According to a new study, only a quarter (24%) of UK employers tailor their workplace benefits according to the lifestyle and demographic needs of their employees.
Towergate Employee Benefits, an independent employee benefits advisor, revealed that currently only 24 percent (24%) of employers target their benefit support according to employee needs.
Experts argue that while a “one-size-fits all” approach to benefits might seem fair, it may not produce the best results for employee engagement and wellbeing. Employers that personalise benefits are more likely to take into account factors like age, lifestyle, and health risks. This may include diabetes or cardiovascular diseases.
Debra Clark, Towergate Employee Benefits’ head of wellbeing, said, “The benefits for health and well-being available in the workplace are as varied as the needs of every workforce.” To get the best return on investment, employers need to be able to target their support.
Benefits that are standardised do not meet the needs of key employees
Research also revealed that 36 percent of employers provide the same benefits for all employees regardless of their gender and 35 percent offer them to staff regardless of their seniority. This standardisation, while it may be meant to promote fairness and equality, can also fail to take into account the different priorities of certain employee groups.
Benefits that are tailored to individual employee circumstances are more likely noticed and used. It increases perceived value, which can lead to a better outcome for both employee and employer.
The age of the employee is an important factor in determining which benefits are most appropriate. Employees in different stages of life will require different types of support. From fertility treatment to childcare, to eldercare to retirement planning. Benefits that are tailored to meet these needs will help employees succeed throughout their career.
Benefit design can be guided by lifestyle and risk assessment
Towergate’s report states that benefit packages should include health-related and lifestyle-related factors. Health questionnaires, office assessments of metrics such as BMI and Blood Pressure, or complete medical checks can help identify employees who are at risk for chronic conditions. Employers can use these insights to determine the best way to support employees or take preventative measures.
Early intervention based on identified risks can improve health outcomes over the long term and reduce absenteeism. By offering targeted benefits, employers can demonstrate their commitment to employee well-being. This may improve retention and engagement.
Researchers also stressed the importance of recognizing gender-specific concerns. Benefits can address issues that are specific to men and women, such as cancers and infertility. Employers who consider gender when developing their benefit strategy will be able to offer employees more relevant and accessible help.
Keep up with the latest trends in workplace benefits
Benefits strategies must change as the workforce changes. Towergate suggests that employers review their workforce needs regularly and keep up with trends in employee benefits.
Clark suggested that employers can benchmark their benefits against those of their peers within their industry and region by staying informed with the help of benefit advisers. This can help to make more informed decisions about benefits design and investment.
She said, “Benefits targeted by demographics and requirements will make a significant difference to both the employee’s and the company’s wellbeing.”
