Almost nine in ten (87%) workers in the healthcare sector want their employer to invest more in employee benefits this year. However, just 18 percent of healthcare businesses plan to increase investment, making the sector the least likely to do so according to research from employee benefits technology provider Zest.
The study also found that 81 percent of healthcare workers want more financial support at work, compared to a UK average of 74 percent across all sectors. Increased pension contributions are the most valued benefit, with 45 percent of healthcare employees ranking this as the most important. Despite this, only 18 percent of employers in the sector currently offer enhanced pension contributions.
Private Medical Insurance (PMI) and wellbeing allowances are also key priorities, with 38 percent and 30 percent of healthcare employees respectively identifying these as the most important benefits. However, many employees remain dissatisfied with their current packages.
Benefit Dissatisfaction
Two thirds (62%) of healthcare employees believe their benefits package is inadequate, the highest proportion of any sector surveyed. Less than half (48%) feel their benefits provide good value for money, placing healthcare second to last in overall satisfaction, just ahead of the education sector (42%).
Employers risk losing staff due to this dissatisfaction. The research found that 62 percent of healthcare employees would leave their current job if another company offered a better benefits package, while 38 percent would consider moving to a different sector entirely.
Despite these concerns, many employees are unaware of the benefits available to them. Just 60 percent of employees know exactly what benefits they can access, the second lowest proportion across all sectors. This contrasts sharply with employer perceptions, as 99 percent of healthcare businesses believe their employees are fully aware of the benefits they offer.
The Risk of a Talent Drain
Healthcare employees feel their needs are not being met when it comes to benefits. Only 26 percent believe their employer listens to their needs and responds with relevant benefits. A significant proportion (56%) admit they do not use most of the benefits available to them.
At the same time, employers recognise that benefits are an important factor in attracting new talent. Nearly all (94%) of healthcare businesses report that benefits packages are one of the first things candidates ask about during interviews.
Matt Russell, CEO of Zest, outlines the potential risks for employers that fail to act.
“Healthcare professionals are demanding increased financial support from their employer and aren’t afraid to move elsewhere to get it – even if that means switching to another sector,” he said. “Given the existing pressures on the NHS, a talent drain could have catastrophic consequences.
“Without increased investment in benefits packages and an improved understanding of the support employees are calling for, healthcare organisations are at risk of losing out on talent. Currently, it appears that HR leaders across the healthcare sector remain unaware of the apathy many of their employees have when it comes to engaging in their benefits packages – this leads to poor value for money for both employer and employee.”
The findings suggest that healthcare employers may need to reassess their benefit strategies to improve engagement, attract talent and retain staff.