Flexible benefit schemes increased in popularity among employers in 2011, according to research by Aon Hewitt.
Its research, Employee benefits and trends survey, found that 70% of respondents already offered, or were about to introduce, flexible benefits schemes.
The three most popular benefits on offer via a flex plan are the ability to buy holiday, bikes-for-work schemes and childcare vouchers.
The research also found:
- 82% of respondents with flexible benefits schemes believe employees are satisfied with the quality of benefits provided.
- 80% of respondents said flexible benefits have a positive effect on improving employee retention and recruitment.
- 66% of respondents said flexible benefits have a positive effect on employee engagement.
Martha How, principal consultant at Aon Hewitt, said: “The increase in interest builds on the steady upward trend we have seen over the last decade, as employers increasingly recognise the advantages of a good flexible benefits programme.
“Our survey highlights that introducing a flexible benefits plan can have a positive impact on employees.
“To ensure this positive effect continues longer-term, we recommend that employers regularly review the benefits offered, and that individual employees periodically review their benefit selections, to ensure that their benefits package continues to provide the right kind of opportunity for employees at each stage of their working life and continues to deliver for employers.”