New research from Staffcare, a leading UK provider of software for reward communications, auto-enrolment and benefits administration, has discovered that over 80 percent of companies with over 100 employees, now offer some form of flexible benefits (flex) to their employees, compared to just 11 percent offering full flex ten years ago, when Staffcare carried out its 2004 Hidden Benefits report. Comment from Phil Hollingdale, CEO and Founder at Staffcare.
Staffcare commissioned the new research as part of its 10th anniversary activities and surveyed a wide cross-section of companies from different industries to examine attitudes towards employee benefits. The research showed that as well as the surge in popularity of flex, 78 percent believe flexible benefits are valued by employees, 70 percent of respondents believe that offering flex or a salary sacrifice scheme helps improve employee engagement and nearly two thirds (64 percent) of respondents state that offering benefits improves staff recruitment and retention.
The research also found that Independent Financial Advisers (IFAs) and Employee Benefits Consultants (EBCs) are still vital in managing, administering and updating flexible benefits schemes, with almost 50 percent of respondents seeking some form of advice and support, including benefit broking and market intelligence. In spite of the surge in offering benefits, however, over 60 percent of those surveyed do not update their benefits scheme each year with new benefits, missing opportunities to better engage with employees.
Phil Hollingdale, CEO and Founder at Staffcare said: “The turning point for the rise in adoption of flex plans came during the recession of 2008. Organisations had to change their priorities in an environment of job cuts and pay freezes, but still wanted to do something to reward and motivate the workforce. Today, being an employer of choice is a constant objective in the fight for talent. Offering an attractive and personalised benefits scheme has become an important recruitment and engagement tool for companies, being proven to minimise staff turnover, improve morale among employees and increase workplace productivity.
“Through combining flexible benefits with an online benefits platform and an integrated communication strategy, companies can significantly improve engagement with their employees. With so many firms now offering some form of flexibility, employers could be missing a trick by not investing in a comprehensive benefits communication strategy. Now is the time for firms to re-engage with their workforce, better communicate their offerings and ensure staff members fully understand the value of the benefits offered .”
