Just 13% of UK staff feel benefits align with their needs

benefits provisionJust 13% of UK employees feel that their employer’s benefits provision closely aligns with their needs, compared to 59% of US staff, according to research by Benefex.

Its analysis found that 96% of HR and reward professionals have seen a significant shift in employee attitudes and behaviours towards benefits over the past 12 months, and only 23% of UK workers rate their experience as excellent, compared to 60% in the United States (US) and 52% in India.

More than half (55%) of employee respondents said relevant benefits that align with what they want and need would have the greatest impact on their experience at work, while 89% felt that employers could reduce staff attrition by better understanding what people want.

Two-thirds (65%) find benefits important for financial wellbeing, up from 53% in 2022. The top 10 most valued benefits that help with financial wellbeing and provide protection against illness and injury were life insurance, health screening, critical illness insurance, dental insurance, pension, private medical insurance, childcare vouchers and income protection.

In total, 90% of HR and reward professionals believe that benefits can directly impact employee wellbeing, while 85% think they can tackle issues related to ‘quiet quitting’ and 84% find they help align employee values with organisational purpose.

Meanwhile, 83% recognise a need for improved insight and analytics across benefits spend and take-up, but less than half use data to assess the impact of benefits on employee wellbeing, gather feedback, or to measure benefits engagement and take-up.

In addition, less than a quarter rated the technology used to access employee benefits, discounts and wellbeing resources, and to recognise and reward staff as excellent.

Matt Macri-Waller, founder and chief executive officer of Benefex, said: “Those organisations that can build appealing, distinctive and engaging employee experiences will be the ones that gain a disproportionate share of talent, regardless of the labour market.

“It’s no longer enough to provide standard benefits packages; organisations must deliver relevant and tailored benefits that support wellbeing and offer real-life support. Using data-driven insights, businesses can navigate the evolving landscape and invest in the types of online employee experiences that support a thriving workforce.”