Just over one-third (36%) of UK respondents ranked the benefits package as the key reason for staying with their employer, according to research by Mercer.
The What’s working survey found that one-third of all European respondents, which includes France, Germany, Ireland, Italy, The Netherlands, Spain and the UK, are considering leaving their employer. One-fifth are indifferent about whether to stay with their employer or go.
In the UK:
- 36% of respondents said they are seriously considering leaving their employer.
- 30% said the benefits package was key to joining their organisation, up from 25% in 2005.
- 36% said the benefits package was their key reason for staying with their employer.
- 35% said their employer is doing enough to help employees prepare for retirement.
- 61% said they are motivated by incentive or bonus pay.
In Ireland:
- 35% of respondents said they are seriously considering leaving their organisations, up from 22% in 2004.
- 54% rated their overall benefits programme as good or very good, down from 57%.
- 54% said they are satisfied with their pension scheme.
- 40% said their employers are doing enough to help them prepare for retirement.
- 46% said they are satisfied with base pay.
In France:
- 30% of respondents said they are considering leaving their organisation, up from 19% in 2005.
- 58% said they are proud to work for their organisation, down from 66%.
- 46% said they are satisfied with their benefits package, down from 49%.
- 52% said their organisation does a good job communicating benefits.
- 41% said their benefits are competitive in their industry, down from 70%.
- 42% said they are satisfied with their pension scheme.
- 54% said they understand how their pay is determined.
- 34% said they are satisfied with base and incentive pay.
In Germany:
- 33% of respondents said they were seriously considering leaving their organisation, up from 31% in 2004.
- 55% said they feel a reduced sense of commitment to their organisation, down from 85%.
- 51% rated their overall benefits package as good.
- 45% said the benefits provided by their organisation meet their needs.
- 44% said they were satisfied with their pension scheme.
- 41% said their organisation is doing enough to help them save for retirement.
- 52% said they are satisfied with base pay.
- 55% said they are understand how their pay is determined.
In Italy:
- 40% of respondents said they are seriously considering leaving their organisation.
- 47% rated their overall benefits package as good or very good, but 34% are satisfied with it.
- 50% said their organisation does a good job of communicating benefits.
- 39% said their benefits meet their needs.
- 41% said they are satisfied with their pension scheme.
- 38% said their employer is doing enough to help them prepare for retirement.
- 44% of respondents said they are satisfied with base pay.
- 39% said their employer does an adequate job of matching pay and performance.
In The Netherlands:
- 28% of respondents said they are seriously considering leaving their employer, up from 15% in 2006.
- 57% rated their overall benefits package as good.
- 51% said their benefits meet their needs, down from 61%.
- 56% said they are satisfied with their pension scheme.
- 45% said their employer is doing enough to prepared them for retirement.
- 45% said they are satisfied with base pay.
In Spain:
- 30% of respondents said they are seriously considering leaving their organisation.
- 58% said they are committed to their employer, down from 63% in 2004.
- 44% rated their overall benefits package as good.
- 47% said their organisation does a good job of communicating benefits, up from 33%.
- 32% said their employer is doing enough to prepare them for retirement.
- 58% said they are satisfied with their pay.
- 38% said they are paid fairly given their performance and contribution to the organisation.
The research, conducted among 300,000 employees in 17 countries, also compiled data from Canada and the United States, Asia Pacific and Latin America.
Read more research on employee benefits
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I am not surprised by the findings of Mercer’s research, which showed that, in the UK, the benefits packages offered are one of the key reasons for staff joining and then staying with their employer.
Benefits packages play an important part in any employer’s make-up. Offering a range of benefits makes the employer attractive to new recruits and enhances the remuneration package of existing staff, which is particularly important at a time when many are paying more tax and not receiving a salary increase.
As the economic conditions remain difficult, we are seeing significant changes in the composition of benefits packages. Whereas employees previously wanted lavish, extravagant rewards and benefits, they are now, in light of ongoing pay freezes and cuts, more appreciative of schemes that help them with everyday expenses, whether it’s offering retail savings or assistance with childcare costs.