Do you feel confident about your benefits offerings? Have you made sure it’s broad enough to suit all your employees? And yet, you might still wonder if your people truly appreciate and use what’s on offer. You're not alone.
This spring, we conducted two surveys: one with 200 HR and Reward professionals in the UK, and one with 3,250 employees across the UK, US, Sweden, Singapore, Australia, New Zealand, the Netherlands, Ireland, and India. We wanted to capture both perspectives – and the results were clear: there’s a gap.
The majority of employers say it’s challenging to keep up with rising employee expectations. At the same time, many employees don’t fully understand, use, or value the benefits they’re offered.
“This is a bit of a wake-up call. It’s not about offering more benefits, but offering the right ones,” says Laurina Qvarnström, Benefit Advisor & Developer at Benifex.
And the right benefits really do matter. Our research shows that 81% of employees say benefits play a critical role when choosing an employer, and 85% say they influence whether they stay. Meanwhile, 55% of employers say they don’t have time to adapt their strategy in line with employee expectations, and 64% admit they don’t fully understand what employees actually want. Benefits are no longer just gym memberships or free coffee – they’re a key part of total compensation and can make a real difference in people’s daily lives and finances.
What do employees really want?
At HR Connect in Copenhagen this June, Laurina presented these (at the time, freshly collected) insights during a workshop, highlighting the importance of closing the gap between strategy and employee experience. It may sound obvious – we need to know what our employees want – but do we?
Flexibility tops the list across all generations – except for Boomers, who prioritize personalized benefits. It’s a clear sign that work-life balance remains a top priority.
For Millennials and Gen Z, personal and professional development tied for second place. These generations are looking for growth, learning, and progress – and they expect employers to support that journey.
Employers’ challenges
Employers are highly engaged and eager to meet employee needs – but many feel stuck in internal processes, complex systems, and (sometimes too many) options. Nearly half believe their employees feel overwhelmed by the sheer range of benefits on offer. Meanwhile, 68% say expectations around benefits have risen to entirely new levels. So, the question is: how far can – or should – you go to meet them?
But understanding employee needs isn’t enough. Eight in ten employers say they need more resources to manage the growing demands of rewards and benefits. Seven in ten say they feel powerless to evolve their strategy without the right technology. The right conditions are essential for success.
“I’ve seen many of our clients run internal campaigns to increase awareness around their benefits. Some even have benefits ambassadors who help colleagues discover and use what is available,” says Laurina Qvarnström, Benefit Advisor & Developer at Benifex.
Communication Is Key
Expectations on employers are sky-high, and employees are increasingly behaving like consumers. They want everything to be fast and accessible – just like the rest of their lives. Nearly 80% want their employer to do more to educate them about what’s available, and 85% think benefits should be easier to understand, use, and personalize.
“People today want their employer to act like a service provider – like Netflix. It should be user-friendly, intuitive, and offer real choice,” says Laurina Qvarnström.
The numbers speak for themselves. It’s not about more benefits – it’s about the right benefits, communicated in the right way, with the right experience. If benefits aren’t clearly explained or connected to real needs, they risk getting lost in the noise. No wonder many employees feel like they’re missing out – without even knowing what they’re missing.
This is where you, as an employer, have a huge opportunity: to bring clarity, and help people find, understand, and use what’s already there.
The full report will be released this autumn. Stay tuned on our blog, LinkedIn – or reach out to your Benifex contact (if you’re a client)!