Engagement is leading focus for employers
Almost three-quarters (74%) of respondents to The Benefits Research 2013 cited engagement as the top issue shaping their organisation’s benefits package. This figure has risen since 2009, when just under two-thirds (62%) said the same.
But, when asked what action they plan to take in the next 12 months in response to economic challenges, just 15% of respondents said they plan to motivate staff to maintain morale, and only 10% did so during 2012.
In the previous three years’ Benefits Research reports, the percentage of employers planning to undertake this task was higher, at 29% in 2012, 31% in 2011 and 44% in 2010.
The research, conducted among almost 600 HR and benefits professionals in March 2013, also found that pensions auto-enrolment (62%), a desire for flexibility (52%) and a desire to reduce or control costs (50%) were top of mind for employers.
To achieve the latter objective during the next 12 months, 33% of respondents plan to implement new benefits for staff, while 20% aim to introduce salary sacrifice arrangements for some benefits. But only 10% of respondents plan to cut their benefits budget in the next 12 months, while 7% did so in the previous 12 months.
Cost control is also evidenced by the 38% of respondents that intend to review their benefits providers to get a cheaper or better deal, and the 31% that plan to renegotiate insurance based benefits to achieve savings in the next 12 months.
Some employers have already taken steps to achieve these goals. In the previous 12 months, 28% of respondents reviewed their organisation’s benefits providers to get a better deal, while the same proportion renegotiated insurance-based benefits to achieve savings.
Key findings from the research include:
74% of respondents said the desire to improve employee engagement is the top issue shaping their organisation’s benefits package.
15% of respondents plan to motivate employees to maintain morale over the next 12 months in response to economic challenges.
28% of respondents reviewed benefits providers to get a better or cheaper deal in the previous 12 months, while 38% intend to do so in the coming year.
33% plan to implement new benefits for staff and 20% to introduce salary sacrifice arrangements in the next 12 months.