Many companies are shifting to employee benefit structures that give workers primary responsibility and control.
In a recent survey, about three-quarters of HR professionals said the benefit offerings at their organizations were negatively impacted during the economic downturn, according to the Society for Human Resource Management (SHRM). With that trend provoking changes, more employers chose to offer defined contribution retirement plans and fewer are offering defined benefit options.
Despite the pressure, spending on benefits held fairly steady this year. That includes voluntary options as well as mandatory benefits. Paid time off is becoming more popular as more employers offer them to workers. Domestic partner benefits and healthcare premium discounts for healthier behavior are also spreading.
"By shifting primary responsibility in controlling certain healthcare and financial benefits, employers are recognizing a shift in workplace culture," said Mark Schmit, vice president of research at SHRM. "[The new plans allow employees] more control over how they save for retirement and manage their health, while reducing costs for employers. These plans are also more flexible, and thus more attractive, to employees who will likely not spend an entire career with one organization."
Wellness programs and similar initiatives are more common as employers seek to recruit workers and provide advantages to them in their efforts to limit expenses.
