Flexible Benefits Grow in Importance in 2022: Survey

After three years of pandemic life, and a post-pandemic work world, employee benefits remain a critical component of the relationship between employers and employees. This year, flexible work options remain very important to employees. The IFEBP Employee Benefits Survey for 2022 shows that nearly three quarters (74%) of employers offer hybrid work arrangements.

Also according to the report,

• 57% offer flexible work hours
• 55% offer remote work arrangements (100% from home)
• 20% offer flexible work schedules for religious observances
• 19% offer compressed workweeks (full 40-hour weeks, condensed into four days)
• 17% offer summer hours.

Interestingly, some benefits are on the decline. With fewer employees in the office, at-work perks like coffee service; casual dress codes and nap rooms are declining in popularity.

• Coffee service — down to 54% from 64% in 2020
• Take Your Child to Work Day — down to 11% from 20%
• Flu shot programs — down to 63% from 72%
• Health risk assessments/screenings — down to 48% from 55%
• Walking/exercise programs — down to 27% from 34%
• Weight management programs — down to 32% from 37%
• Service award programs — down to 51% from 60%

However, benefits on the rise include identity theft insurance (34%), estate planning services (17%) and paid leave to vote (38%) as well as more family-friendly offerings like paid adoption leave (34%), paid leave related to a miscarriage (15%) and paid maternity leave (above and beyond legal requirements) (43%). Casual dress codes jumped to 45%, up from 31% in 2020.

The report showed that the benefits that are on the horizon include:

• Reimbursement for subscription workout apps (e.g., Peloton, Glo, Apple Fitness+) — 13%
• Reimbursement for subscription mental health apps (e.g., Calm, Talkspace) — 7%
• Vaccination programs — 18%
• Lifestyle spending accounts — 3%
• Travel/vacation stipends — 1%

There have been some interesting changes from 2020 (before the pandemic) to now. Identity theft insurance, for example, increased by 25% in 2020 but 33% in 2022. Also life insurance was up 64% in 2020 and 74% in 2022. Legal services and hospital indemnity insurance were also up 29% and 24% respectively in 2020, and 34% and 29% respectively in 2022.