Offered benefits in Australia decline amid cost-of-living crisis: report

Which benefits saw biggest drops?

Offered benefits in Australia decline amid cost-of-living crisis: report

Offered benefits across Australia are on a decline despite the persisting cost-of-living crisis faced by employees, according to a new report.

Flare's National Employee Benefits Index revealed that most offered benefits in Australia declined, with 81% suffering from a double-digit drop.

Health-oriented benefits, such as on-site wellness programmes (-48%) and support for reasonable work hours (46%), registered the biggest decreases.

Even extended family leave options saw a 44% decline, even amid recent efforts from the government to expand paid parental leave to reinforce work-life balance among employees.

Cost-of-living crisis

The scaleback in offered benefits comes despite greater emphasis on benefits, which have been touted as an alternative for employers with a tight budget amid ongoing cost-of-living crisis.

In fact, Flare's report revealed that benefits make some employee feel "more motivated" at work, as well as influence their decision to stay at a company.

"Employees with access to benefits come to work with a greater sense of purpose, sensing that their skills and roles are well-aligned, and feeling that they're valued in their professional space," the report read.

According to Flare, a well-structured benefits programme stands out as a "viable strategy" to provide support employees where they need it most.

"When businesses embrace benefits as more than mere additions to a contract, they can become the lifeblood of a thriving corporate culture, a means of support and recognition that empowers individuals to not only show up but to shine," it added.

Read more into the importance of offering benefits by grabbing a free copy of Flare's National Employee Benefits Index here.