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Multinational employers ‘expanding AI use in employee benefits management’

The 2025 Global Priorities for Employee Benefits report, by risk management and human resource consulting firm Towers Watson, shows that 46 percent of multinational headquarters are seeking to expand their use of technology expansion in this area.

The research notes a growing reliance on advanced technologies and employee data to design more tailored and effective benefit strategies. AI is being adopted to streamline data handling, support operational processes and improve employee engagement with benefits platforms.

Wellbeing remains a central theme, with companies focused on supporting employees’ physical, mental and financial health. More than half (52%) of global HQs say the use of data insights is a high or top priority for enhancing the benefits experience.

There is also increased emphasis on benefits as a way to communicate a company’s mission and purpose. Most multinational headquarters report that raising awareness of benefits is a key strategic priority to ensure a match between internal culture with outward brand identity.

Technology and HQ-led standards shaping global strategies

Nigel Bateman, managing director of global HQ solutions at Towers Watson, said that benefits are now central to both employee wellbeing and a company’s corporate image. “Benefits have become valuable to employees, investors and leaders because they both support employees’ all-around health and signal what a company stands for,” he said. “Leading companies are getting involved at headquarter level, including setting global minimum standards.”

Bateman added that advanced technology plays a key role in this shift, helping organisations to develop insights into employee needs and design benefit strategies that reflect company values. “Benefits and wellbeing programmes are no longer a ‘nice to have’, they’re becoming a reflection of a company’s values,” added said.

Seventy percent of multinational HQs are now involved in setting global minimum standards and are taking a more active role in guiding local benefit decisions. There is also a clear move towards cross-border strategies, with 50 percent of HQs aiming to implement region-wide benefit planning across areas such as life insurance, healthcare and retirement provision.

Strategic priorities extend to cost, talent and employee engagement

Cost management remains a focus, with 75 percent of HQs identifying it as a key priority. Of these, 58 percent are directly involved in managing benefits budgets, ensuring resources are allocated to areas of greatest employee value.

Talent attraction and retention also remains closely linked to benefits strategy. Sixty-five percent of organisations view benefits as a differentiator in the employment market, helping to attract, engage and retain staff. At the same time, 79 percent of companies say they are working to increase promotion of their benefits to improve employee understanding and involvement.

There is a strong emphasis on aligning benefits with diversity, equity and inclusion (DEI) and environmental, social and governance (ESG) goals. More than half (52%) of companies report that integrating benefits with these wider priorities is a focus for their global HQs.

Bridging the gap in employee benefits

Gaby Joyner, Europe head of employee experience at Towers Watson, said that employee feedback is essential to ensuring benefits are aligned with real needs. “To bridge the gap between what companies offer and what employees want, employee listening programmes are vital,” she said.

Joyner added that active promotion of benefits is needed to ensure a strong employee experience.

“Companies need to actively promote their benefits programmes and what they mean, around the world,” she said. “And they need to improve employees’ understanding and engagement with benefits to make a consumer grade employee experience.”

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