Beyond health insurance and retirement benefits (covered in previous surveys), the number one perk provided by the employers responding to our survey was paid holidays, with 91% percent of them offering it. Other highlights:
- Flextime is offered by 53% of respondents.
- About 33% relax their dress code in the summer, at least for some employees.
- Life insurance is provided by 85% of respondents.
- Paid vacation is a benefit offered by 72%.
- Tuition reimbursement policies vary widely.
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Here are the detailed survey results. How does your organization measure up?
Supplemental Insurance
Voluntary supplemental insurance plans offered by employers include dental insurance, topping the list at 82% of employers, and life insurance coming in second at 71%. Vision insurance is provided by 69% of our survey participants and accident insurance is offered by 57%. Lump-sum cancer and lump-sum critical illness insurance are both offered by 12%, and the least-offered voluntary benefit is a Medicare supplement by 7% of the employers responding to our survey.
Atypical Benefits
Flextime is the most commonly offered (53%) atypical benefit offered by employers. Other atypical benefits being offered include telecommuting (35%), financial planning assistance (30%), legal assistance programs (24%), on-site fitness centers (19%), and commuter benefits (19%). The least-offered atypical benefits are on-site childcare (4%) and concierge services (4%).
When asked if their business competitors offered similar nonwage benefits, 37% did not know, 33% responded that they do, 22% responded that their own benefits are more generous than those of their competitors, and 8% indicated that their benefits are less generous.
Benefits Planning
Conducting employee surveys to find out which benefits they like is how 26% of employers determine what nonwage benefits to offer employees and 43% evaluate the benefits offered by other companies as well as their competitors. Hiring a consultant to develop a benefit plan, however, is the norm for 23%.
Almost half (42%) of survey participants conducted a comprehensive evaluation of their benefits packages in 2012 and 19% have done so in 2013. A review of benefits was conducted in 2011 for 10% and in 2010 for 6%. It was before 2010, though, for 23%.
Other than for their health insurance package, no changes are planned in 2014 for 50% of survey participants. Minor changes are in store for 31% and moderate changes are planned for 15%. Significant changes are on deck, however, for 4% of employers in 2014.
Tuition Reimbursement
Both exempt and nonexempt employees are eligible for tuition reimbursement for 64% of employers and part-time employees are eligible for 21%. For those that offer this benefit:
| Tuition Policy Issue | Percent of respondents |
| Years of employment to be eligible | |
| Less than 1 year | 40% |
| At least 1 year | 49% |
| Courses must be job-related | 82% |
| Cost of books and supplies is reimbursable | 53% |
| Graduate level courses are reimbursed | 76% |
| Cost of professional certification courses is reimbursed | 79% |
| A passing grade is required | 91% |
| Grade is verified prior to reimbursement | 91% |
| Maximum annual amount of tuition reimbursement is: | |
| Less than $1,000 | 19% |
| Up to $2,000 | 19% |
| As much as $3,000 | 15% |
| Above $3,000 | 17% |
| Capped only by IRS deductibility | 22% |
| The grade earned is a factor in the amount of reimbursement | 11% |
| Repayment of tuition reimbursement if the employee leaves the company | |
| Is never required | 38% |
| Is required on a case-by-case basis | 15% |
| Is required if the employee leaves within one year of course completion | 30% |
| Is required if the employee leaves within 2 years of course completion | 16% |
No changes to their tuition assistance program are anticipated for 93% of employers, though 4% plan to reduce reimbursement benefits and 3% plan to increase them.
Telecommuting
Less than half (37%) of employers that answered this question in our survey offer telecommuting as a benefit to their employees. It has been a perk for more than 5 years for 15% of employers, though, and for 1 to 5 years for 18%.
Formal telecommuting guidelines are in place for 25% and employees are required to sign a formal agreement for 28% of employers. A separate work area in the employee’s home is required by 27%, and 21% require the telecommuting employees to have child care other than themselves. An allowance to cover employee expenses for setting up telecommuting at their home is provided by 14%, and 28% reimburse telecommuting employees for such monthly expenses as telephone and Internet connections.
Offering telecommuting to employees brings improved employee morale to 64% of the employers that offer it and improved recruiting and retention is realized by 48%. Telecommuting reduces absenteeism for 43% and saves on office space and other resources for 36%. Higher employee productivity is a benefit of telecommuting for 39% of employers.
When asked how satisfied they are with their telecommuting arrangements, 22% indicated they are very satisfied, 23% are somewhat satisfied, 45% are neutral, 6% are somewhat dissatisfied, and 4% are very dissatisfied.
Flextime
Some flexible hours are available to exempt employees for 52% of survey participants and none are available for 33%. Compressed workweeks are available for 12% and total flexibility is available for 6%.
Nonexempt employees are allowed some flexible hours by 47% of employers and no flextime for nonexempt employees is allowed by 42%. Compressed workweeks are an option for nonexempt employees for 11% of survey participants and total flexibility is available for 3%.
Dress Codes
Personal appearance is relaxed and casual for 49% of employers responding to this question in our survey and very relaxed for 11%. Traditional business attire is required for 39% and it’s strictly suits for slightly less than 1%. Their dress code is relaxed during the summer months for 33% of survey participants but only for employees with no customer contact for 13%.
Dress-down days are offered by 51% but only for employees with no customer contact for 14%. Friday casual is the norm for 65% but only on or near holidays for 10%. Dress-down is a reward for performance or fundraising for 4%.
Survey Participants
| Percent of survey participants | |
| Size | |
| Up to 250 employees | 64% |
| 251 to 1,000 employees | 21% |
| 1,001 to 10,000 employees | 12% |
| More than 10,000 employees | 3% |
| Percentage of exempt employees | |
| 20% or fewer exempt employees | 40% |
| 21% to 50% exempt employees | 34% |
| More than 50% exempt employees | 27% |
| Percent of respondents with unionized employees | 19% |
Privately held organizations are represented by 57% of survey participants and nonprofits account for 17%. Public corporations make up 9% and governments are represented by 8%.
Industries include manufacturing (17%); health care and social assistance (14%); finance and insurance (9%); and professional, technical, and scientific services (8%). Educational services represent 6% of our survey participants and retail trade accounts for 4%.
The positions held by our 1,493 survey participants include:
| HR Coordinator | 5% |
| HR Generalist | 9% |
| HR Specialist | 5% |
| HR Manager | 26% |
| HR Director | 23% |
| HR VP or above | 9% |
| Other area with HR responsibilities | 23% |
THANKS to all who participated in the survey!
Upcoming survey topics include:
- Training and Development
- Performance Management
- Pay budget
These results are fascinating. I’d love to have a comparison with earlier results. For example, are relaxed dress codes becoming less common after having surged in past years? I’ve heard anecdotal evidence that that’s the case.