Of these groups, 73 per cent provide a fixed suite of benefits, while 27 per cent supply some form of flexible benefit package. The research also shows that those offering flexible benefits tend to be larger businesses, with more than 50 employees.
The results showed that healthcare plans and stakeholder pension schemes are the most common insured benefits. Childcare vouchers and cycle-to-work schemes are the most common non-insured benefits for larger companies, while for smaller companies cycle-to-work schemes and season ticket loans are more common.
Kingston Smith W1 says in its report, ‘Establishing and maintaining pay and benefits policies which are attractive, fair and affordable can be a major headache for employers.
‘Getting it right can lead to higher levels of motivation and staff retention; conversely, an unplanned and reactive strategy can easily lead to high staff turnover, inconsistency and low morale.’
The group advises consultancies to undertake regular review processes to manage benefits schemes – keeping a particular eye on competitiveness of packages, and compliance with legislation.