Key trends affecting global benefits and wellbeing

By Anne Terry, Director of Global Benefits Management

With countries at different stages of the pandemic, as well as their vaccination programmes, it will be some time before the world returns to normal.

Many things have changed in the workplace over the past 15 months, and consequently some organisations are now re-thinking their global benefits programme to ensure it is still fit for purpose.

Workplace changes

Perhaps the most transformative impact of the pandemic has been the shift to remote working - a change which looks set to remain in many companies.

This year, Microsoft’s Work Trend Index survey amongst employees in 31 markets highlighted that 73% of employees want flexible remote work options¹ .

A forecast from Global Workplace Analytics² also estimated that 25-30% of the global workforce will be working from home multiple days a week by the end of 2021.

The pandemic has shown employees what they value, and for many, achieving a better work life balance is now much more of a priority.

A UK survey by Future Strategy Club (FSC)³found more than half of UK (52%) employees said they feel closer to their families and enjoy a better work-life balance after working from home due to the pandemic.

The pandemic has also made some employees review how they spent their time before lockdown: 40% said they realise they had a poor work-life balance and will not return to it after Covid.

Some are considering a career change. Two-thirds (34%) said the situation has encouraged them to look at consultancy, freelance work or starting their own business as an alternative.

While the popularity of flexible working is not new, the pandemic has demonstrated to employees and employers it can work, and it has accelerated demand.

Prior to the pandemic it was tech companies that really embraced flexible working to secure talent. Now, across most industries, employersrecognise that offering flexible working benefits can support recruitment and retention.  For global organisations, building new policies around flexible working will be important.

Focus on employee wellbeing

Looking after employees’ wellbeing is moving up the corporate agenda too, as organisations recognise the impact of the pandemic on employee mental, physical, and financial wellbeing. Numerous surveys have shown that mental health is a key concern in many countries.

In the USA, more than 42% of people surveyed by the US Census Bureau in December reported symptoms of anxiety or depression in December 2020, an increase from 11% the previous year⁴. 

In the UK, the Office for National Statistics⁵ showed that one in five adults experienced some form of depression in early 2021 – more than double the level recorded before the pandemic.

The World Health Organisation predicts that 12 billion working days – or 50 million years of work – will be lost to depression and anxiety disorders each year between now and 2030. It puts the annual loss to the global economy at $925bn (£651bn)⁶.

Employers will need robust mental health strategies that support employees, so issues do not escalate and give rise to growing absenteeism and presenteeism.

And, according to the Reward and Employee Benefits Association (Reba), financial wellbeing will be more crucial than ever in 2021⁷.

They highlight findings from the Trades Union Congress (TUC) which found more than a third (37%) of workers said that their household had suffered a reduction in disposable income since the pandemic began.

Now is the time for companies to re-think their global benefits, taking into consideration these key trends.

Flexible working hours and wellbeing support, particularly around mental health, and financial education, must be a priority in their benefits strategy.

As global employee benefits experts, we can provide essential insights, local knowledge, and legislative updates to help employers make educated decisions regarding employee benefits in over 90 territories.

To find out more visit: www.howdengroup.com/uk-en/multinational-benefits-global-programmes