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November November November November 30, 30, 30, 30, 2016 2016 2016 2016 SHRM Survey Findings: 2016 Strategic Benefits— Leveraging Benefits to Retain and Recruit Employees

2016 Strategic Benefits: Leveraging Benefits to … Survey Findings: 2016 Strategic Benefits— Leveraging Benefits to Retain and Recruit Employees 2 Introduction The 2016 Strategic

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November November November November 30, 30, 30, 30, 2016201620162016

SHRM Survey Findings: 2016 Strategic Benefits—

Leveraging Benefits to Retain and Recruit Employees

2

Introduction

The 2016 Strategic Benefits Survey is part of a survey series administered annually since 2012 by the

Society for Human Resource Management (SHRM). This research is used to determine whether various

employee benefits are leveraged to recruit and retain top talent. The five-part series features the

following topics, which are published as separate survey findings:

� Part 1: Wellness Initiatives

� Part 2: Flexible Work Arrangements

� Part 3: Health Care

� Part 4: Leveraging Benefits to Retain and Recruit Employees

� Part 5: Assessment and Communication of Benefits

In addition to overall results and results over time (where applicable), findings include comparisons of

organizations in the high-tech industry and all other industries.

Definitions

For the purpose of this survey, a high-performing employee was defined as any employee ranked

among the top 10% in an organization’s last performance review; a highly skilled employee was defined

as any employee with skills that are critical to the short- and long-term success of his or her operating

unit or organization.

2016 Strategic Benefits Survey—Leveraging Benefits to Retain and Recruit Employees ©SHRM 2016

Introduction and Definitions

2016 Strategic Benefits Survey—Leveraging Benefits to Retain and Recruit Employees ©SHRM 2016 3

Key Findings

Retaining EmployeesRetaining EmployeesRetaining EmployeesRetaining Employees

4

Key Findings

2016 Strategic Benefits Survey—Leveraging Benefits to Retain and Recruit Employees ©SHRM 2016

Key findings include benefits strategies to retain employees at all levels of the organization, high-performing employees, highly skilled employees and Millennial employees.

Employees at All Levels of the Organization

• Altering benefits to retain employees at all levels of the organization: Nineteen percent of HR professionals indicated their organizations altered their benefits program to aid in the retention of employees at all levels of the organization over the past 12 months. Of these organizations, about three-fifths (61%) of HR professionals indicated their organizations altered their health care benefits over the past 12 months to aid in the retention of employees at all levels of the organization. More than one-third altered their flexible working (37%), retirement savings and planning (35%), leave (34%), and professional and career development (34%) benefits as well.

» High-tech companies were more likely than all other organizations to indicate their organizations strategically altered their benefits program over the past 12 months to aid in retention of employees at all levels of the organization (25% vs. 17%).

• Change in importance of benefits in the next three to five years to retain employees at all levels of the organization: About three-fifths of HR professionals indicated professional and career development (64%), flexible working (61%), health care (57%) and retirement savings and planning (57%) benefits will increase in importance to retain employees at all levels of the organization in the next three to five years. More than one-half (53%) of HR professionals anticipated wellness and preventive health benefits will increase in importance to retain employees at all levels of the organization in the next three to five years.

5

Key Findings (continued)

2016 Strategic Benefits Survey—Leveraging Benefits to Retain and Recruit Employees ©SHRM 2016

High-Performing Employees

• Altering benefits to retain high-performing employees: Fifteen percent of HR professionals

indicated their organizations altered their benefits program to aid in the retention of high-

performing employees over the past 12 months. Of these organizations, over two-fifths (44%) of HR

professionals indicated their organizations altered their health care benefits over the past 12

months to aid in the retention of high-performing employees. About one-third altered their

professional and career development (36%) and flexible working (31%) benefits as well; about

one-quarter altered their leave (27%) and retirement savings and planning (25%) benefits.

» High-tech companies were more likely than all other organizations to indicate their

organizations strategically altered their benefits program over the past 12 months to aid in

retention of high-performing employees (20% vs. 13%).

• Change in importance of benefits in the next three to five years to retain high-performing

employees: About two-thirds of HR professionals indicated professional and career development

(70%) and health care (68%) benefits will increase in importance to retain high-performing

employees in the next three to five years. More than three-fifths of HR professionals anticipated

that retirement savings and planning (65%) and flexible working (64%) benefits will increase in

importance to retain high-performing employees in the next three to five years; more than one-

half indicated the same about leave (51%) and wellness and preventive health (51%) benefits.

6

Key Findings (continued)

2016 Strategic Benefits Survey—Leveraging Benefits to Retain and Recruit Employees ©SHRM 2016

Highly Skilled Employees

• Altering benefits to retain highly skilled employees: Sixteen percent of HR professionals

indicated their organizations altered their benefits program to aid in the retention of highly skilled

employees over the past 12 months. Of these organizations, about two-fifths (44%) of HR

professionals indicated their organizations altered their health care benefits over the past 12

months to aid in the retention of highly skilled employees. About one-third altered their flexible

working (35%) and professional and career development (34%) benefits as well; about one-quarter

altered their leave (28%) and retirement savings and planning (27%) benefits.

» High-tech companies were more likely than all other organizations to indicate their

organizations strategically altered their benefits program over the past 12 months to aid in

retention of highly skilled employees (22% vs. 14%).

• Change in importance of benefits in the next three to five years to retain highly skilled

employees: Seventy-one percent of HR professionals indicated professional and career

development benefits will increase in importance to retain highly skilled employees in the next

three to five years. About two-thirds of HR professionals anticipated that health care (66%),

flexible working (66%) and retirement savings and planning (64%) benefits will increase in

importance to retain highly skilled employees in the next three to five years; more than one-half

indicated the same about leave (51%) benefits.

7

Key Findings (continued)

2016 Strategic Benefits Survey—Leveraging Benefits to Retain and Recruit Employees ©SHRM 2016

Millennial Employees

• Altering benefits to retain Millennial employees: Sixteen percent of HR professionals indicated

their organizations altered their benefits program to aid in the retention of Millennial employees

over the past 12 months. Of these organizations, over two-fifths (46%) of HR professionals

indicated their organizations altered their health care benefits over the past 12 months to aid in

the retention of Millennial employees. About one-third altered their professional and career

development (36%), flexible working (33%) and leave (30%) benefits as well; one-quarter (25%)

altered their wellness and preventive health benefits.

» High-tech companies were more likely than all other organizations to indicate their

organizations strategically altered their benefits program over the past 12 months to aid in

retention of Millennial employees (22% vs. 14%).

• Change in importance of benefits in the next three to five years to retain Millennial

employees: About four-fifths of HR professionals indicated professional and career development

(83%) and flexible working (80%) benefits will increase in importance to retain Millennial

employees in the next three to five years. Over one-half of HR professionals anticipated that

financial (57%), retirement savings and planning (56%), leave (54%), and wellness and preventive

health (54%) benefits will increase in importance to retain Millennial employees in the next three

to five years.

8

What Do These Findings Mean for the HR Profession?

2016 Strategic Benefits Survey—Leveraging Benefits to Retain and Recruit Employees ©SHRM 2016

• With retention difficulty rising in a number of areas, organizations may become increasingly

focused on ways to leverage benefits to remain competitive as employers. Since 2012 it has

become more difficult to retain both highly skilled employees and employees at all levels of the

organization. The cost of replacing highly skilled employees especially could be seen as severe

enough to prompt more employers to look for new ways to boost retention. In this scenario,

improving benefits offerings is likely to be a key way organizations build their case as employers of

choice. This will put pressure on HR to improve benefits offerings, offer new options designed to

appeal to a wide range of employee demographics and leverage existing benefits for better

retention rates.

• Organizations that have already started to alter their benefits to aid in retention may have a

strategic advantage. As early adopters of new benefits or by finding innovative ways to leverage

their existing benefits, organizations that are acting now may be able to reaffirm a positive employer

brand before competition for talent grows even more intense. Changes made now to prepare for

demographic changes expected in the near to medium term—such as an aging workforce and higher

educational rates for women—could help organizations be more prepared for talent shortages in the

years ahead.

• The types of benefits that are most likely to be altered to meet the needs of a changing

workforce are those that employees value most highly. Health care benefits, retirement and leave

benefits are all highly valued by employees, so enhancements to them could go a long way in

helping improve an employer’s value proposition. Employers can often leverage flexible work

practices with little to no additional costs and are therefore also a good option for HR to look to

boost talent retention. This may be especially true in relation to high-skilled workers or workers in

industries with access to information and communications technologies that enable flexible work

practices such as telecommuting, remote working and flexible hours.

• Millennial and even Centennial workers will have an increasingly large influence on the types

of benefits organizations offer. Millennials and their younger Centennial counterparts face unique

generational challenges such as high levels of student debt and more difficult financial

circumstances. These and other factors are likely to influence the importance they place on various

benefits. Their comfort with technology may also mean that they will fully expect more flexible

working options from their employers. As these generations come to dominate the workforce, and as

Baby Boomers retire, their preferences will shape the types of benefits organizations offer. Benefits

such as student debt repayment assistance or educational assistance may grow more popular. Yet

HR will need to continue to balance these offerings with the mandate from their leadership to control

the costs of benefits.

9

What Do These Findings Mean for the HR Profession? (continued)

2016 Strategic Benefits Survey—Leveraging Benefits to Retain and Recruit Employees ©SHRM 2016

34%

36%

32%

26%

25%

2016 (n = 542)

2015 (n = 343)

2014 (n = 302)

2013 (n = 349)

2012 (n = 389)

10

What do these findings mean for the HR profession?

2016 Strategic Benefits Survey—Leveraging Benefits to Retain and Recruit Employees ©SHRM 2016

Difficulty Retaining Employees in the Past 12 Months

31%

30%

28%

26%

23%

2016 (n = 529)

2015 (n = 343)

2014 (n = 299)

2013 (n = 350)

2012 (n = 386)

2012

Note: Respondents who indicated they were “not sure” were excluded from this analysis. Only “yes” responses are shown. †Millennials were added to the sample in 2016. Thus, trend data are not available. 2012Statistically significant difference from 2012.

High-performing employeesEmployees at all levels of the organization

37%

35%

35%

28%

27%

2016 (n = 536)

2015 (n = 339)

2014 (n = 296)

2013 (n = 348)

2012 (n = 389)

2012

39% 2016 (n = 494)

Millennials†

Highly skilled employees

2016High-Tech

Companies

All Other

Organizations

Highly skilled employees 43%* 34%

Note: High-tech companies n = 168; all other organizations = 368.*Only statistically significant differences are shown. “All other organizations” does not include high-tech companies.

Differences between high-tech companies and

all other organizations

11

What do these findings mean for the HR profession?Benefits Program Strategically Altered to Aid in Retention Over the Past 12

Months†

2016 Strategic Benefits Survey—Leveraging Benefits to Retain and Recruit Employees ©SHRM 2016

Note: Respondents who answered “not sure” were excluded from this analysis.†New item on the Strategic Benefits Survey.

19%

15%

16%

16%

Employees at all levels of the

organization

High-performing employees

Millennials

Highly skilled employees

n = 529-547

2016High-Tech

Companies

All Other

Organizations

Employees at all levels 25%* 17%

High-performing

employees20%* 13%

Highly skilled employees 22%* 14%

Millennials 22%* 14%

Note: High-tech companies n = 170-175; all other organizations = 359-372.*Only statistically significant differences are shown. “All other organizations” does not include high-tech companies.

Differences between high-tech companies and

all other organizations

12

What do these findings mean for the HR profession?Organizations That Have Altered Their Benefits to Aid in Retention Over the

Past 12 Months†

2016 Strategic Benefits Survey—Leveraging Benefits to Retain and Recruit Employees ©SHRM 2016

Note: Respondents whose organizations leveraged their benefits to retain employees at all levels of the organization were asked this question. Respondents who answered “not sure” were excluded from this analysis. Percentages do not total 100% due to multiple response options.†New item on the Strategic Benefits Survey.

Employees at

All Levels

(n = 106)

High-Performing

Employees

(n = 81)

Highly Skilled

Employees

(n = 88)

Millennial

Employees

(n = 87)

Health care benefits 61% 44% 44% 46%

Flexible working benefits (e.g.,

telecommuting, compressed workweek)37% 31% 35% 33%

Retirement savings and planning benefits 35% 25% 27% 21%

Leave benefits 34% 27% 28% 30%

Professional and career development

benefits (e.g., professional training)34% 36% 34% 36%

Wellness and preventive health benefits (e.g.,

flu vaccinations, smoking cessation program)26% 23% 23% 25%

Financial benefits 15% 21% 23% 14%

Family-friendly benefits (e.g., adoption

assistance, elder care referral service) 14% 10% 10% 14%

Housing and relocation benefits 4% 2% 7% 1%

13

What do these findings mean for the HR profession?Change in Importance of Benefits in the Next Three to Five Years to Retain

Employees at All Levels of the Organization

2016 Strategic Benefits Survey—Leveraging Benefits to Retain and Recruit Employees ©SHRM 2016

Note: n = 71-97. Respondents whose organizations strategically altered their benefits program to aid in the retention of employees at all levels of the organization were asked this question. Respondents who answered “not sure” were excluded from this analysis. Percentages may not total 100% due to rounding. 2013Statistically significant difference from 2013.

17%

28%

43%

43%

53%

57%

57%

61%

64%

69%

66%

53%

56%

44%

42%

43%

38%

35%

14%

6%

Housing and relocation

benefits

Family-friendly benefits

Financial benefits

Leave benefits

Wellness and preventive

health benefits

Retirement savings and

planning benefits

Health care benefits

Flexible working benefits

Professional and career

development benefits

Increase in importance Remain the same Decrease in importance

2013: 55%

*Only statistically significant differences are shown. “All other organizations” does not include high-tech companies.

1%

1%

0%

1%

3%

1%

3%

Differences between high-tech

companies and all other

organizations

Retirement savings and planning

benefits: increase in importance

High-Tech

Companies

(n = 40)

All Other

Organizations

(n = 57)

70%* 47%

16%

34%

46%

51%

51%

64%

65%

68%

70%

71%

61%

51%

44%

46%

36%

33%

32%

29%

13%

5%

Housing and relocation

benefits

Family-friendly benefits

Financial benefits

Wellness and preventive

health benefits

Leave benefits

Flexible working benefits

Retirement savings and

planning benefits

Health care benefits

Professional and career

development benefits

Increase in importance Remain the same Decrease in importance

*Only statistically significant differences are shown. “All other organizations” does not include high-tech companies.

14

What do these findings mean for the HR profession?Change in Importance of Benefits in the Next Three to Five Years to Retain

High-Performing Employees

2016 Strategic Benefits Survey—Leveraging Benefits to Retain and Recruit Employees ©SHRM 2016

Note: n = 55-69; Respondents whose organizations strategically altered their benefits program to aid in the retention of high-performing employees were asked this question. Respondents who answered “not sure” were excluded from this analysis. Percentages may not total 100% due to rounding.

Leave benefits:

increase in importance

High-Tech

Companies

(n = 30)

All Other

Organizations

(n = 39)

70%* 36%

Family-friendly benefits:

increase in importance

High-Tech

Companies

(n = 27)

All Other

Organizations

(n = 34)

48%* 24%

1%

0%

1%

0%

3%

4%

3%

Differences between high-tech

companies and all other

organizations

27%

35%

44%

47%

51%

64%

66%

66%

71%

66%

62%

53%

51%

47%

35%

32%

34%

27%

6%Housing and relocation

benefits

Family-friendly benefits

Financial benefits

Wellness and preventive

health benefits

Leave benefits

Retirement savings and

planning benefits

Flexible working benefits

Health care benefits

Professional and career

development benefits

Increase in importance Remain the same Decrease in importance

2014: 27%

2013: 66%

15

What do these findings mean for the HR profession?Change in Importance of Benefits in the Next Three to Five Years to Retain

Highly Skilled Employees

2016 Strategic Benefits Survey—Leveraging Benefits to Retain and Recruit Employees ©SHRM 2016

Note: n = 62-77. Respondents whose organizations strategically altered their benefits program to aid in the retention of highly skilled employees were asked this question. Respondents who answered “not sure” were excluded from this analysis. Percentages may not total 100% due to rounding. 2014Statistically significant difference from 2014. 2013Statistically significant difference from 2013.

1%

0%

1%

1%

1%

1%

3%

3%

*Only statistically significant differences are shown. “All other organizations” does not include high-tech companies.

Leave benefits:

increase in importance

High-Tech

Companies

(n = 34)

All Other

Organizations

(n = 42)

65%* 40%

Differences between high-tech

companies and all other

organizations

25%

41%

46%

54%

54%

56%

57%

80%

83%

73%

50%

52%

45%

46%

41%

40%

20%

17%

9%

Housing and relocation

benefits

Family-friendly benefits

Health care benefits

Wellness and preventive

health benefits

Leave benefits

Retirement savings and

planning benefits

Financial benefits

Flexible working benefits

Professional and career

development benefits

Increase in importance Remain the same Decrease in importance

16

What do these findings mean for the HR profession?Change in Importance of Benefits in the Next Three to Five Years to Retain

Millennial Employees†

2016 Strategic Benefits Survey—Leveraging Benefits to Retain and Recruit Employees ©SHRM 2016

0%

0%

3%

3%

0%

1%

1%

2%

Note: 2016 n = 59-72. Respondents whose organizations strategically altered their benefits program to aid in the retention of Millennials were asked this question. Respondents who answered “not sure” were excluded from this analysis. Percentages may not total 100% due to rounding. †Millennials were added to the sample in 2016. Thus, trend data are not available.

2016 Strategic Benefits Survey—Leveraging Benefits to Retain and Recruit Employees ©SHRM 2016 17

Key Findings

Recruiting EmployeesRecruiting EmployeesRecruiting EmployeesRecruiting Employees

Key findings include benefits strategies to recruit employees at all levels of the organization, highly skilled employees and Millennial employees.

Employees at All Levels of the Organization

• Altering benefits to recruit employees at all levels of the organization: Twelve percent of HR

professionals indicated their organizations altered their benefits program to aid in the recruitment

of employees at all levels of the organization over the past 12 months. Of these organizations,

about two-thirds (65%) of HR professionals indicated their organizations altered their health care

benefits over the past 12 months to aid in the recruitment of employees at all levels of the

organization. About two-fifths altered their leave (44%), retirement savings and planning (41%), and

flexible working (37%) benefits as well; about one-third (32%) altered their professional and career

development benefits.

• Change in importance of benefits in the next three to five years to recruit employees at all

levels of the organization: More than two-thirds of HR professionals indicated health care (73%),

retirement savings and planning (70%) and flexible working (70%) benefits will increase in

importance to recruit employees at all levels of the organization in the next three to five years.

More than three-fifths (64%) of HR professionals anticipated that professional and career

development benefits will increase in importance to recruit employees at all levels of the

organization in the next three to five years; more than one-half indicated the same about leave

(58%), financial (55%) and wellness and preventive health (53%) benefits.

18

Key Findings

2016 Strategic Benefits Survey—Leveraging Benefits to Retain and Recruit Employees ©SHRM 2016

Highly Skilled Employees

• Altering benefits to recruit highly skilled employees: Thirteen percent of HR professionals

indicated their organizations altered their benefits program to aid in the recruitment of highly

skilled employees over the past 12 months. Of these organizations, over one-half (53%) of HR

professionals indicated their organizations altered their health care benefits over the past 12

months to aid in the recruitment of highly skilled employees. About two-fifths altered their flexible

working (39%) and retirement savings and planning (39%) benefits as well; one-third (33%) altered

their leave benefits.

» High-tech companies were more likely than all other organizations to indicate their

organizations strategically altered their benefits program over the past 12 months to aid in

recruitment of highly skilled employees (18% vs. 11%).

• Change in importance of benefits in the next three to five years to recruit highly skilled

employees: More than two-thirds of HR professionals indicated professional and career

development and flexible working benefits (both 68%) will increase in importance to recruit highly

skilled employees in the next three to five years. Three-fifths or more of HR professionals

anticipated that retirement savings and planning (63%), financial (62%), and health care (60%)

benefits will increase in importance to recruit highly skilled employees in the next three to five

years; more than one-half indicated the same about leave (58%), an increase of 28 percentage

points since 2015.

19

Key Findings (continued)

2016 Strategic Benefits Survey—Leveraging Benefits to Retain and Recruit Employees ©SHRM 2016

Millennial Employees

• Altering benefits to recruit Millennial employees: Ten percent of HR professionals indicated

their organizations altered their benefits program to aid in the recruitment of Millennial employees

over the past 12 months. Of these organizations, about three-fifths (58%) of HR professionals

indicated their organizations altered their health care benefits over the past 12 months to aid in

the recruitment of Millennial employees. About two-fifths altered their flexible working (38%)

benefits as well; about one-third altered their leave (36%), professional and career development

(34%), and retirement savings and planning (32%) benefits.

» High-tech companies were more likely than all other organizations to indicate their

organizations strategically altered their benefits program over the past 12 months to aid in

recruitment of Millennial employees (15% vs. 8%).

• Change in importance of benefits in the next three to five years to recruit Millennial

employees: Almost four-fifths of HR professionals indicated professional and career development

and flexible working benefits (both 79%) will increase in importance to recruit Millennial

employees in the next three to five years. About two-thirds (66%) of HR professionals anticipated

that financial benefits will increase in importance to recruit Millennial employees in the next three

to five years; about three-fifths indicated the same about health care (61%), wellness and

preventive health (60%), leave (58%), and retirement savings and planning (58%) benefits.

20

Key Findings (continued)

2016 Strategic Benefits Survey—Leveraging Benefits to Retain and Recruit Employees ©SHRM 2016

21

What Do These Findings Mean for the HR Profession?

2016 Strategic Benefits Survey—Leveraging Benefits to Retain and Recruit Employees ©SHRM 2016

• Recruiting difficulty has returned to pre-recession levels and is likely to continue to be a

problem for the foreseeable future. HR professionals across a range of SHRM surveys report

recruiting difficulty for both their overall employee population and for their positions of most strategic

importance. Employers, HR and staffing professionals also express concerns about skills shortages

in the labor market. As these challenges continue, more organizations are likely to view their

benefits packages through the lens of how they can be leveraged to both attract and retain

employees, paying special attention to those that attract the talent considered most critical to the

success of their business.

• Because recruiting difficulty varies by industry, differences are emerging in the way benefits are

leveraged to attract talent. Some of the newest and most innovative benefits strategies being

highlighted in the HR, business and mainstream media are coming out of Silicon Valley. This trend

should not come as a surprise because the high-tech industry reports higher-than-average levels of

difficulty in finding and securing needed talent; testing out new benefits approaches is likely to be

more common in this type of atmosphere. These industries may therefore act as bellwethers for new

kinds of benefits that could eventually be adopted more broadly.

• As Millennials become the dominant working age generation in the U.S. economy, they will

increasingly influence the types of benefits employers offer—especially in industries in which

key talent is hard to find. For example, benefits that involve student loan repayment could become

more popular. However, HR will still be under pressure to balance employee demand and the need

to leverage benefits to attract and retain talent with the imperative to manage costs.

34%

38%

33%

26%

23%

2016 (n = 525)

2015 (n = 343)

2014 (n = 306)

2013 (n = 351)

2012 (n = 394)

22

What do these findings mean for the HR profession?

2016 Strategic Benefits Survey—Leveraging Benefits to Retain and Recruit Employees ©SHRM 2016

Difficulty Recruiting Employees in the Past 12 Months

61%

55%

56%

50%

49%

2016 (n = 541)

2015 (n = 343)

2014 (n = 305)

2013 (n = 353)

2012 (n = 400)

2012

Note: Respondents who indicated they were “not sure” were excluded from this analysis. Only “yes” responses are shown. †Millennials were added to the sample in 2016. Thus, trend data are not available. 2013Statistically significant difference from 2013. 2012Statistically significant difference from 2012.

Highly skilled employeesEmployees at all levels of the organization

26% 2016 (n = 493)

Millennials†

2013, 2012

2016High-Tech

Companies

All Other

Organizations

Employees at all levels 25%* 38%

Highly skilled employees 68%* 58%

Millennials 20%* 30%

Note: High-tech companies n = 163-172; all other companies = 330-369.*Only statistically significant differences are shown. “All other organizations” does not include high-tech companies.

Differences between high-tech companies and

all other organizations

23

Organizations That Have Altered Their Benefits Strategy for Recruitment†

2016 Strategic Benefits Survey—Leveraging Benefits to Retain and Recruit Employees ©SHRM 2016

Note: Respondents who answered “not sure” were excluded from this analysis.†New item on the Strategic Benefits Survey.

12%

13%

10%

Employees at all levels of the

organization

Millennials

Highly skilled employees

n = 522-537

2016High-Tech

Companies

All Other

Organizations

Highly skilled employees 18%* 11%

Millennials 15%* 8%

Note: High-tech companies n = 167; all other organizations = 355-363. *Only statistically significant differences are shown. “All other organizations” does not include high-tech companies.

Differences between high-tech companies and

all other organizations

24

What do these findings mean for the HR profession?Organizations That Have Altered Their Benefits To Aid in Recruitment Over the

Past 12 Months†

2016 Strategic Benefits Survey—Leveraging Benefits to Retain and Recruit Employees ©SHRM 2016

Employees at All Levels

(n = 63)

Highly Skilled

Employees (n = 70)

Millennials

(n = 53)

Health care benefits 65% 53% 58%

Leave benefits 44% 33% 36%

Retirement savings and planning

benefits41% 39% 32%

Flexible working benefits (e.g.,

telecommuting, compressed workweek)37% 39% 38%

Professional and career development

benefits (e.g., professional training)32% 27% 34%

Wellness and preventive health

benefits (e.g., flu vaccinations, smoking

cessation program)

17% 14% 21%

Financial benefits 16% 20% 19%

Family-friendly benefits (e.g., adoption

assistance, elder care referral service) 13% 11% 17%

Housing and relocation benefits 5% 16% 2%

High-tech orgs: 27%

All other orgs: 8%

Note: Respondents whose organizations altered their benefits to recruit employees were asked this question. Respondents who answered “not sure” were excluded from this analysis. Percentages do not total 100% due to multiple response options. *Only statistically significant differences are shown. “All other organizations” does not include high-tech companies. †New item on the Strategic Benefits Survey.

High-tech orgs: 50%

All other orgs: 19%

25

What do these findings mean for the HR profession?Change in Importance of Benefits in the Next Three to Five Years to Recruit

Employees at All Levels of the Organization

2016 Strategic Benefits Survey—Leveraging Benefits to Retain and Recruit Employees ©SHRM 2016

Note: 2016 n = 46-56; 2015 n = 86-106; 2014 n = 58-79; 2013 n = 65-88. Respondents whose organizations strategically altered their benefits program to aid in recruitment of employees at all levels of the organization were asked this question. Respondents who answered “not sure” were excluded from this analysis. Percentages may not total 100% due to rounding. 2015Statistically significant difference from 2015. 2014Statistically significant difference from 2014. 2013Statistically significant difference from 2013.

15%

39%

53%

55%

58%

64%

70%

70%

73%

74%

59%

40%

43%

42%

35%

30%

30%

25%

11%

2%

7%

2%

2%

Housing and relocation

benefits

Family-friendly benefits

Wellness and preventive

health benefits

Financial benefits

Leave benefits

Professional and career

development benefits

Flexible working

benefits

Retirement savings and

planning benefits

Health care benefits

Increase in importance Remain the same Decrease in importance

2015: 31%

2014: 30%

2013: 30%

2%

0%

0%

0%

Professional and career

development benefits

High-Tech

Companies

(n = 22)

All Other

Organizations

(n = 33)

82%* 52%

*Only statistically significant differences are shown. “All other organizations” does not include high-tech companies.

Differences between high-tech

companies and all other

organizations

26

What do these findings mean for the HR profession?Change in Importance of Benefits in the Next Three to Five Years to Recruit

Highly Skilled Employees

2016 Strategic Benefits Survey—Leveraging Benefits to Retain and Recruit Employees ©SHRM 2016

Note: 2016 n = 50-63; 2015 n = 66-116; 2014 n = 65-88; 2013 n = 77-100. Respondents whose organizations strategically altered their benefits program to aid in the recruitment of highly skilled employees were asked this question. Respondents who answered “not sure” were excluded from this analysis. Percentages may not total 100% due to rounding. 2015Statistically significant difference from 2015. 2013Statistically significant difference from 2013.

32%

41%

48%

58%

60%

62%

63%

68%

68%

64%

55%

48%

40%

40%

38%

37%

32%

32%

4%

4%

Housing and relocation

benefits

Family-friendly benefits

Wellness and preventive

health benefits

Leave benefits

Health care benefits

Financial benefits

Retirement savings and

planning benefits

Flexible working benefits

Professional and career

development benefits

Increase in importance Remain the same Decrease in importance

0%

2%

3%

0%

0%

0%

0%

2015: 30%

2013: 12%

27

What do these findings mean for the HR profession?Change in Importance of Benefits in the Next Three to Five Years to Recruit

Millennial Employees*

2016 Strategic Benefits Survey—Leveraging Benefits to Retain and Recruit Employees ©SHRM 2016

Note: n = 35-45. Respondents whose organizations strategically altered their benefits program to aid in the recruitment of Millennials were asked this question. Respondents who answered “not sure” were excluded from this analysis. Percentages may not total 100% due to rounding. *Millennials were added to the sample in 2016. Thus, trend data are not available.

20%

43%

58%

58%

60%

61%

66%

79%

79%

74%

52%

38%

42%

33%

39%

34%

21%

21%

6%

5%

4%

7%

Housing and relocation

benefits

Family-friendly benefits

Retirement savings and

planning benefits

Leave benefits

Wellness and preventive

health benefits

Health care benefits

Financial benefits

Flexible working benefits

Professional and career

development benefits

Increase in importance Remain the same Decrease in importance

0%

0%

0%

0%

0%

2016 Strategic Benefits Survey—Leveraging Benefits to Retain and Recruit Employees ©SHRM 2016 28

Key Findings

DemographicsDemographicsDemographicsDemographics

29

Demographics: Organization Industry

2016 Strategic Benefits Survey—Leveraging Benefits to Retain and Recruit Employees ©SHRM 2016

PercentagePercentagePercentagePercentage

Professional, scientific and technical services 32%

Manufacturing 17%

Health care and social assistance 11%

Finance and insurance 8%

Educational services 7%

Information 6%

Government agencies 5%

Transportation and warehousing 4%

Wholesale trade 4%

Administrative and support, and waste management and remediation services 4%

Retail trade 4%

Note: n = 570. Percentages do not total 100% due to multiple response options.

30

Key FinDemographics: Organization Industry (continued)

2016 Strategic Benefits Survey—Leveraging Benefits to Retain and Recruit Employees ©SHRM 2016

PercentagePercentagePercentagePercentage

Accommodation and food services 4%

Religious, grant-making, civic, professional and similar organizations 4%

Construction 3%

Arts, entertainment and recreation 3%

Real estate and rental and leasing 2%

Utilities 2%

Repair and maintenance 2%

Agriculture, forestry, fishing and hunting 2%

Mining, quarrying, and oil and gas extraction 1%

Personal and laundry services 1%

Other industry 12%

Note: n = 570. Percentages do not total 100% due to multiple response options.

31

Key FinDemographics: Organization Sector

2016 Strategic Benefits Survey—Leveraging Benefits to Retain and Recruit Employees ©SHRM 2016

58%

19%

15%

5%

2%

Privately owned for-profit

Nonprofit

Publicly owned for-profit

Government

Other

Note: n = 565. Percentages may not total 100% due to rounding.

32

Key FinDemographics: Organization Staff Size

2016 Strategic Benefits Survey—Leveraging Benefits to Retain and Recruit Employees ©SHRM 2016

n = 550

33%

34%

19%

10%

4%

1 to 99 employees

100 to 499 employees

500 to 2,499 employees

2,500 to 24,999 employees

25,000 or more employees

33

Key FinDemographics: Other

2016 Strategic Benefits Survey—Leveraging Benefits to Retain and Recruit Employees ©SHRM 2016

n = 567

U.S.-based operations only 71%

Multinational operations 29%

Does your organization have U.S.-based

operations (business units) only, or does

it operate multinationally?

n = 378

For multi-unit organizations, are HR policies and

practices determined by the multi-unit headquarters, by

each work location or by both?

Multi-unit headquarters determines HR

policies and practices.55%

Each work location determines HR policies

and practices.4%

A combination of both the work location and

the multi-unit headquarters determines HR

policies and practices.

40%

Corporate (companywide) 79%

Business unit/division 14%

Facility/location 7%

What is the HR department/function for

which you responded throughout this

survey?

Note: n = 376. Percentages may not total 100% due to rounding.

Single-unit organization: An organization in

which the location and the organization are

one and the same.

38%

Multi-unit organization: An organization that

has more than one location.62%

Is your organization a single-unit organization or a

multi-unit organization?

n = 571

34

SHRM Survey Findings:

Survey MethodologySurvey MethodologySurvey MethodologySurvey Methodology

SHRM Survey Findings: Strategic Benefits—Leveraging Benefits to Retain

and Recruit Employees

2016 Strategic Benefits Survey—Leveraging Benefits to Retain and Recruit Employees ©SHRM 2016

Survey Methodology:

• Response rate = 10%

• 738 HR professionals from a randomly selected sample of SHRM’s membership participated in this

survey

» 243 of the 738 HR professionals were from organizations in the high-tech industry

• Margin of error +/- 4%

• Survey fielded April-May 2016

Project Lead:

Karen Wessels, researcher, workforce planning, SHRM Research

Project Contributors:

Evren Esen, director, SHRM-SCP, workforce analytics, SHRM Research

Jennifer Schramm, manager, SHRM-SCP, workforce trends and forecasting, SHRM Research

Samantha DiNicola, SHRM Research

352016 Strategic Benefits Survey—Leveraging Benefits to Retain and Recruit Employees ©SHRM 2016

Additional SHRM Resources

For more survey/poll findings, visit shrm.org/surveys

For more information about SHRM’s Research Services:

» Customized Research Service, visit shrm.org/customizedresearch

» Employee Engagement Survey Service, visit shrm.org/peopleinsight

» Customized Benchmarking Service, visit shrm.org/benchmarks

Follow us on Twitter @SHRM_Research

362016 Strategic Benefits Survey—Leveraging Benefits to Retain and Recruit Employees ©SHRM 2016

About SHRM

The Society for Human Resource Management (SHRM) is the world’s largest HR

professional society, representing 285,000 members in more than 165 countries. For

nearly seven decades, the Society has been the leading provider of resources serving

the needs of HR professionals and advancing the practice of human resource

management. SHRM has more than 575 affiliated chapters within the United States and

subsidiary offices in China, India and United Arab Emirates. Visit us at shrm.org.