The Top 4 Reasons Plan Sponsors Provide Benefits Plans
Why Do Employers Provide Benefits?
Clearly, for employee welfare and improved productivity goals, knowing what plan members want and need are critical considerations. But even for the 40% of organizations that offered a plan for competitive reasons, benchmarking alone may not suffice in ensuring competitiveness, as shifts in wants and needs can change the perceived value of benefits. We’re pleased to provide some insights, from several different angles.
The Top 4 Reasons Employers Provide Benefits Plans
The results of the report are based on three surveys conducted in late 2016 and early 2017—of insurers, plan sponsors, and individual Canadians, including individuals who don’t currently participate in a benefits plan.
1. Employee Welfare – 50%
To reward, support, and make employees feel appreciated. Providing benefits helps take care of employee health and well-being.
2. Competitive advantage – 40%
To remain competitive with other organizations in the industry and in the region.
3. Employee productivity – 5%
Healthier employees are more productive employees. Providing benefits increases efficiency and reduces absenteeism.
4. All of the above – 5%
A small percentage of plan sponsors agreed that all three reasons applied.
About the 2017 Accompass Research Report
The results of this research are not meant to be prescriptive—as every organization has different needs, a different workforce, and is in different competitive positions. They are, however, designed to help you be more strategic in your actions, and we encourage you to consider this information through the lens of your benefits plan’s unique goals and purpose.