By Jennifer Schaefer, MBA, ChFC, CLU, RHU, REBC, SHRM-SCP
Founder & CEO, JS Benefits Group | Forbes Business Council Contributor | Co-Host, Executive Leaders Radio
Benefits now make up 31.3% of total employee compensation, according to the Bureau of Labor Statistics, yet many employers still treat them as an afterthought rather than a core part of their talent strategy. Workers today are looking well beyond the paycheck. They want flexibility, mental health support, and financial security, and they are willing to walk away from employers who don’t deliver. For businesses trying to attract and retain top talent in a competitive labor market, understanding this shift is no longer optional. This post breaks down what today’s workforce truly values and how a smarter employee benefits strategy can help your organization meet those expectations head-on.
The Modern Workforce Mindset Has Shifted
Employees no longer view benefits as a bonus. They view them as a baseline requirement for accepting or staying in a job. Research found that 47% of employees rank competitive pay and meaningful benefits as their top priority when evaluating an employer. Perhaps even more telling, a survey found that 44% of employees would actually accept a lower salary in exchange for stronger benefits.
This is not just a passing trend. It reflects a fundamental change in how people evaluate job opportunities. Health coverage, flexibility, and long-term financial security now carry as much weight as base salary, if not more. Employers who fail to recognize this shift risk losing candidates to competitors with a stronger, more thoughtfully designed employee benefits strategy.
Top Employee Benefits Solutions Employees Actually Want
So what exactly are employees asking for? The data points to a clear set of priorities that go beyond traditional perks.
Comprehensive Health Coverage
It remains at the top of the list. SHRM’s 2025 Employee Benefits Survey found that 88% of employers rate health-related benefits as extremely or very important, a signal that both employers and employees see healthcare as non-negotiable. This includes medical, dental, vision, and increasingly, mental health coverage.
Flexible Work Arrangements
Flexible work arrangements are close behind. The same SHRM survey found that 68% of employers now prioritize flexible work options, while 67% focus on family care benefits and 65% emphasize professional development opportunities. Employees want the ability to manage their time and their careers on their own terms.
Retirement and Financial Wellness Programs
Retirement and financial wellness programs also carry significant weight. According to the Bureau of Labor Statistics, 99% of full-time employees have access to retirement benefits, with 88% actively participating, making it one of the most consistently used benefits across industries.
Paid Time Off
Paid time off rounds out the list of essentials. Roughly 80% of private-industry workers have access to paid vacation and paid sick leave, per the BLS, though access varies significantly by industry, ranging from 55% in leisure and hospitality to 97% in finance and information sectors.
The right combination of employee benefits solutions can be the deciding factor between retaining a valued employee and watching them walk out the door.
Why Your Current Benefits Strategy for Growing Businesses May Be Falling Short
Many employers, particularly growing businesses, still rely on generic, one-size-fits-all benefits packages that fail to reflect what their workforce actually needs. A younger workforce may prioritize student loan assistance or mental health resources, while employees with families may value childcare support or flexible scheduling more highly. Without tailoring offerings to these differences, businesses risk offering benefits that go underused and underappreciated.
Communication is another common gap. Even a well-designed benefits package loses its value if employees don’t understand what’s available to them or how to use it. Poor communication reduces perceived value, which can undercut retention efforts even when the underlying offering is strong.
Finally, many organizations have not caught up to emerging priorities like mental health support and financial wellness programs. With healthcare premiums reaching $9,325 for single coverage and $26,993 for family coverage in 2025, according to the Kaiser Family Foundation, a benefits strategy for growing businesses that does not account for rising costs and shifting employee needs will struggle to stay competitive.
Building an Effective Employee Benefits Strategy
Closing the gap between what employees want and what employers offer starts with a few practical steps:
- Survey your workforce. Don’t assume you know what employees want. Ask them directly through surveys or focus groups to understand their actual needs and preferences.
- Align benefits with company culture. A benefits package should reflect your organization’s values and the makeup of your workforce, not a generic industry template.
- Communicate clearly and consistently. Make sure employees understand what’s available to them and how to access it. This alone can significantly boost perceived value.
- Review and adjust annually. Workforce needs change, and so do healthcare costs. An annual review ensures your offerings stay relevant and financially sustainable.
- Partner with experienced consultants. Benefits design and healthcare cost management are complex. Working with a knowledgeable partner can help you build a package that balances employee satisfaction with budget realities.
Meet Your Workforce Where They Are
Employee expectations have changed, and businesses that adapt their benefits offerings accordingly will have a real edge in attracting and retaining talent. From comprehensive health coverage to flexible work arrangements and financial wellness support, the data makes clear what today’s workforce values most.
If you are ready to build an employee benefits strategy that reflects what your employees actually want, JS Benefits Group can help. Their team works with organizations across Pennsylvania, New Jersey, Delaware, New York, and Maryland to design data-driven benefits programs that reduce costs and improve retention. Explore their employee benefits solutions today to see how a tailored approach can strengthen your workforce strategy.
About the Author
Jennifer Schaefer, MBA, ChFC, CLU, RHU, REBC, SHRM-SCP is the Founder & CEO of JS Benefits Group, an employee benefits consulting firm specializing in employee benefits strategy, healthcare cost management, benefits technology and the future of work. Jennifer is a Forbes Business Council Contributor and Co-Host of Executive Leaders Radio, where she shares insights on business leadership, workforce strategy and employee benefits.
Jennifer Schaefer | Founder & CEO, JS Benefits Group
Forbes Business Council Contributor | Co-Host, Executive Leaders Radio | The Future of Work