Share schemes
Just under a third (29%) of respondents offer share schemes or share options to their employees, and a further 17% offer shares or share options to staff at senior or executive level only, according to the Employee Benefits/Staffcare Benefits research 2017.
This leaves more than half (54%) of respondents’ organisations that do not offer shares or share options to employees.
These figures have changed little year on year, when 29% offered share schemes to staff, 16% to senior employees, and 55% did not offer shares or share options at all.
The types of share schemes that respondents provide to staff also remain in line with 2016; long-term incentive plans (48%), all-employee sharesave schemes (29%), and company share option plans (25%) continue to be the three most common scheme types.
Not being listed as a public company (cited by 63%) is the main reason why respondents’ organisations do not offer shares to employees, as in 2016 (63%). However, the proportion of respondents that do not offer share or share options to staff because it is considered inappropriate has increased. More than a fifth (21%) of respondents cite this as their reason for not doing so in 2017, up from 13% in 2016.
The proportion of respondents’ organisations that offer shares or share options to staff
Sample: All respondents (189)
No 54%
Yes 29%
Yes, but only at executive or senior level 17%
The type of share schemes that respondents’ organisations offer
Sample: All respondents that offer shares or share options (85)
Long-term incentive plan (L-tip) 48%
All-employee sharesave/SAYE scheme 29%
Company share option plan (Csop) 25%
All-employee share incentive plan (Sip) offering matching shares 20%
Phantom share scheme (Cash bonus plans) 11%
Other 11%
An all-employee share incentive plan (Sip) offering partnership shares 9%
An all-employee share incentive plan (Sip) offering free shares 4%
Enterprise management incentive (EMI) 4%
None of the above 6%
The reasons why respondents’ organisations do not offer shares or share options
Sample: All respondents that do not offer shares or share options (102)
Not a listed company 63%
Not considered appropriate 21%
Other 10%
Rather use cash incentive scheme 4%
Share dilution 3%
Too many past offerings under water 1%
None of the above 11%
Health and wellbeing
Just 16% of respondents’ organisations do not offer any form of mental wellbeing education or support for employees, and a fifth (20%) do not provide any such support around physical wellbeing. Encouragingly, this represents an improvement on 2016, when 25% and 27% of respondents did not offer any education or support around mental or physical wellbeing, respectively. There has also been an increase in the proportion of respondents providing digital content on these topics to staff; 55% of respondents now offer mental wellbeing support through digital channels compared to 49% in 2016, and the proportion of respondents that provide physical wellbeing support digitally has risen from 42% to 50%.
The wellbeing education or support respondents’ organisations offer to employees
Sample: All respondents (186)
Physical wellbeing: Face-to-face 39%; Digital content 50%; Printed material 33%; Other 16%; Do not offer 20%
Mental wellbeing: Face-to-face 46%; Digital content 55%; Printed material 32%; Other 15%; Do not offer 16%
Financial wellbeing: Face-to-face 23%; Digital content 39%; Printed material 23%; Other 12%; Do not offer 37%
Community or social wellbeing: Face-to-face 18%; Digital content 32%; Printed material 18%; Other 11%; Do not offer 46%
Job satisfaction or career wellbeing: Face-to-face 33%; Digital content 32%; Printed material 20%; Other 10%; Do not offer 37%
Private medical insurance (PMI) remains the top healthcare and wellbeing benefit to be offered by respondents’ organisations, with 79% offering it to employees and 73% to partners and dependents up from 71% and 62%, respectively, in 2016.
Ten years ago, when asked which benefits they offered as part of their core benefits package for all or some staff, 28% and 38% of all respondents listed PMI for employees, respectively. This year, among the 79% of respondents that offer PMI for employees, 45% do so as a core benefit to all staff and 40% do so for some staff.
Counselling or employee assistance programmes (EAPs) have long been a mainstay of employers' core benefits package, with their popularity growing over the years. In 2004, just 30% of respondents offered an EAP for staff. By 2007, 51% of respondents offered this to all staff and 7% to some employees. Ten years on, 70% of respondents offer counselling or an EAP for employees, of which 89% do so on a core basis for all staff, while 3% do so as core for some of their workforce. This growth may be due to employers' increasing awareness of stress and mental wellbeing issues and their corresponding desire to provide support for staff.
Notably, more than a quarter (26%) of respondents provide mental health first aid or champion training, and 10% plan to introduce this.
The health and wellbeing benefits offered by respondents
Private medical insurance for employee 79%
Private medical insurance for partners and dependents 73%
Counselling or employee assistance programmes 70%
Dental insurance 58%
Health screening 55%
Gym membership 50%
Health cash plan for employee 49%
Onp-site wellbeing events 48%
Optical care/vouchers (above statutory minimum) 43%
Health cash plan for partners and dependents 33%
Mental health champion or first aid training 26%
On-site fitness classes 23%
Nutrition advice or healthy-eating options in staff canteen 23%
Subsidised staff social or fitness clubs 19%
Cognitive behavioural therapy (CBT) 11%
Smoking cessation services 10%
Wearable fitness technology 5%
None of the above 2%
Sample: All respondents (175)
The top five health and wellbeing benefits offered by respondents’ organisations and the basis on which they are offered
Sample: All respondents (175)
Private medical insurance (PMI) for employees: Total 79%; Core - all staff 45%; Core - some staff 40%; Flexible benefit 12%; Voluntary benefit 15%
Private medical insurance (PMI) for partners and dependents: Total 73%; Core - all staff 24%; Core - some staff 39%; Flexible benefit 27%; Voluntary benefit 24%
Counselling or employee assistance programmes (EAPs): Total 70%; Core - all staff 89%; Core - some staff 3%; Flexible benefit 2%; Voluntary benefit 7%
Dental insurance: Total 58%; Core - all staff 25%; Core - some staff 10%; Flexible benefit 40%; Voluntary benefit 32%
Health screening: Total 55%; Core - all staff 31%; Core - some staff 42%; Flexible benefit 27%; Voluntary benefit 19%
Company cars
More than half (54%) of respondents’ organisations offer a car allowance, which is slightly higher than in 2016 when 45% offered this benefit to staff.
Almost all (97%) of those respondents that offer a car allowance do so as a core benefit for some staff. In 2007, 65% of all respondents said they included a car allowance within their core benefits package for some staff, and just 2% offered it as part of their core package for all staff.
The car benefits offered by respondents’ organisations and the basis on which they are offered
Sample: All respondents (183)
Car allowance: Total 54%; Core - all staff 3%; Core - some staff 97%; Flexible benefit 1%; Voluntary benefit 1%
A company car through outright purchase, contract hire or leasing: Total 29%; Core - all staff 4%; Core - some staff 88%; Flexible benefit 6%; Voluntary benefit 14%
Car parking: Total 26%; Core - all staff 48%; Core - some staff 44%; Flexible benefit 0%; Voluntary benefit 9%
Fuel for private use: Total 12%; Core - all staff 5%; Core - some staff 91%; Flexible benefit 0%; Voluntary benefit 5%
A company car through personal contract plan or employee car ownership scheme: Total 9%; Core - all staff 21%; Core - some staff 50%; Flexible benefit 14%; Voluntary benefit 14%
Motor breakdown cover: Total 9%; Core - all staff 12%; Core - some staff 53%; Flexible benefit 12%; Voluntary benefit 24%
Access to an all-employee car ownership scheme or affinity plan: Total 6%; Core - all staff 30%; Core - some staff 20%; Flexible benefit 10%; Voluntary benefit 40%
None of the above: Total 32%
Workplace savings
Around a quarter (26%) of respondents’ organisations have financial education initiatives in place, and 32% are looking to implement these. While not directly comparable, 14% of respondents to the Benefits research 2014 included financial education in their core benefits package for all staff, and 6% did so for some staff. Only 2% included financial education in their flexible benefits programme three years ago, and 9% offered it as part of a voluntary benefits scheme.
As in 2016, employer-facilitated financial advice remains in the top five workplace savings benefits provided by respondents’ organisations. A fifth (20%) of respondents offer access to financial advice, and 76% of these respondents offer it as a core benefit to all staff.
Respondents continue to help staff with everyday transport costs, with more than half (54%) offering season-ticket travel loans to employees. Over the years, season ticket loans have consistently appeared in the top 10 benefits offered by respondents. Although the data is not directly comparable, 28% of respondents to the Benefits research 2007 offered these as a core benefit to all staff, while 10% offered these on the same basis to some staff.
The top five workplace savings benefits offered by respondents’ organisations and the basis on which they are offered
Sample: All respondents (178)
Season-ticket travel loan: Total 54%; Core - all staff 67%; Core - some staff 11%; Flexible benefit 2%; Voluntary benefit 21%
Financial education: Total 26%; Core - all staff 84%; Core - some staff 2%; Flexible benefit 5%; Voluntary benefit 9%
Long-term incentive plan (Ltip): Total 26%; Core - all staff 5%; Core - some staff 95%; Flexible benefit 0%; Voluntary benefit 0%
Financial advice: Total 20%; Core - all staff 76%; Core - some staff 6%; Flexible benefit 9%; Voluntary benefit 9%
Share incentive plan (Sip): Total 14%; Core - all staff 71%; Core - some staff 0%; Flexible benefit 4%; Voluntary benefit 25%
Group risk
Approximately nine in 10 (91%) respondents provide life assurance or death in service, the majority of whom do so as a core benefit for all staff (86%). This was also the main method by which respondents offered these benefits in 2016 (87%), although the overall proportion of respondents that include death in service and life assurance in their benefits offering in some way has risen by seven percentage points over the last year.
Life assurance has consistently been one of the top core benefits offered by respondents since the inaugural Benefits research in 2004, topping the list that year as well as in 2007, 2010, 2011 and 2013.
The proportion of respondents offering this benefit has also risen over time. For example, in 2007, 62% offered life assurance as core to all staff and 17% to some staff. By 2013, this had risen so that 76% of all respondents organisations' included life assurance within their core benefits offering for all employees, and 15% did so for some staff.
The group risk benefits offered by respondents’ organisations and the basis on which they are offered
Sample: All respondents (179)
Life assurance or death in service: Total 91%; Core - all staff 86%; Core - some staff 13%; Flexible benefit 8%; Voluntary benefit 3%
Income protection or permanent health insurance: Total 58%; Core - all staff 54%; Core - some staff 39%; Flexible benefit 10%; Voluntary benefit 3%
Critical illness insurance: Total 42%; Core - all staff 28%; Core - some staff 15%; Flexible benefit 42%; Voluntary benefit 24%
Personal accident insurance: Total 29%; Core - all staff 59%; Core - some staff 20%; Flexible benefit 22%; Voluntary benefit 8%
Critical illness for partners and dependents: Total 23%; Core - all staff 10%; Core - some staff 0%; Flexible benefit 56%; Voluntary benefit 42%
Life assurance for partners and dependents: Total 22%; Core - all staff 14%; Core - some staff 11%; Flexible benefit 49%; Voluntary benefit 30%
Personal accident insurance for partners and dependents: Total 11%; Core - all staff 25%; Core - some staff 5%; Flexible benefit 55%; Voluntary benefit 20%
Rehabilitation benefits: Total 11%; Core - all staff 79%; Core - some staff 11%; Flexible benefit 5%; Voluntary benefit 5%
None of the above: Total 6%
Personal insurances
This year, the proportion of respondents that offer personal insurances remains broadly in line with 2016, the way in which these benefits are being offered has changed.
Over a third (34%) of respondents’ organisations offer travel insurance as an employee benefit. The proportion of respondents offering travel insurance that include it within their voluntary benefits programme has also increased, rising from 22% in 2016 and 37% in 2017. When respondents were asked which benefits they included within their voluntary benefits scheme back in 2011, 12% listed travel insurance, rising to 18% in 2014.
The personal insurance benefits offered by respondents’ organisations and the basis on which they are offered
Sample: All respondents (174)
Travel insurance: Total 34%; Core - all staff 24%; Core - some staff 10%; Flexible benefit 34%; Voluntary benefit 37%
House insurance: Total 8%; Core - all staff 0%; Core - some staff 0%; Flexible benefit 8%; Voluntary benefit 92%
Motor insurance: Total 6%; Core - all staff 0%; Core - some staff 9%; Flexible benefit 0%; Voluntary benefit 91%
Pet insurance: Total 4%; Core - all staff 0%; Core - some staff 0%; Flexible benefit 0%; Voluntary benefit 100%
None of the above: Total 65%
Lifestyle benefits
Almost two-thirds (61%) of respondents offer flexible-working initiatives, compared to 54% in 2016. Extra holidays for long service or life events (53%), retail and leisure discounts (49%), enhanced parental leave (36%), and dining cards (34%) also feature in the top five lifestyle benefits provided by respondents.
Over the years, extra holiday for long service has consistently appeared in the list of respondents' most commonly offered core benefits.
While the proportion of respondents offering enhanced parental leave and flexible-working arrangements has increased slightly over the last year, there has been no significant rise in the proportion of respondents providing eldercare and emergency care support. Meanwhile, 15% of respondents offer emergency childcare as a benefit, with the majority of these respondents providing it as a core benefit for all staff (81%).
A higher proportion of those respondents offering dining cards, as well as retail and leisure discounts, are doing so on a voluntary basis. This year, 64% of respondents that offer dining cards do so through their voluntary benefits scheme, compared to 32% in 2016.
Although 52% of respondents that provide retail and leisure discounts now do so as a core benefit to all staff and 46% do so through their voluntary benefits programme, 70% of respondents that offered this benefit in 2016 provided this as a core benefit for their entire workforce and 21% did so on a voluntary basis. While not directly comparable, these were also the key ways in which respondents offered retail and leisure discounts to staff back in 2009 and 2013; 23% of respondents to the Benefits research 2009 included retail and dining discounts within their voluntary benefits programme, rising to 32% in 2013, while 16% included these discounts within their core benefits package for all staff in both years.
The top five lifestyle benefits offered by respondents’ organisations and the basis on which they are offered
Sample: All respondents (169)
Flexible-working initiatives: Total 61%; Core - all staff 79%; Core - some staff 11%; Flexible benefit 2%; Voluntary benefit 9%
Extra holidays for long service or life events: Total 53%; Core - all staff 86%; Core - some staff 8%; Flexible benefit 1%; Voluntary benefit 5%
Retail or leisure discounts: Total 49%; Core - all staff 52%; Core - some staff 0%; Flexible benefit 5%; Voluntary benefit 46%
Enhanced parental leave (i.e. paid above the statutory minimum): Total 36%; Core - all staff 86%; Core - some staff 5%; Flexible benefit 0%; Voluntary benefit 9%
Dining cards, e.g. Taste or Gourmet: Total 34%; Core - all staff 20%; Core - some staff 0%; Flexible benefit 18%; Voluntary benefit 64%
On-site services
More than a quarter (27%) of respondents’ organisations provide subsidised catering for employees. This was also the most frequently offered on-site service among respondents in 2016 (26%).
The proportion of respondents providing on-site services for employees, however, remains relatively low. This may be due to the space that is required to do so or employers' priorities when it comes to the ways in which they choose to invest in their workforces' health and wellbeing.
The on-site services offered by respondents’ organisations
Sample: All respondents (168)
Subsidised catering: 27%
Physiotherapist: 14%
Other: 11%
Beauty therapy: 7%
Doctor: 6%
Bike servicing and repairs: 4%
Hairdresser: 2%
Dentist: 2%
None of the above: 58%
