Impact Economist Logo

Benefits 2.0

Watch to learn about the research

Building a market-leading benefits strategy

Three key findings for business leaders

1

View benefits as a driver of competitive advantage

Seven in ten workers would be willing to switch jobs for better benefits

7
0
%

of workers would be willing to switch jobs for better benefits

Weak benefits are deal breakers. Workers cite widespread concerns about the adequacy and quality of their benefits.

5
0
%

of full-time workers are not confident that they can afford the healthcare their family needs

5
7
%

do not believe they will be able to retire on time

The cookie cutter approach is a mistake; benefits offer an opportunity to differentiate yourself from competitors. By getting creative and looking to fill real-world gaps faced by workers, organizations can capitalize on fresh opportunities to attract and retain top talent.

For instance, nearly half of workers say they would consider taking a new job for its education or wellness benefits.

Workers can often be vocal about competitive wages, but they are quietly disgruntled about side B of their compensation. Businesses stand to gain significantly by treating benefits provision as an investment in competitive advantage, not as a cost driver.
2

Evolve plans to meet diverse worker needs

Benefit priorities vary immensely across demographics and life stages; one-size-fits-all is no longer cutting it

Priorities: Nearly half of Gen Z respondents ranked education and training as most important
Gaps in access: Only 47% of US businesses offer tuition assistance2
Priorities: 87% of older workers rank retirement among their top three benefits
Gaps in access: Only 32% of these workers have access to automatic retirement contributions from employers
Priorities: 42% of parents say family planning and care benefits have allowed them or their partner to stay in their job
Gaps in access: These benefits are the least commonly offered—only six in ten have access
Priorities: Minorities are 70% more likely than white workers to rank education benefits as their top priority
Trend in utilization: Minorities are also more likely to use them—83% take advantage of their education benefits compared with 70% among white workers
Building a deeper understanding of varying priorities is the first step. Some approaches worth considering include persona mapping and customizable benefits plans.
3

Benefits don’t have to be baffling

Two-thirds of workers say their organizations don’t do enough to tout, explain or innovate, so benefits go unused

Communication is lacking in both directions
6
0
%

of workers say that their organization’s communication about benefits needs improvement

7
0
%

say opportunities to provide feedback could be better

Poor implementation discourages workers from using benefits
8
0
%

say their company’s culture does not encourage taking time off

7
0
%

cite gaps in the usefulness of their education and training benefits

As a result, businesses leave money on the table by paying for benefits that go unused. Businesses make a significant investment in benefit plans, but optimizing those benefits requires more than checking a box. Strategic communication and creative implementation are crucial to maximizing a return on this investment.

Benefits 2.0 research approach

The Benefits 2.0 research program from Economist Impact, supported by Nuveen, a TIAA company, breaks new ground by combining macroeconomic modeling, research into the perspectives and priorities of 1,500 US workers, and in-depth consultations with business leaders and benefits providers.

Our research focuses on six major types of employer-provided benefits:
Hover to explore

Retirement
Retirement
Employer-sponsored investment plans that help employees save for retirement (eg, pension, 401k)
Family support
Family support
Fertility/family planning benefits (eg, financial support for IVF), parental leave/support and caregiving support
Insurance
Insurance
Health, life and disability insurance plans, which provide access to routine healthcare and coverage in case of emergencies
Education
Education
Education or training offered/sponsored by an employer. Can include student loan repayment benefits
Time off
Time off
Paid time off for vacation, sick leave, mental health, family reasons or volunteering
Wellness
Wellness
Physical wellness benefits (eg, gym memberships), mental wellness benefits (eg, employee assistance programs) and financial wellness benefits (eg, financial advice/resources)

Assessing impact at three levels

With the right strategies in place, benefits can be a win-win-win for workers, employers and the wider economy. Our research explores how to maximize the impacts at each of these levels.

Workers
Countless workers face difficulties accessing and getting the most out of their benefits.Our research helps organizations understand these gaps across demographics and industries to ensure benefits have the intended impacts.
Employers
Benefits are instrumental in attracting and retaining top talent, nurturing a healthy, productive workforce and advancing key DEI objectives.Our research helps organizations pinpoint these opportunities for optimizing benefits to generate a higher return on investment.
Industries and economy
Benefits are deeply embedded into society more broadly, generating 1.5 times their value per dollar spent, driving socio-economic impacts and fostering upward mobility.Our research highlights opportunities to ensure these impacts are widely and equitably shared.
Download infographic
Explore by industry:

Follow the links below to discover more about the impact of employer-provided benefits and read recommendations for improving their availability in specific industry sectors. Our initial analysis focuses on a mix of key industries, both goods- and services-producing, that are often home to large, well-known employers.

ManufacturingEnergy & utilitiesSports, media & entertainmentFinancial servicesGovernment
References
Advertisement featureNuveen
Empowering workers in a changing retirement landscape

What has propelled the shift away from traditional pension plans, and how can employers still support their workers’ retirement goals?

Read more
The benefits of lifetime income

How can lifetime income ease workers’ anxieties over retirement savings–and give employers an edge?

Read more
Disclosure statement:

Nuveen and Economist Enterprise, or any of their affiliates or subsidiaries are not affiliated with or in any way related to each other. The research was independently developed by Economist Enterprise and is sponsored by Nuveen, LLC. The views and opinions expressed in this publication are those of Economist Enterprise and do not necessarily reflect the view and policies of Nuveen, LLC.

This material, along with any views and opinions expressed within, are presented for informational and educational purposes only as of the date of production/writing and may change without notice at any time based on numerous factors, such as changing market, economic, political, or other conditions, legal and regulatory developments, additional risks and uncertainties and may not come to pass. There is no promise, representation, or warranty (express or implied) as to the past, future, or current accuracy, reliability or completeness of, nor liability for, decisions based on such information, and it should not be relied on as such. This material should not be regarded by the recipients as a substitute for the exercise of their own judgment. Nuveen, LLC provides investment solutions through its investment specialists.

5319787