A new report* has been launched by benefits platform Ben highlighting the key industry trends from 2024 and predictions for 2025 – finding that global companies are struggling to engage their employees around benefits due to communication, flexibility, and location challenges.
The insights for the Ben Engagement Report were gained through a workplace survey conducted with more than 1200 businesses across 2024, and from analysing internal platform data from 300 employers, with a focused analysis of 200+ organisations’ benefit trends.
A key finding from the report is that employee engagement with workplace benefits was a top priority for 63% of global companies in 2024, yet the vast majority (72%) state that employee engagement with benefit programmes was either ‘low’ (21%) or ‘average’ (51%).
Much of this disengagement comes from global benefit offerings not being effectively communicated and tracked with employees. 37% of the surveyed companies only communicate their benefits once a year, and the majority (62%) don’t actively track the success of their benefits offering, making it difficult to know what benefits resonate well with employees.
It was also found that just under half (49%) of the surveyed companies offer benefit choices or flexibility – another factor for low engagement as employees aren’t motivated towards benefits that don’t suit them.
Additionally, the report found that as companies expand globally, fragmented approaches to employee benefits can be another engagement hurdle. The report found that less than a quarter (23%) give full autonomy on benefits to local offices, only 17% have a global benefits strategy, and the majority (70%) don’t have a unified benefits solution.
Carl Chapman, VP of Benefits Design at Ben, adds:
“As businesses increasingly operate across borders, the complexities of global benefits management have moved to the forefront. The rise in globally dispersed workforces is more than a statistic; it’s a signal of the challenges HR teams face daily.
At Ben, we’ve seen first-hand how fragmented strategies and regional autonomy can hinder efficiency and consistency in employee benefits. When 23% of companies delegate full benefits autonomy to regional offices, it often leads to misalignment and inefficiencies that frustrate both HR and employees.”
Based on the research, the Ben report gives three employee benefit predictions for 2025:
- Implementation of AI in benefit design and delivery: AI offers a solution to many of the challenges outlined in the report, by personalising benefits offerings at scale, and ensuring relevance and appeal to diverse employee demographics. This will help meet the increasing demand for flexible benefit allowances and platforms.
- Legislative changes are highly likely to impact benefits budgets globally: changes in the UK to employer National Insurance contributions could reshape benefits priorities.
- Employee demographic shifts: aging workforces and workers having to balance eldercare and childcare needs will lead to more demand for benefits consultancy and design, a rise in interest for global minimum standards for core benefits, and a further decline of wellbeing first benefits.
Sebastian Fallert, CEO at Ben, said this on the report findings:
“In the face of economic uncertainty and tight labor markets, forward-thinking organisations are navigating the complexity of global benefits by harmonising and streamlining programs.
Meanwhile, we’re seeing AI and data emerging as transformative tools, unlocking access to benefits knowledge and empowering reward leaders to deliver highly impactful strategies.
This is an exciting time for benefits as companies refocus on what truly matters.”
https://www.thanksben.com/resources/guides/state-of-benefits-report-2025
