics & visualization
  • Data intake & processing
  • Data quality

Greater prescription drug utilization, costly specialty medications and increasing consumer expectations are giving way to an uncertain future for public and private sector pharmacy benefit programs. Mercer is a leader in the full continuum of pharmacy offerings. We partner with future-forward pharmacy program frameworks that deliver meaningful clinical, operational and financial outcomes for our clients.

Related capabilities:

  • Program strategy, design and oversight
  • Purchasing and reimbursement strategies
  • Pharmacy benefit manager procurement and implementation
  • Clinical oversight
  • Specialty pharmacy solutions
  • 340B guidance

Mercer’s 60-plus clinical, medical and behavioral health professionals design practical strategies and interventions that drive high-quality, personalized healthcare at a lower cost. We offer clinical care expertise across a comprehensive spectrum of beneficiary needs.

Related capabilities:

  • Value-based healthcare models
  • Network strategy and design
  • Clinical best practices and total health management
  • Integrated care framework and care coordination/case management
  • Specialty and complex care solutions
  • Third party administrator (TPA) contract oversight

Our dedicated health actuaries hold specialized designations from both the Society of Actuaries and the American Academy of Actuaries. They partner closely with clients to design, finance, and price and administer healthcare programs for public and private sector clients that meet client budgetand clinical quality goals.

Related capabilities:

  • Plan performance audit
  • Financial analysis and cost modeling
  • Medical plan premium calculations
  • Rate development and risk adjustment

We have moved the needle on clinical quality outcome goals across the public and private sector space for the last 20 years. Mercer uses a rapid-cycle quality improvement methodology that leverages proprietary monitoring tools and real-time evaluations and interventions to deliver quality improvement, accountability, and seamless integration of care for our clients. We advise on performance measure selection and oversight, value-based purchasing strategies, contract evaluations, and other clinical quality activities.

Related capabilities:

  • Program evaluation (clinical, financial, operational)
  • Quality measurement
  • Regulatory compliance and monitoring

Driving large scale health innovation across commercial and government industries


2,700+ US commercial healthcare clients


Over 30 US government healthcare clients


Over 95 million beneficiaries covered


More than $600 billion healthcare spend

Federal Workforce

The federal workforce is changing at warp speed, leaving myriad challenges in its wake — from crucial skills gaps to retirement-driven labor shortages to intense competition for tech talent. Mercer uses a holistic, data-driven approach to designing workforce optimization strategies to grow and sustain a thriving federal workforce.

As organizations continue responding to the pandemic and reinventing their operating model, workforce challenges continue to arise. How do you adjust your workforce for future business needs? How do you ensure your employees deliver business results while working safely and staying healthy? Mercer offers a systematic, disciplined process for identifying and addressing gaps between current and projected future workforce requirements.

Related capabilities:

  • Internal and external labor market analysis
  • Talent supply/demand gap assessment
  • Conjoint analysis
  • Business impact modeling
  • Diversity, equity and inclusion assessment

As the largest US employer, the federal government must be a model for diversity, equity, inclusion and accessibility. That requires a strategic approach to recruitment, performance management and retainment, and removal of barriers to equal opportunity. Mercer has partnered with organizations across the globe for the last 45+ years to advance their strategic DEIA objectives.

Related capabilities:

  • DEIA strategic plan development
  • Leadership and management framework competency development
  • Focus group administration and analysis
  • Survey administration 

We help organizations build strategic employee research programs that combine the right methodologies with content and agile technology; uncover employee insights; and deliver integrative analytics and insights to ensure your workforce strategy aligns with your organization mission and business strategy.

Related capabilities:

  • Employee value proposition
  • Employee engagement
  • Strategic communications and change management

Building a modernized Federal workforce requires a rewards program that competes with the private sector and recruits and retains cutting-edge capabilities to deliver on the Federal mission. Mercer is a leading compensation consultant for commercial employers, the public sector, and Federal mission critical industries like cybersecurity.

Related capabilities:

  • Compensation strategy, design, operation, benchmarking
  • Total rewards strategy, design, benchmarking
  • Job architecture/career framework
  • Pay equity

Leading organizations require a predictive view of future skill needs, market supply/demand, and a data-driven approach to total rewards to stay competitive in the war for talent. Mercer offers a broad suite of services that enable organizations to identify, hire, and pay employees for the right skills to support mission critical roles.

Related capabilities:

  • Pay for skills: Our end-to-end Skills-Edge suite includes advisory and digital solutions to enhance your pay program and drive a competitive total rewards program. Our Skills Library, Skills Pricer, and Skills Pay Planner provide up-to-date market insights to help you determine pay levels and understand the skills of your workforce.

Federal agencies thrive when they are supported by an integrated strategy that allows for HR to enable the organization and empower its people. Mercer offers a suite of consulting services and tools to help transform federal HR functions, accelerate HR technology implementation and support change management to deliver an exceptional government employee experience.

  • HR service model and process design
  • HRIT systems deployment and optimization

Building a federal workforce for the future


1.5 million employees surveyed annually through employee engagement research


1,000+ surveys administered capturing employer-reported workforce data


More than 100 workforce DEIA projects completed in the last five years


Over 200 compensation consultants in-house

Retirement and Investment Security

Volatility, uncertain liabilities and regulatory complexity define today’s market. Mercer helps customers navigate current market conditions in the defined benefit landscape; ensure proper governance, compliance, and policy protocols across plan management; and seize opportunities to minimize risk and cost, and create an optimal strategic plan that meets customer growth objectives while maintaining an appropriate risk profile.

We take a holistic approach to pension risk management to ensure long-term financial security for the plan beneficiaries we support. Mercer is a leading pension and risk consultant, developing sophisticated strategies that include setting plan glide paths and de-risking levels; integrating risk management with funding improvement; developing liability-driven investment strategies; creating asset-liability models; constructing diversified growth portfolios; executing pension-risk-transfer strategies; and orchestrating plan termination cashouts (active and vested terminated).

Our 300+ credentialed actuaries can guide you through the design, implementation and maintenance of your defined benefit pension plans. Our services include funded status monitoring; budget forecasting; compliance; plan design and termination; benchmarking; and customized actuarial project work.

Mercer seizes opportunities to increase returns, reduce the size of liabilities and manage risk across our customers’ pension balance sheets. Our investment services include examining asset classes and market/return drivers; constructing portfolios with strategic allocations; and ensuring an appropriate risk profile to meet customer financial and funding objectives.

Leading the way in defined benefit plan risk management


Over 900 defined benefit plans supported in the US


1.8 million defined benefit plan participants covered in the US


Over $12 trillion in assets under advisement


Over 300 credentialed actuaries in the US

Related insights

    The power of Marsh McLennan

    Mercer has the full breadth of our parent company, Marsh McLennan (MMC), behind us. Our MMC businesses include:

    • Marsh: Insurance broking and risk management
    • Guy Carpenter: Advanced risk, reinsurance and capital strategies
    • Oliver Wyman: Business strategy, operations, risk management and transformation

    Marsh McLennan’s proven methodologies in people, strategy and risk enhance public sector outcomes nationally and across the world.

    Mercer is a contractor on the following contract vehicles:

    GSA Multiple Award Schedule

    • GSA professional services schedule (PSS)
    • SIN 541611
    • Schedule #47QRAA21D004A

    Agency Procurement Vehicles

    • Health Plan Innovation Support (Prime contractor): The HPIS contract supports design, implementation and innovation within TRICARE managed care support contracts and healthcare integration across Department of Defense and Department of Veterans Affairs
    • MACPAC Indefinite Delivery Indefinite Quantity (Prime contractor): The IDIQ encompasses environmental scans, gathering information from stakeholders, surveys and policy analysis
    • VHA Integrated Healthcare Transformation (Sub-contractor): VHA’s IDIQ covers a variety of support services related to health system transformation, operations support and business enabling services
    • Accelerating VA Innovation and Learning (Sub-contractor): The AVAIL contract supports Department of Veterans Affairs efforts to design, develop and test new healthcare solutions, models and technology.

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