Third of employers to scale back benefits in 2012

Only a third (31%) of organisations are looking to scale back their current employee benefits offering in 2012, according to research by recruitment consultancy IntaPeople.

The research, which surveyed 250 UK organisations, found that 93% of respondents believe that good employee benefits are crucial to maintaining productivity in the workplace.

Over half (53%) of respondents intend to install pay freezes as they strive to keep costs down.

Stephen Riley, sales director at IntaPeople, said: “In a time of ongoing economic uncertainty, businesses need to do whatever they can to keep hold of their best talent.

“If cutbacks simply have to be made, employers should work with their employees to understand the benefits they value the most – whether it includes private healthcare, pension contributions, or something as small as work-organised events – and endeavour to preserve these where possible.”

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