Nearly 31 per cent of employers plan to increase spending on employee benefits over the next year to support staff, according to Grid.
Around 29 per cent intend to invest directly in funding support, which Grid warns could be risky. Employers cannot predict how many employees will need help, for what issues, or for how long, making budgeting difficult.
Other areas of investment include increasing engagement with support, 34 per cent, improving access through apps and online tools, 33 per cent, better communication of benefits, 32 per cent, expanding support to more employees, 29 per cent, and extending benefits to families, 28 per cent.
Group risk benefits not only provide financial aid but also include health and well-being services that help prevent absences and support recovery.
Grid notes that Group Life Assurance can cost as little as 0.5 per cent of payroll, while Group Income Protection may be around £300 per employee annually or as low as 0.25 per cent of payroll. These benefits can provide financial security and help reduce absenteeism.
Grid spokesperson Katharine Moxham says: “Employers should not be lulled into a false sense of security if they happen to have a healthier-than-usual workforce in any particular year. This model is not sustainable as at some point the reverse may well be true, and those employers who choose to fund support directly will need extremely deep pockets.
“It’s good to see that investment in employee benefits is being bolstered this year despite some challenging financial conditions for businesses. Particularly pleasing is the continued investment to support more of the workforce which may include supporting families members as well, but employers need to take heed that helping staff by funding support on a case-by-case basis is speculative at best and a costly gamble at worst.”
