Recent research undertaken by Opinium on behalf of GRiD (the industry body for group risk) amongst 500 HR decision makers and 1,165 employees, showed that only 57 per cent of employers believe their workforce is aware of all their benefits and understands them. Over a third - 35 per cent - of employees say their company does not communicate benefits or if they do, they do not recall having done so.
It was found that 28 per cent of employers believe their workforce is aware of all their benefits but does not understand them all and 10 per cent of employers believe their workforce is only aware of some of their benefits.
According to 38 per cent of employers, the most popular method of communicating benefits is in a staff welcome pack – with the least popular method being posting details to home addresses. However, employees have a different recollection of the methods their employers use, with 35 per cent not believing that their employer communicates benefits – or cannot remember if they do so.
Katharine Moxham, spokesperson for GRiD said:
“A huge amount of resource, time, energy and money is invested in compiling employee benefits packages. This is maximised when a workforce is aware of the benefits and understands them.
Appreciation of benefits is connected to how well they’re communicated, so the research also looked at the frequency and methods of communication.
- 38 percent of employers communicate details of their benefits when there’s a change to the terms and conditions of a particular benefit
- 29 percent communicate benefits at recruitment stage
- 26 percent communicate benefits at least quarterly
- 22 percent communicate benefits at performance reviews
- 21 percent communicate benefits once a year
- 8 percent don’t communicate their benefits
The most effective communication strategies are those that are regular. Employee benefits don’t always resonate with employees if they don’t seem relevant at a particular point in time. However, life stages and circumstances change regularly, so benefits that weren’t relevant one day, may very well be the next.”
She added:
“We see people at some of the most vulnerable stages in their life in our industry: at times of ill-health, disability and bereavement. Circumstances that by their nature are often unforeseen. This is exactly why benefits that support such situations need to be communicated regularly, so they are front of mind when they are needed.
How benefits are communicated: |
Employers say: |
Employees say: |
Staff welcome pack |
38% |
15% |
Staff handbook |
29% |
15% |
Before day one of employment/in an offer letter |
25% |
10% |
|
25% |
23% |
Before recruitment, e.g. in job adverts |
22% |
10% |
Staff noticeboard |
22% |
11% |
Company intranet |
19% |
19% |
Total Reward Statements |
12% |
7% |
Employee benefit fairs |
11% |
6% |
Benefit platform(s)/Apps |
11% |
9% |
Post to home address |
11% |
6% |
There’s a disconnect between how employers communicate, and what employees remember. This clearly demonstrates the need for regular communication and using a mix of methods for communications to be effective. Employees won’t always remember what’s been communicated if it wasn’t important at the time. Likewise, different methods will resonate more with some employees than others. Some will diligently read their welcome pack or handbook, and others will be more likely to engage with the company intranet. There are also increasing options to promote digitally, and it’s important that this method is also embraced to reach all sections of a workforce.”
Katharine Moxham concluded:
“These findings are particularly pertinent given new legislation, which came into force 6 April this year requiring employers to inform employees about their employment and benefits on day one or on request. But, in addition to complying with this, to increase engagement and for benefits to be utilised, they need to be understood, to which communication is central. Whether we’re talking about pensions, healthcare, employer-sponsored life assurance, income protection or critical illness, the approach needs to be the same. Employers need to tell their workforce what they’re offered, communicate via as many means as possible, and do so regularly.”