70% of employers have global minimum standard for benefits

global minimum standard benefitsAlmost three-quarters (70%) of employers have a global minimum standard for their employee benefits, according to research by global advisory firm Willis Towers Watson (WTW).

Its Priorities for employee benefits: a global HQ perspective survey found this figure was almost double the 36% of respondents which said they have a global minimum standard in 2019.

Currently, 54% of multinational organisations have adopted a global benefits philosophy, strategy and guidelines that align with employees’ wants and needs, with 39% planning or considering putting this in place.

In the next three years, 63% are looking to use employee benefits to signal their purpose and values to customers, investors and external stakeholders, as well as its employee value proposition, with 61% increasingly focused on wellbeing.

Over the last five years, more employers have used benefits to attract and retain key talent and as a means to support employees’ wellbeing. Managing the cost of benefit programmes still remains important, as 68% said it is a top or high priority over the next two years.

Nigel Bateman, managing director of integrated and global solutions at WTW, said: “More employers are incorporating global minimum standards for employee benefits, as part of designing benefits that better support employee wellbeing, attraction and retention. Global minimum standards are one way to signal an ambition for employee benefits to be inclusive. Employers are also focusing on how their benefits align with their purpose, convey their values and enhance how they are perceived as an employer.

“For these ambitions to become a reality, there will need to be a fundamental shift in how many employers operate their benefits programmes. They will need to take a more employee-centric focus on which employee benefits are provided and how they are delivered. Wellbeing will need to be viewed as an outcome to be achieved.”