Highlights
For the eighth consecutive year, MetLife has surveyed employers and employees on pressing issues facing the U.S. benefits industry today and compiled the results in its annual Study of Employee Benefits Trends.
This year’s results point to the apparent resilience of workplace benefits in a challenging economy and reveal that as employers and employees continue to deal with the effects of the economic downturn, they are focused on the long term. Most employers have not reneged on their benefits commitments and employees continue to depend on their workplace benefits for protection and stability. The Study provides new insights that can help employers identify opportunities to realize the full potential of their benefits programs and to maximize the return on their benefits investments.
Employee Benefits Weathered the Economic Storm
Employee benefits appeared relatively resilient in this recession.
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Employers Reprioritize Benefits Objectives
Employers are reprioritizing their benefits objectives in response to the recession.
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Employee Concerns Subsiding but Still Significant
It may be months or even years before the economic pendulum swings completely back to expansion and growth, but employees appear to feel surprisingly optimistic about the future.
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Attaining a Secure Retirement
New employer engagement is emerging for retirement programs, but the gap between employer actions and employee priorities persists.
> Learn More
Employee Benefits Weathered the Economic Storm
Employee Benefits Appeared Relatively Resilient in this Recession
Employee benefits weathered the economic storm with only relatively modest reductions. Most employers held the line on core benefits and 401(k) matching in the face of enormous bottom-line pressure. For their part, most employees maintained their benefits participation and coverages. This suggests that benefits continue to be a long-term strategic tool for achieving employer business objectives, one that can be sustained and effective in bad times as well as good.
Employee Benefits Weathered the Economic Storm
Employee Benefits Appeared Relatively Resilient in this Recession
Employee benefits weathered the economic storm with only relatively modest reductions. Most employers held the line on core benefits and 401(k) matching in the face of enormous bottom-line pressure. For their part, most employees maintained their benefits participation and coverages. This suggests that benefits continue to be a long-term strategic tool for achieving employer business objectives, one that can be sustained and effective in bad times as well as good.
Employers Reprioritize Benefits Objectives
Employers are Reprioritizing their Benefits Objectives in Response to the Recession
Benefits objectives have shifted as a result of the economic crisis. Controlling benefits costs has risen to the top among benefits objectives for employers, overtaking employee retention, which had led since 2006. In addition, improving employee productivity, which had been growing in significance since before the crisis, has become especially important as employers look for cost efficiencies in order to realize a competitive advantage.
Employers Reprioritize Benefits Objectives
Employers are Reprioritizing their Benefits Objectives in Response to the Recession
Benefits objectives have shifted as a result of the economic crisis. Controlling benefits costs has risen to the top among benefits objectives for employers, overtaking employee retention, which had led since 2006. In addition, improving employee productivity, which had been growing in significance since before the crisis, has become especially important as employers look for cost efficiencies in order to realize a competitive advantage.
Employee Concerns Subsiding but Still Significant
It may be months or even years before the economic pendulum swings completely back to expansion and growth, but employees appear to feel surprisingly optimistic about the future.
Employees have taken steps to address some of their financial inadequacies by saving more and reducing personal debt. While the raised levels of economic concerns seen in the November 2008 Study have somewhat eased, employee concerns about their financial situations are still high and employees want help from their employers.
Employee Concerns Subsiding but Still Significant
It may be months or even years before the economic pendulum swings completely back to expansion and growth, but employees appear to feel surprisingly optimistic about the future.
Employees have taken steps to address some of their financial inadequacies by saving more and reducing personal debt. While the raised levels of economic concerns seen in the November 2008 Study have somewhat eased, employee concerns about their financial situations are still high and employees want help from their employers.
Attaining a Secure Retirement
New Employer Engagement is Emerging For Retirement Programs but the Gap Between Employer Actions and Employee Priorities Persists
As the continued interest in companies implementing “automatic features” in defined contribution plans attests, employers are becoming more involved with their retirement programs. They are increasingly vested in ensuring that these programs will be capable of supporting workforce management goals and facilitating an orderly retirement of their oldest workers. They also report changing retirement patterns among their employees, and are modifying their views about the value of their older workers.
At the same time, employees are looking to their employers to provide more education at an earlier point, as well as more options to help them feel secure enough to retire and to minimize the risk of outliving their retirement money.
Attaining a Secure Retirement
New Employer Engagement is Emerging For Retirement Programs but the Gap Between Employer Actions and Employee Priorities Persists
As the continued interest in companies implementing “automatic features” in defined contribution plans attests, employers are becoming more involved with their retirement programs. They are increasingly vested in ensuring that these programs will be capable of supporting workforce management goals and facilitating an orderly retirement of their oldest workers. They also report changing retirement patterns among their employees, and are modifying their views about the value of their older workers.
At the same time, employees are looking to their employers to provide more education at an earlier point, as well as more options to help them feel secure enough to retire and to minimize the risk of outliving their retirement money.
Tools
The tools and resources below make it easy to access valuable information from the 8th Annual MetLife Study of Employee Benefits Trends. It’s another way MetLife is working to put our industry-leading research at your fingertips to help you make the right benefits decisions for your company and to anticipate the needs and potential challenges that lie ahead.
8th Annual Study of Employee Benefits Trends
For the complete summary of findings from the Study, download and/or order a printed copy.
Presentation Slides
Leverage insights from this year’s Study of Employee Benefits Trends in your next presentation to colleagues or partners by using these downloadable PowerPoint slides.
Benefits Benchmarking Tool
Quickly compare benefits objectives and offerings — as well as employee attitudes — to those of similar companies and employee populations. View, print and download your results for your next presentation.
Perspectives
Perspectives
Small Businesses
As the economy begins to recover from the recession, there are big expectations for small business to provide the engine that will drive the American economy. Take a deeper dive into results from MetLife’s Employee Benefits Trend Study specific for small businesses. This paper has been developed to help small business employers and brokers navigate through these challenging times, and to equip them with practical benefits strategies and tools to help attract, motivate and retain their workforce while recognizing the need to closely manage costs.
Primary and Secondary Education
Primary & Secondary school employees place great value on non-medical and retirement benefits and they continue to demonstrate high interest in accessing advice and guidance through the workplace. Organizations can review the gap that exists between K-12 employer and employee perspectives and obtain tips for maximizing their comprehensive benefits programs at a time when financial battles show no sign of ending soon.
Higher Education
Benefits communications are an integral part of any successful benefits program. Discover how Higher Education employee attitudes about benefits differ year over year, how views compare to the overall population, identify the perception gaps between employers and employees and review suggestions to make sure employees understand the benefits available to them in their quest for financial security.
Benefits Benchmarking Tool
Quickly compare benefits objectives and offerings — as well as employee attitudes — to those of similar companies and employee populations. View, print and download your results for your next presentation.
Use the Benchmarking ToolStudy Methodology
The MetLife Study of Employee Benefits Trends is based on two separate sets of research interviews conducted during the fourth quarter of 2009.
Learn moreMethodology
The 8th annual MetLife Study of Employee Benefits Trends was conducted during the fourth quarter of 2009 and consisted of two distinct studies fielded by GfK Custom Research North America. The employer survey comprised 1,503 interviews with benefits decision-makers at companies with staff sizes of at least two employees. The employee sample comprised 1,305 interviews with full-time employees age 21 and over, at companies with a minimum of two employees.
Employers Span a broad range of industries, sizes and geographic locations.
| Employer size (staff size) | % |
|---|---|
| 2–9 | 20% |
| 10– 49 | 20% |
| 50–199 | 18% |
| 200–499 | 4% |
| 500–999 | 5% |
| 1,000–4,999 | 13% |
| 5,000–9,999 | 10% |
| 10,000+ | 10% |
| Geography | % |
|---|---|
| South | 32% |
| West | 24% |
| Midwest | 22% |
| Northeast | 22% |
| Industry | % |
|---|---|
| Services | 33% |
| Heavy Industry | 20% |
| Sales/Trade | 12% |
| Finance, Insurance, Real Estate | 11% |
| Healthcare & Social Assistance | 10% |
| Educational Services | 5% |
| Public Administration | 4% |
| Accomodation and Food Services | 3% |
| Arts, Entertainment, and Recreation | 2% |
Totals do not always equal 100% due to rounding.
The employees polled represent an equally broad cross-section of respondents. Employee data are weighted to reflect the total U.S. working population, excluding those who are self employed.
| Gender | % |
|---|---|
| Male | 55% |
| Female | 45% |
| Ethnic Background | % |
|---|---|
| Caucasian | 71% |
| Hispanic | 13% |
| African-American | 11% |
| Asian | 5% |
| Geography | % |
|---|---|
| South | 37% |
| Midwest | 22% |
| West | 23% |
| Northeast | 19% |
| Age | % |
|---|---|
| 21–30 | 19% |
| 31–40 | 25% |
| 41–50 | 27% |
| 51–60 | 22% |
| 61 and over | 7% |
| Marital Status | % |
|---|---|
| Married | 63% |
| Single | 15% |
| Divorced/Separated | 12% |
| Domestic partnership | 8% |
| Widowed | 2% |
| Family Status | % |
|---|---|
| Do not have children under 18 | 57% |
| Have children under 18 | 43% |
| Employer size (staff size) | % |
|---|---|
| 2–9 | 10% |
| 10–49 | 12% |
| 50–199 | 14% |
| 200–499 | 9% |
| 500–999 | 6% |
| 1,000–4,999 | 13% |
| 5,000–9,999 | 7% |
| 10,000+ | 29% |
| Household income | % |
|---|---|
| Under $30,000 | 9% |
| $30,000 to $49,999 | 9% |
| $50,000 to $74,999 | 29% |
| $75,000 to $99,999 | 18% |
| $100,000 to $149,999 | 23% |
| $150,000 and over | 12% |
| Industry | % |
|---|---|
| Services | 35% |
| Heavy Industry | 22% |
| Sales/Trade | 10% |
| Finance, Insurance, Real Estate | 7% |
| Educational Services | 7% |
| Healthcare and Social Assistance | 9% |
| Arts, Entertainment, and Recreation | 2% |
| Accommodation and Food Services | 3% |
| Public Administration | 5% |
Totals do not always equal 100% due to rounding.
