Employee benefits used to be an unexpected perk for job seekers. However, things have changed and now, prospective candidates are actively seeking employers who offer more than just a salary. 75% of employees report that they are more likely to stay with an employer due to the benefits they offer and 69% of employees state that they might choose one employer over another if the benefits package was better.
A comprehensive employee benefits package can help employees attract top talent, improve employee loyalty, and contribute to a happier, healthier workforce. But what benefits should employers offer to ensure they will really make a difference? Let’s look at some of the must-have employee benefits for 2024.
Flexible working opportunities
Aon’s Benefits and Trends Survey 2022 reveals that employers believe that 95% of their workforce want more flexible hours and 94% would like the option of agile/home working.
Flexible working opportunities have been shown to contribute to improved employee well-being. For example, research by Wildgoose found that 39% of people who have the option to work flexibly see improvements in their mental health. An article published in the International Journal of Environmental Research and Public Health shows that when employees have the autonomy to change their work schedules it decreases the likelihood of job stress by 20% and increases the likelihood of job satisfaction by 62%.
However, flexible working isn’t just beneficial for employee wellbeing; it also has business advantages too. A survey by Airtasker found that on average, flexible workers work 1.4 more days every month than traditional office workers.
There are many ways that an employer can offer flexible working as an employee benefit. Some examples include:
- Remote working
- Hybrid working
- Compressed hours
- Volunteer time off
- Job sharing
- Four-day working week
Family benefits
Family-oriented benefits have been increasing in popularity in recent years. They are important for supporting employees at all stages of their lives and helping them to achieve a better work-life balance. But they are also crucial to businesses that want to foster an inclusive and diverse workplace and meet the needs of employees of different backgrounds, genders, sexual orientations, ethnicities, and family types. According to Willis Towers Watson’s 2020 Emerging Trends in Health Care Survey, 59% of employers say that family-friendly benefits have been important to their talent strategy over the past three years to a great or very great extent, with this percentage expected to grow to 77% in the next three years.
Family benefits to consider implementing in 2024 include:
- Family planning advice
- Fertility assistance
- Pet insurance
- Childcare
- Lactation and sleep support
- Paid parental leave
- Caregiving support
Health and wellbeing benefits
Employee health and wellness programs are a critical component of any employee benefits package. Research by the Harvard Business Review found that 89% of employees say their work life is getting worse and 85% state their wellbeing has declined. This is despite 80% of executives saying wellbeing was their top priority in the Deloitte 2020 Global Human Capital Trends Report.
Employee wellbeing has a significant impact on productivity and staff turnover meaning that focusing on health and wellbeing benefits doesn’t just make a big difference to individual employees; it can boost the entire workforce and business profitability too.
Health and wellbeing benefits should cover mental, physical, and social aspects and may include incentives such as:
- Health insurance
- Employee Assistance Programs (EAPs)
- Mental health support
- Cancer support
- Menopause support
- Dental care
- Eye care
- Mindfulness programs
- Stop smoking support
- Fitness classes and/or gym memberships
- Ergonomic workplace equipment
Financial well-being and cost of living support
According to research by Willis Towers Watson, 74% of employers have the financial well-being of their employees as a top priority over the next three years. It’s a prevalent matter considering that the UK is experiencing the worst cost of living crisis in decades and the annual rate of CPI inflation increased by 10.4% in February 2023. In the winter of 2022, a YouGov survey commissioned by the CIPD found that 61% of workers said they were meeting their bill and credit commitments without hardship. However, a year later, this proportion has fallen to 48%.
Finance-related benefits can take many forms and may include initiatives that help employees navigate current financial issues, plan for the longer term, or reduce the costs of day-to-day expenses. Examples of financial well-being and cost of living support benefits include:
- Income protection plans
- Financial education resources
- Budgeting tools
- Retirement planning
- Legal assistance
- Life insurance
- Student loan assistance
- Home buying or rental assistance
- Profit share scheme
- Debt counselling
- Discounts, vouchers, and tickets
- Subsidised commuter costs
Ultimately, employee benefits must work for individual employees and the business as well. For any benefits package to be successful, employees should base it on the known needs of employees and communicate to the workforce effectively about what’s included. Regularly reviewing employee benefits can ensure that they continue to contribute to a positive workplace, enhance employee well-being and improve a business’s bottom line.