Press release 2 November 2020.

Over a third (36 per cent) of large businesses (with 250+ employees) do not measure any staff appreciation of employee benefits, according to research revealed by GRiD, the industry body for the group risk sector.

Similarly, over half (54 per cent) of all SMEs (i.e. those with less than 250 employees) and up to 68 per cent of micro business (with less than ten employees), do not measure staff appreciation of benefits, showing that not enough businesses of all sizes are likely to have a real grasp about whether or not their employees value their benefits.

Katharine Moxham, spokesperson for Group Risk Development (GRiD) said: “It makes sense for employers to assess the value that employees place on their benefits. Indeed, the very process of taking the time to seek the opinion of employees demonstrates a business cares and can help increase the perceived value.”

Popular methods of feedback on employee benefits

Amongst those who do measure staff appreciation, the preferred method of garnering feedback is via a formal staff survey (34 per cent of all businesses - which rises to 41 per cent for large businesses).

Other methods (in order of popularity) include:

• Informal feedback: 31%
• Suggestion/feedback box: 30%
• How much a benefit is utilised: 27%
• Employee benefit forums and focus groups: 25%
• Clickthrough rates on specific topics on an intranet site: 24%
• Email box for feedback: 22%
• Benefits day (where providers are invited to employers’ premises to engage with staff): 20%

Whilst it is important to measure ‘utilisation’ rates, GRiD believes this isn’t always a good gauge of appreciation as employees can’t fully utilise all the benefits they don’t know about. GRiD advocates that a benefits package will only be successful if it is underpinned by a coherent communications strategy.

It’s also important to ask employees for feedback not only on their current benefits package but also on what other benefits might be valued, as Katharine Moxham explains: “It is important to ensure that benefits keep abreast of employees’ changing circumstances. For instance, benefits that offer financial protection for dependants can become more popular as employees move through life, so it’s important to monitor regularly which benefits might be most appropriate.”

Employers believe majority of staff appreciate benefits

Despite many businesses not asking their staff for feedback on employee benefits, 94 per cent had an opinion on whether or not their organisations’ benefits package was appreciated. Most (80 per cent) thought their benefits were ‘very much’ or ‘somewhat’ appreciated. However, this needs to be treated with some caution as, unless employers ask, they may not really know, and may assume a higher level of appreciation than is the case.

Katharine Moxham concluded: “The only way of really knowing what employees think about their benefits is to ask. This increases engagement and is likely to increase appreciation and utilisation.

“Employers who really want to use their benefits package to foster a positive work culture in which staff feel cared for, engaged, motivated and productive, will make sure they obtain quantitative and qualitative feedback from employees at all levels, and particularly as new generations enter the workforce. This applies in all cases whether the benefits in question are employer-sponsored life assurance, income protection, critical illness, wider health and wellbeing benefits or something totally out of the ordinary. In fact, the benefits that are the most highly valued during difficult times, such as the current pandemic, can often be the more traditional ones – but unless employers ask they won’t find out.”

• Ends –

* Research undertaken by Opinium on behalf of GRiD amongst 500 HR Decision makers between 27-31 January 2020

Thinking about your ongoing employee benefits provision, do you measure staff appreciation of the benefits?

	Total	Large (250+ employees)	SME (Less than 250 employees)	Micro (1-9 employees)
Base Size: All Participants	500	115	385	135
Yes	50%	64%	46%	32%
	251	74	177	43
No	50%	36%	54%	68%
	249	41	208	92

How do you measure staff appreciation of benefits?

	Total	Large (250+ employees)
Base Size: All Participants who measure staff benefit	251	74
Formal staff survey	34%	41%
Informal feedback to managers, HR, employee benefits or wellbeing champions	31%	28%
Suggestion/feedback box	30%	32%
How much a benefit is utilised	27%	28%
Employee benefits forum/focus group/working group	25%	22%
Online activities that measure click through rate on certain topics, e.g. on company intranet	24%	28%
Email box for employee benefits-related feedback	22%	31%
Benefits day	20%	20%
Other	2%	0%

Do you believe your staff appreciate the benefits you provide?

	Total	Large (250+ employees)	SME (Less than 250 employees)	Micro (1-9 employees)
Base Size: All Participants	500	115	385	135
Yes, very much	36%	41%	35%	31%
Yes, somewhat	44%	47%	44%	39%
Not very much	11%	8%	11%	14%
Not at all	3%	2%	3%	4%
Don’t know	6%	3%	8%	12%
Net: Yes	80%	88%	78%	70%

For further information please contact:

Sharon Mason 
SMUK Marketing and PR
smason@smuk.org.uk 
Mob: 07747 611773
Land: 01252 843350

Katharine Moxham
Spokesperson for GRiD
Katharine.moxham@grouprisk.org.uk
Mob: 07887 512508

Notes for editors

About GRiD

Group Risk Development (GRiD) is the industry body for the group risk sector, promoting the value to UK businesses of providing financial protection for their staff, enhancing their wellbeing and improving employee engagement. Our membership includes insurers, reinsurers, intermediaries and those operating in (or with other interests in) the UK group risk market. Together this forms a collective wealth of experience built over many years. Under the chairmanship of Steve Bridger (managing director, Aviva Health UK) GRiD aims to promote group risk through a collective voice to Government, policymakers, stakeholders and employers.

GRiD works with government departments and regulators involved in legislation and regulation affecting group risk benefits, and with other organisations involved in the benefits and financial protection arenas. GRiD also seeks to enhance the industry's standing by encouraging best practice and by participating in industry-wide initiatives such as the professional qualification in group risk managed jointly with the Chartered Insurance Institute.

GRiD’s media activity aims to generate a wider awareness and understanding of group risk products and their benefits for employers and employees.

GRiD's dedicated spokesperson, Katharine Moxham, provides expert media comment on a full range of group risk issues.

www.grouprisk.org.uk

Follow Katharine Moxham on Twitter @KMoxham