According to health benefits consultancy Mercer, there is a distinct enthusiasm for change in benefit provision, particularly amongst younger employees.
The findings come from Mercer’s 'What’s Working Survey’, which asked a range of questions.
When it comes to employee motivation and engagement, traditional benefits score relatively poorly compared to intrinsic elements of reward such as having a sensible work-life balance, being treated with respect and the type of work delivered. The data also demonstrates that the desire by employees for greater choice continues to grow dramatically, although concerns remain that employees are not sufficiently able to make informed decisions when choice is available.
Critically, employees are looking for employers to use their bulk purchasing power to provide employees significant discounts on various products and services. Also, the data suggests that for the right benefit, employees are willing to pay the full cost of receiving this benefit. As you would expect, enthusiasm for alternative benefits is most evident amongst 16-34 year olds.
According to Eddie Hodgart at Mercer, “More companies are asking their employees what type of benefits they want to receive. This usually involves some degree of additional choice plus the introduction of very simple, low-cost benefits that meet employees’ needs today such as health screening. Benefit provision is all about affordability and desirability. If an employee cannot afford the benefit or sees no value in it, then they will not invest in it.”