Most wanted employee benefit is income protection, study finds

Nearly a quarter (24%) of employees in the UK want their employer to provide income protection (IP) following the Covid-19 crisis, a survey of 1,150 small-to-medium enterprise (SME) employees carried out in July has revealed. However, only 6% are currently receiving it.

Health insurance was the second most-wanted employee benefit (22%), followed by more holiday (18%), life insurance (16%) and non-monetary perks (10%).

According to the survey, 31% of SMEs are currently happy with the benefits provided by their employer, 55% said they OK with their provision and 14 said they were not happy at all.

As well as this, 50% said they were planning on looking for a new job and three-quarters (75%) said flexible working would help their morale as lockdown restrictions ease.

Economic impact

“The Covid-19 crisis has been devastating for the job market and the true extent of the aftermath is still yet to be revealed. However, the biggest impact has been the human one with people fearing for their livelihoods,” said Charlie Cousins, founder of Hooray Health & Protection.

“As businesses work to find their feet in this new normal we find ourselves in, their employees need to be at the heart of their approach if they are to survive. Health insurance, which historically has been referenced as the most desired employee benefit has been overridden by income protection as employees grapple with the economic impact of Covid-19.

“50% of staff in the UK are already considering seeking new employment, therefore businesses must adapt quickly and significantly to ensure that their workforce are receiving the support they need,” he continued.