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According to a new report from Care.com, many U.S. employers are looking to revamp their benefits packages this year. The survey suggests that 95% of leaders are planning to re-examine their strategies, with nearly half of respondents – some 47% – looking to cut back benefits.
So should employees expect dramatic reductions? Not quite. Though few organizations are expanding benefits overall, some select benefits, like family care benefits, are being prioritized by companies even while other benefits, like adoption and fertility assistance, are cut. That means that benefits as a whole will go down – but for some employees, the personal utility they get out of their benefits package might actually increase.
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"The nuanced story here is more one of recalibration – of selective trimming and funds reallocation – than of slashing and burning," the report, which surveyed 500 C-suite execs and HR leaders, notes.
Among the most prioritized offerings include childcare benefits, which 46% of HR leaders say is at the top of their lists. Likewise, 43% of survey respondents say senior care benefits were something they would look to prioritize moving forward. For most leaders, family care benefits are seen as a good way to boost productivity and talent retention – which makes sense, since a third of workers have a child under 14 in their household and one-sixth of workers are a caregiver to an elderly individual, according to Care.com's research.
On the other hand, when leaders were asked about what benefits they planned to cut, top answers included adoption/fertility assistance, commuter benefits, education and wellness resources, health and fitness discounts, and home office stipends. Though childcare and senior care benefits will be prioritized by many companies, around 30% of companies say they were planning to reduce or cut these benefits.
Overall, the Care.com report notes, "employers are focusing on recalibrating more than cutting and are continuing to invest in care benefits even as they trim other costs."
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