LONDON, June 3, 2024 – Amidst a cost-of-living crisis, and global political unrest, UK employees are turning to their employers for a sense of security. A comprehensive survey by leading global advisory, broking and solutions company, WTW, found a majority (54%) of employees are choosing to stay with their employers, ending a period of intense job turnover and attraction and retention challenges for employers.
This is a significant change from 2022 when only 45% of employees were committed to staying with their employers. Moreover, only one-in-ten (9%) are open to offers now, down from a fifth (21%) who would welcome an offer in 2022.
Pay continues to be the main driver for both attraction and retention. In this year’s survey, employees cited pay (49%), job security (46%) and flexible work arrangements (38%) as the top reasons for remaining with their employer.
“As employees search for a greater sense of stability, employers are ramping up their total rewards packages,” said Steve Nyce, senior economist and global leader for the Research and Innovation Center, WTW. “Focus on pay has strengthened; benefit design is getting more personal and flexible work arrangements are more prevalent. By prioritising these factors, employers can build trust, and improve the overall employee experience, ultimately creating an environment that will drive retention and provide job security.”
While pay remains at the forefront of attraction and retention, the survey found benefits are becoming increasingly important. More than a third (37%) of employees chose their current employers due to their benefits package and over two-fifths (44%) reported staying with their employers for the same reason. While two fifths (39%) would leave their employer for better benefits elsewhere and no change in salary. In fact, when employers offer better benefits that cater to employees’ needs, indicators of retention, engagement and productivity are higher.
“The war for talent is no longer just about pay – benefits matter to employees, with higher levels of appreciation seen when they have the ability to choose those benefits that best meet their individual needs,”
Andy Leighton | Health & Benefits Director, WTW
Expanded choice in benefits is also helping build trust toward employers. The survey found a majority of employees have choice in benefits (68%), which allows them to alter core benefits or use a flexible benefits fund to have a choice in other benefits, including access to voluntary benefits. When employees have the most choice in benefits, 72% report their benefits meet their needs, and 76% would recommend their employer as a good place to work.
“The war for talent is no longer just about pay – benefits matter to employees, with higher levels of appreciation seen when they have the ability to choose those benefits that best meet their individual needs,” said Andy Leighton, Health & Benefits Director, WTW. “It is clear that employers are enhancing their benefit offerings, with choice becoming more widespread. This not only helps to improve retention and engagement of their workforce, but for employees it can have a positive impact on culture, trust and fairness.”
The 2024 Global Benefits Attitudes Survey was conducted from January to March 2024. Respondents include 6000 UK employees working at medium and large private sector employers, representing a broad range of industries.
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