Flexible benefits schemes are high on the agenda for large private employers, which are attracted by admin and cost advantages.
A study, Benefits administration in the United Kingdom: survey of trends, drivers and best practice, revealed that 41% of the 223 large private limited companies polled, currently offer flexible benefits.
It also found that a further 37% of employers intend to introduce flex within the next two years, while just one-fifth of organisations have no plans to introduce a scheme.
Employee retention, national insurance savings and controlling rising benefit costs were cited as the key reasons for launching flex. While the administrative business case centred around the reduction of error, flexibility and service.
The report found that most companies use multiple methods of administration. Just 10% used online technology exclusively, while some 59% relied on spreadsheets in at least part of their benefits management.
About half of respondents outsource at least some administration, while a third of respondents run all benefits administration in house. A half of those polled would prefer in-house administration.
Some 40% of organisations are happy with current administration although over two-fifths of employers intend to make changes in the next two years. Half the employers that offer a flexible benefits scheme have had one in place for over five years.
For a free copy of the survey contact Girish Menezes at SBC systems on 020 8947 7230 or email: [email protected]