OVERALL BENEFITS TRENDS

Conducted by Society for Human Resource Management (SHRM)

 

In 2017 SHRM conducted its annual survey of U.S. employers to gather information on more than 300 employee benefits. The survey asked human resource professionals if their organizations formally offered any of the listed benefits to their employees. Below is a summary of some of those findings and trends.  The full report can be found here.

 
 
 

 
 
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Why offer?

Nearly one-third of organizations increased their overall benefits offerings in the last 12 months, with health (22%) and wellness (24%) benefits being the most likely ones to experience growth (see Figure 1). The top reason for increasing benefits was to remain competitive in the talent marketplace. Given that twothirds of organizations (68%) were experiencing recruiting difficulty and skills shortages for certain types of jobs in 2016, organizations need to focus on providing a competitive benefits package to retain and attract top talent.2 Benefits can be leveraged to help with common recruiting strategies, including increasing retention efforts, expanding training programs to help improve skills of new hires, using/enhancing an employee referral program, offering more flexible work arrangements, providing monetary incentives to candidates (e.g., signing bonus) and offering new job perks.

 

Most companies weren't decreasing benefits - they were raising the bar.

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Who Pays?

 

Final Analysis

In today’s competitive talent marketplace, it is imperative for organizations to make informed and strategic decisions about what benefits to offer as part of their total rewards strategy. Using a variety of sources to stay up to date on benefits trends and innovative strategies and continually assessing the fit of offerings with your organization’s culture are crucial steps in securing the organization’s current and future talent needs

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why are benefits important?

As most professionals are well aware, employee benefits play an important role in retaining employees. Although many employees (89%) are at least somewhat satisfied with their jobs, 40% considered the possibility of seeking employment elsewhere in the next 12 months.6 The leading reason for employees looking for external positions was higher compensation/pay (56%), followed by better overall benefits (29%). Other reasons for leaving that could be related to benefits were career advancement opportunities (21%) and flexibility to balance work and life issues (18%). In terms of motivation to stay with an organization, compensation/pay (44%) topped the list, followed by flexibility to balance work and life issues (34%) and the overall benefits package (32%). Thus, an attractive benefits package that includes professional development support and flexible work options that rival those of an organization’s competitors could help with employee retention and recruitment. In 2017, 16% of organizations increased professional and career development benefits, whereas 14% increased flexible working benefits.

 

Offer to part time?

Percentage of total compensation

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