Back to BlogEmployee Engagement

Why Employee Benefits Matter More Than Ever in 2025

With rising living costs and changing workplace expectations, employee benefits have become a critical factor in attracting and retaining talent. Here is what forward-thinking companies are doing differently.

JM

James Mitchell

15 January 20258 min read
Share:

The Changing Landscape of Employee Benefits

In 2025, employee benefits are no longer just a nice-to-have – they're a critical factor in attracting and retaining top talent. With the cost of living continuing to rise and workplace expectations evolving rapidly, companies that offer comprehensive benefits packages are seeing significant advantages in the talent market.

Why Benefits Matter More Than Ever

Research shows that 78% of employees consider benefits packages when deciding whether to accept a job offer. More importantly, 65% of employees say they would stay longer at a company with excellent benefits, even if they received a higher salary offer elsewhere.

Key Trends in Employee Benefits

  • Financial wellness: With inflation impacting household budgets, employees increasingly value discounts on everyday purchases
  • Flexibility: One-size-fits-all packages are being replaced by customisable options
  • Digital-first: Easy access through apps and portals is now expected, not exceptional
  • Wellbeing focus: Mental health and work-life balance benefits are in high demand

What Forward-Thinking Companies Are Doing

The most successful companies are taking a holistic approach to benefits, combining traditional offerings like health insurance with modern perks like retail discounts, wellness programmes, and flexible working arrangements.

At PerkStation, we've seen companies that invest in comprehensive benefits programmes experience up to 40% lower turnover and 25% higher employee satisfaction scores.

Getting Started

If you're looking to enhance your employee benefits offering, the good news is that modern platforms make it easier than ever to provide world-class perks without significant administrative burden. The key is choosing a solution that's easy to implement, engages employees, and provides real value.